Heat pump cost calculator
Heat pumps look expensive until you take the grant off. Enter the type and your home, and see the estimated gross cost, the Boiler Upgrade Scheme grant, and what you’d actually pay.
Figures checked October 2026 Estimate
Grant requires an MCS-certified installer. Heat pump installs are 0% VAT until 31 March 2027. No EPC is required to apply (since April 2026), though a valid EPC may be requested as part of the process.
Heat pump costs in the UK in 2026
An air source (air-to-water) heat pump costs an estimated £7,000–£13,000 before the grant for a typical home, depending mostly on the size of the unit and how much radiator work your house needs. Ground source systems, with their boreholes or trenches, run an estimated £14,000–£24,000. Air-to-air units — essentially reversible air conditioning — are the cheapest route at roughly £2,800–£5,500, but they don’t heat your water.
The Boiler Upgrade Scheme takes £7,500 off air-to-water and ground source installs in England and Wales, £9,000 for off-gas-grid homes replacing oil or LPG under applications from 21 July 2026 to 31 March 2027, and £2,500 off air-to-air; biomass gets £5,000. The scheme runs to 2030 and the installer claims the grant for you — you should never be asked to pay the full price and claim it back yourself. Combined with 0% VAT until March 2027, a typical heat pump lands surprisingly close to a premium boiler replacement, before you compare running costs in the heat pump vs boiler calculator.
What changes the price most
Radiators: heat pumps run at lower flow temperatures, so undersized radiators may need upgrading (a few hundred pounds each). Hot water: you’ll need a cylinder — combi homes sometimes need space found for one. And the design itself matters more than the box: an MCS installer who does a proper heat-loss calculation will size the unit correctly, which is the difference between a heat pump that sips electricity and one that doesn’t.
Heat pump cost questions
Do I need to pay the grant amount upfront?
No. Your MCS installer applies for the voucher and deducts it from your bill. You pay the net price; Ofgem pays the installer the grant portion after installation.
Can I get the grant in Scotland?
Not the Boiler Upgrade Scheme — it’s England and Wales only. Scotland has separate support via Home Energy Scotland; amounts and rules differ, so check there before relying on any figure here.
What if my home isn’t well insulated?
You can still get a heat pump, but insulation comes first in cost-effectiveness: a heat pump in a draughty home works harder. No EPC is required for the grant since April 2026, but fabric upgrades almost always pay back faster — see the insulation calculator.
Ready for real prices?
Calculators give you the ballpark. Get free, no-obligation quotes from MCS-certified UK installers and compare them against these numbers.