How Much Does an Air Source Heat Pump Cost?

Air source heat pumps are the next generation in home heating technology. They allow homeowners to warm their properties and enjoy dependable hot water without the need for fossil fuels. However, with living costs on the rise, homeowners are looking for ways to save money. So, how much does an air source heat pump cost to install and run? 

In this guide, we’re going to cover all aspects of heat pump costs, including what affects the price, average costs, how to budget for one and how to choose the right pump and installer for your home. Keep reading to learn more, or call us now on 01905 621777 to discuss your costs with one of our experts. 

Understanding Air Source Heat Pumps

Air source heat pumps are a fossil fuel-free way to heat a property using warmth extracted from the outside air. The UK government is championing them as the primary replacement for gas boilers, helping to phase out the country’s dependence on natural gas ahead of the Net Zero target date of 2050. 

What is an Air Source Heat Pump?

Increasingly common at both commercial and domestic properties, air source heat pumps use electricity to heat buildings and deliver hot water on tap. They’re a reliable alternative to traditional gas or oil systems, and are helping home and property owners save money and reduce their carbon emissions. 

How Do They Work?

Air source heat pumps work by capturing and moving heat, rather than generating it, making them drastically more efficient than gas boilers. 

They pump a liquid refrigerant into an outdoor unit. The refrigerant absorbs heat from the outside air, causing it to expand. The refrigerant is then passed into a compressor, driving the temperature up further. This heat is subsequently used to warm water for central heating and outlets, in the same way as a traditional boiler.

Benefits of Installing an Air Source Heat Pump

Air source heat pumps have a number of perks that’re driving their adoption across the UK and Europe: 

• Increased energy efficiency – air source heat pumps are up to 300% more efficient than even the most modern gas boilers 
• Lower running costs – because they deliver up to three times the amount of heat per unit of energy consumed, air source heat pumps can be more cost effective to run 
• Reduced environmental impact – air source heat pumps not only use less energy but can be powered by entirely renewable electricity, making them potentially carbon neutral, depending on your energy tariff 

Factors That Affect the Cost of An Air Source Heat Pump

How much an air source heat pump costs will depend on a few factors, including the size and requirements of your property, the type and brand of air source heat pump and the installation location and complexity. 

Size and Capacity of Your Home

Two of the primary factors that will affect the final cost of your air source heat pump are the size and requirements of your property. For instance, larger homes and those with higher hot water demands or a greater number of bathrooms will require a more powerful air source heat pump. More powerful units usually come at a higher price point, which will impact the overall cost of your installation. 

Type and Brand of Air Source Heat Pump

Air source heat pumps are an expanding technology. As the market grows, so does the list of manufacturers, all offering different types of air source heat pumps at various prices. This introduces greater competition, which works in your favour as the consumer. But it also means it’s worth doing your research to find an air source heat pump that balances affordability with reliability. 

Installation Complexity and Location

The final factor that will affect the price of your air source heat pump installation is its complexity and location. Not only do different systems have varying installation procedures, but the layout of your property can impact where the air source pump can be installed, affecting the amount of labour required.

How Much Does an Air Source Heat Pump Cost? Average Prices 

The average cost of an air source heat pump installation has been coming down gradually over the last few years. Below is some installation cost data gathered by the UK government, which shows how much you might expect to pay for an air source heat pump installation. 

These figures don’t take into account the £7,500 discount provided by the Boiler Upgrade Scheme grant. 

How to Budget for an Air Source Heat Pump

Planning Your Installation Budget

When it comes to planning your air source heat pump installation budget, there are a few factors to consider: 

• Account for the full cost – firstly, it’s important to remember to account for the full cost of your air source heat pump installation, not just the price of the unit itself 
• Consider additional upgrades – air source heat pumps are at their most efficient in well-insulated homes, so if your property is older or poorly insulated, you may want to consider the cost of additional upgrades such as extra insulation, double-glazed windows and larger radiators 
• Factor in running and maintenance – in terms of running costs and maintenance, air source heat pumps are typically far more budget-friendly than gas boilers, but you should still factor these costs into your overall budget 
• Get quotes – make sure to get multiple quotes from reliable installers, like Rollings Renewables, who’ve been helping homeowners cut their carbon footprints for more than 20 years 

Government Grants and Incentives

In your budget, you should also consider the impact of government grants and incentives. Until 2028, the UK government is offering homeowners a grant of £7,500 towards the cost of an air source heat pump installation under the Boiler Upgrade Scheme. 

To qualify, you need: 

• To be a homeowner 
• Have a valid EPC with no outstanding recommendations 
• Be replacing a fossil fuel heating system such as a gas boiler 

Financing Options

Finally, it’s also worth investigating any finance options for your air source heat pump installation. These can help you spread the cost and give you additional flexibility. However, they may also affect the overall price you pay. 

At Rollings Renewables, we offer tailored finance plans for our air source heat pumps via our trusted finance partner, Phoenix.

Frequently Asked Questions

Is an air source heat pump worth the investment?

In most cases, yes. Air source heat pumps are an investment in the future value of your home. They’re also up to 3x more energy efficient than gas boilers, potentially helping you save money on your energy bills, while dramatically reducing your carbon footprint. Additionally, an air source heat pump means your home is Net Zero-ready, and installing sooner rather than later allows you to take advantage of the Boiler Upgrade Scheme before it ends in 2028. 

Are there hidden costs to consider?

When it comes to budgeting for an air source heat pump installation, some homeowners forget to factor in the cost of additional home upgrades. Heat pumps run at a lower temperature than gas boilers and rely more heavily on insulation to deliver the best results. If your home is older or poorly insulated, you may need to account for the cost of additional insulation. The best way to predict these costs up front is to speak to an experienced installer, who will be able to give you clear information about the full price of your installation. 

What ongoing costs are associated with running an air source heat pump?

An air source heat pump will have ongoing costs in the same way as a gas boiler, but they are typically lower. You will need to account for: 

• Electricity to power your air source heat pump 
• Servicing and maintenance 
• Seasonal variations in energy demand caused by colder temperatures 

Air source heat pumps consume less energy than gas boilers and are usually lower maintenance, meaning long-term costs are often reduced. 

How much maintenance do air source heat pumps need?

Air source heat pumps usually require far less maintenance than gas boilers. They can last for as much as 20 years, and we recommend having them serviced at least once a year to keep them running at their best.

How do I know if an air source heat pump is right for my home?

Air source heat pumps are suitable for most homes, but it’s worth weighing up a few factors to consider how ready your property is: 

• Insulation – if your home is poorly insulated, you may need to install additional insulation or invest in a more powerful air source heat pump to compensate 
• Size – larger homes take more energy to heat, and may require a more powerful air source heat pump or multiple pumps 
• Hot water demand – homes with more bathrooms or hot water outlets can also require larger or more powerful air source heat pumps 
• Long-term goals – air source heat pumps often reduce energy bills, but not always, so it’s worth making sure the other benefits they offer, such as a reduced carbon footprint and future-readiness, are worth it to you 

Expert Advice for Choosing an Air Source Heat Pump

For most homeowners, air source heat pumps are a wise investment, especially while the Boiler Upgrade Scheme is available. They can help you lower your energy bills, reduce your carbon footprint, increase the value of your property and make your home Net Zero-ready. 
To get a free, comprehensive quote for your air source heat pump installation and learn how the Boiler Upgrade Scheme works, contact the expert team at Rollings Renewables today. Call us on 01905 621777, email us at sales@rollingsrenewables.co.uk or fill out our contact form.