Heat Pump Cost UK 2026: Air Source, Ground Source, Grant

Written by James · Last reviewed: April 2026.

Heat pump installation costs in the UK, 2026

Air source heat pump installation costs in 2026 typically run £9,000-£14,000 before grants for a standard 3-bed semi. The Boiler Upgrade Scheme (BUS) grant of £7,500 reduces this to £1,500-£6,500 for MCS-certified installations on existing homes.

This guide covers typical 2026 UK costs by property type, plus what affects the bill and how to evaluate quotes.

Typical UK heat pump install costs (2026)

System / property typeTypical UK 2026 priceAfter £7,500 BUS grant
Air source 5-7 kW (small flat or terrace)£7,500–£10,000£0–£2,500
Air source 8-10 kW (3-bed semi)£9,000–£14,000£1,500–£6,500
Air source 12-16 kW (large detached)£13,000–£19,000£5,500–£11,500
Ground source heat pump (typical)£25,000–£45,000£17,500–£37,500 (BUS £7,500)
Hybrid (heat pump + retained boiler)£6,500–£10,000BUS not eligible
Radiator upgrades (typical for retrofit)+£800–£2,500Often required for efficient operation.
Underfloor heating retrofit (per floor)+£3,000–£8,000Optimal heat emitter for heat pumps.
New hot water cylinder+£1,800–£3,200Required for combi-to-system change.
Annual service£120–£200Required to maintain manufacturer warranty.

What changes the cost

BUS grant eligibility

The Boiler Upgrade Scheme grant of £7,500 is available for MCS-certified air source and ground source heat pump installations on existing homes (not new-builds). The installer applies on your behalf and the grant is deducted from your bill.

To qualify: property must have a valid EPC, no outstanding loft or cavity wall insulation recommendations, and the heat pump model must be MCS-listed. Most reputable installers handle the grant paperwork as part of the quote.

For finding a heat pump installer in Kent, see our how to choose a heat pump installer guide.

Frequently asked questions

How much does an air source heat pump cost in 2026?

£9,000-£14,000 fully installed for an 8-10 kW system on a typical 3-bed semi before grants. The Boiler Upgrade Scheme grant of £7,500 reduces this to £1,500-£6,500 for MCS-certified installations on existing homes.

How does the BUS grant work?

The Boiler Upgrade Scheme provides a flat £7,500 grant for air source heat pump installations on existing homes. Your MCS-certified installer applies on your behalf and deducts the grant from your final bill. Property must have a valid EPC with no outstanding insulation recommendations.

Do I need to upgrade my radiators?

Usually yes. Heat pumps run efficiently at lower flow temperatures (45-50°C) than gas boilers, which often means existing radiators are too small to deliver enough heat. A proper survey will identify which radiators need upsizing. Budget £800-£2,500 for typical retrofit radiator upgrades.

Are heat pumps cheaper to run than gas boilers?

Running cost depends on electricity-vs-gas pricing and system efficiency (COP). At 2026 prices and a well-designed system (COP 3.0+), heat pumps typically cost similar or slightly less than gas to run. Poorly designed systems can cost more — the design quality matters more than the brand.