Air Source Heat Pump Running Costs vs a Gas Boiler: What to Expect

If you’re weighing up air source heat pump running costs against your current gas boiler, you want straight numbers, not a sales pitch. At Eco Air Source Heat Pump Installer, we’re based at Walsall (WS1) and open 7 days, 9am–7pm. Call 01922 302461 or request a free survey if you’d rather talk it through. This guide explains how the two compare, what changes the bill, and where the savings can and can’t be found.

Will a heat pump cost more to run than my gas boiler?

On a standard tariff, it can cost slightly more. The Energy Saving Trust says electricity is nearly four times more expensive than gas on standard tariffs, so a heat pump can cost slightly more to run than a new gas or oil boiler (Energy Saving Trust, Air source heat pumps, updated 23 Sept 2026). A heat pump time-of-use tariff can bring running costs below a gas boiler (same source).

The reason it isn’t far worse is efficiency. Heat pumps are more than three times more efficient than a gas or oil boiler (Energy Saving Trust, 2026). Put simply, a heat pump moves heat from outside air into your home rather than burning fuel to make it, so each unit of electricity delivers several units of heat.

So the comparison is a tug of war: expensive electricity on one side, high efficiency on the other. Your tariff decides who wins.

What changes your bill the most

Two homes with the same heat pump can have very different bills. These are the factors that matter:

• Your tariff. A time-of-use tariff charges less at off-peak times. If your system can heat the home and cylinder during those hours, the bill drops.
• How well the house holds heat. Draughty rooms and poor loft insulation mean the pump works harder. Fixing those first often pays back whichever heating you use.
• Flow temperature. Heat pumps run best at gentler, steadier temperatures. Oversized radiators or underfloor heating help, and a proper heat loss calculation at survey stage sets this up correctly.
• How you use it. A heat pump prefers to tick along steadily rather than blast on and off like an old boiler. Setting it and leaving it is usually cheaper than constant fiddling.

None of this is complicated, but it is why we won’t quote a running cost for your home without seeing it. A free home survey lets us look at the insulation, radiators and layout, and give you a written quote.

Comparing the upfront cost as well as the bills

Running costs are only half the picture. Published guides give a wide spread for installation. The Energy Saving Trust puts the typical cost at around £12,000 (Energy Saving Trust, 2026). Checkatrade quotes £3,000 to £15,000 for supply and installation on average, not including extras such as upgrading radiators (Checkatrade cost guide, 2026). Heatable says £7,000 to £13,000 (Heatable, 2026), and Worcester Bosch gives £5,000 to £15,000 (Worcester Bosch, seen Oct 2026).

That spread is why a written quote for your own property matters more than any average.

Where the grant fits

Homes in England and Wales can get £7,500 towards an air source heat pump through the Boiler Upgrade Scheme (Energy Saving Trust, 2026). You must own the property and be replacing a fossil fuel system such as gas, oil, electric or LPG (GOV.UK, Boiler Upgrade Scheme eligibility, 2026). The grant is taken off what you pay and shown on your quotation and invoice (GOV.UK, how to apply, 2026).

We are not MCS certified, so if you want the grant, it comes through our MCS-certified partner, who quotes, installs and applies for it on your behalf. If you don’t need the grant, we install the heat pump ourselves.

Is it worth switching from gas?

It depends on what matters to you. If the only goal is a lower bill on a standard tariff, the case is weaker, because a heat pump can cost slightly more to run (Energy Saving Trust, 2026). If you can move to a time-of-use tariff, improve insulation and take up the grant where you qualify, the picture improves. Many people also value moving away from a fossil fuel boiler.

Our page on gas boiler to heat pump replacement covers what the job involves, from survey to commissioning. If you’d like to see equipment and talk to someone in person, you’re welcome to visit our Walsall premises.

Key takeaways

• On standard tariffs a heat pump can cost slightly more to run than a new gas boiler (Energy Saving Trust, 2026).
• A time-of-use tariff can bring running costs below a gas boiler (Energy Saving Trust, 2026).
• Heat pumps are more than three times more efficient than gas or oil boilers (Energy Saving Trust, 2026).
• Insulation, flow temperature and tariff shape your bill more than the heat pump alone.
• The £7,500 grant comes through our MCS-certified partner, and eligibility rules are on GOV.UK.

Talk to a local team

Call 01922 302461 or request a free survey, and we’ll give you a written quote in plain English. Call us on 01922 302461 or request a free survey, and we’ll explain the figures for your home before you commit to anything.