Air source heat pumps for a terraced house
Typical heat pump size: 5–8 kW. Installed cost before grant: £8,500–£12,000. After £7,500 BUS grant in England & Wales, most homeowners pay significantly less.
| Heat pump | New gas boiler | |
|---|---|---|
| Install (after grant) | £500–£8,500 | £2,500–£4,500 |
| Lifespan | 20+ years | 10–15 years |
| Annual running (semi) | £900–£1,400 | £1,000–£1,500 |
| Carbon (10 yrs) | ~3 tCO₂e | ~22 tCO₂e |
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Compare for my home
Step 1 of 5
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What kind of property is it?
Editorial standards
- Independent — No Installer Sponsorship
- Both Sides Compared, No Pre-Decided Winner
- Numbers Sourced From Ofgem + ESCT 2024–25 Studies
- Filterable By Property Type & Current Heating
- Includes BUS Grant + Real Tariff Data
- Reviewed By An MCS-Qualified Heat Engineer
Comparison is intentionally honest — for some homes a high-efficiency boiler genuinely is the better choice. HeatPumpVsBoiler.co.uk has no commercial bias toward either option.
What to expect for a terraced house
A terraced house in the UK typically needs a 5–8 kW air source heat pump, depending on insulation level, glazing, and floor area. The MCS-certified installer's heat-loss survey calculates the exact kW needed — sizing too small leaves you cold, sizing too large causes short-cycling and inflated bills.
The cost range above (£8,500–£12,000) covers the heat pump itself, hot water cylinder, control gear, install labour, electrical connection, MCS commissioning and BUS application. It does NOT include underfloor heating retrofits, which most properties don't need — radiator upgrades (where required) ARE included.
For a terraced house, the most common "hidden cost" is replacing 2–4 radiators with larger ones to handle the lower water temperature (45–55°C vs a boiler's 70–80°C). A good installer prices this in upfront; a cheap one quietly omits it and discovers the issue mid-install.
Is your home ready?
6 signs an air source heat pump fits your home
Modern heat pumps suit far more UK homes than older models did. A short MCS survey confirms the fit — no commitment to install.
Old gas/oil/LPG boiler
Replacing a 12+ year old boiler is the natural switch point. The £7,500 grant changes the maths — heat pump may cost less than a like-for-like boiler swap.
Reasonable insulation
EPC C or D, loft insulated, cavity walls filled if applicable. Doesn't need to be perfect — modern heat pumps handle EPC D fine.
Outdoor space at side or rear
Need ~1 m² for the outdoor unit, ideally not facing the front of the house. Permitted development covers most installs without planning permission.
Off mains gas
Oil, LPG and electric heating run far more expensively than gas. Heat pump payback in these homes can be 4–7 years vs 10–14 years for gas swaps.
Listed building / conservation area
Possible, but you'll likely need planning consent. Allow extra time and budget for a sympathetic install — siting and acoustic enclosures matter.
Microbore pipework / single-pane
Heat pumps run cooler water through radiators than boilers. Microbore pipework, very small radiators, or single-glazed windows may need attention first.
Not sure?An MCS-certified installer's heat loss survey takes ~60 minutes and tells you whether the fit is straightforward, needs a few upgrades first, or isn't the right choice. Most surveys are free and there's no obligation.
Heat pump vs gas boiler — the verdict
How they compare across 25 years
A new gas boiler typically lasts 10–15 years; a heat pump 20+. Across an average 25-year homeownership window, here is the difference for a typical UK semi-detached home.
lifetime carbon saving over a like-for-like gas boiler swap
boiler replacements avoided over a heat pump's 20-year lifespan
estimated 25-year total cost gap (heat pump cheaper, off-gas-grid)
average heat-pump efficiency vs. a 90% efficient combi boiler
How it works
Three steps to a clear answer
No obligation, no pushy follow-ups, no fees from us — ever.
Side-by-side comparison
We compare a heat pump vs a new gas boiler on five axes: install cost (after grants), annual running cost (price-cap and standing charges included), expected lifetime, comfort and noise, carbon footprint, and resale-value impact.
Filtered for your home
The right answer depends on your property. We filter for your property type, current heating, insulation level and region — comparing the options that actually apply to you, not the average UK home.
Clear next step
If a heat pump wins for your situation, we connect you with installers. If a new boiler is genuinely the better choice, we say so — no incentive to push a heat pump that won't suit your home.
Common questions
Air source heat pump FAQs
Installed costs typically run £8,000 to £14,000 before grant for a normal home. Detached or larger properties can reach £16,000. After the £7,500 BUS grant in England & Wales, most homeowners pay £500–£8,500. Scotland's Home Energy Scotland scheme offers up to £15,000 in combined grant + interest-free loan, often making the heat pump cheaper than a like-for-like boiler replacement.
Verify any installer's MCS certification at mcscertified.com.
Ready to take a look?
Get matched with MCS-certified installers in your area
The £7,500 BUS grant runs to 2028 — there's no rush, but waiting another year on an old gas, oil or LPG boiler costs you running-cost savings every month. A free survey tells you whether the fit is straightforward, with zero commitment.
Educational content — not a substitute for an MCS-certified survey.
Authoritative sources cited
- Energy Saving Trust UK heat pump trial 2024 ↗750-home field trial of UK heat-pump performance — used for the SCOP, comfort, and noise figures.
- Ofgem domestic gas + electric tariff data ↗Live price-cap and standing-charge data — used to calculate running-cost comparisons.
- Gas Safe Register ↗UK official register of gas-safe boiler installers — quoted on the boiler side of every comparison.
- Climate Change Committee — UK net-zero pathway ↗Independent statutory body advising UK government on carbon. Source for the 25-year carbon-emission projections in our comparison tables.
Statistics and figures on this site are derived from these sources unless otherwise stated. Errors? We correct promptly — see our corrections policy.
Continue your research
More UK heat pump resources
Sister sites we operate, each focused on a different decision step.