Switching to a heat pump is one of the most effective ways to lower your energy bills and make your home more sustainable – but how much does it really cost to install one?
At Sustain Heating, we’ve designed and installed hundreds of air source heat pumps across the South West. Below, we explain what you can expect to pay, what affects the total cost, and how government grants can make installation more affordable than you might think.
Typical Heat Pump Installation Costs (2025 Guide)
| Installation Type | Typical Cost Range | What’s Included |
|---|---|---|
| Retrofit (existing homes) | £5,000 – £15,000 | Full design, new hot water cylinder, upgraded radiators or underfloor heating, all pipework and labour |
| New Build Installations | £3,000 – £8,000 | Integrated installation during construction (first/second fix), no retrofit work needed |
Prices vary depending on property size, insulation, and chosen brand of equipment.
What Affects the Cost of a Heat Pump?
Several factors influence how much your installation will cost:
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Property Size & System Design
Larger homes need more powerful heat pumps, additional pipework, and higher-capacity cylinders. -
Radiator or Heating Upgrades
Older systems often require radiator upgrades or underfloor heating for better efficiency. -
Equipment Quality & Brand
High-performance brands like Vaillant, Samsung, or Mitsubishi offer better long-term reliability and warranties. -
Installer Accreditation
Always choose an MCS-accredited installer. Non-accredited installations won’t qualify for grants or manufacturer warranties.
The Boiler Upgrade Scheme (£7,500 Grant)
The Boiler Upgrade Scheme (BUS) is a government initiative designed to help homeowners replace fossil fuel systems with renewable heating.
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Provides £7,500 towards the cost of an air or ground source heat pump.
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Claimed by your installer directly – you receive the discount automatically on your invoice.
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Managed by Ofgem and only available for installations completed by MCS-accredited companies.
With this support, many homeowners see their total installation cost reduced from £12,000 to around £4,500 – £6,000.
What’s Included in a Sustain Heating Installation
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Professional Heat Loss Survey – We calculate exactly how much heat your home loses, ensuring your system is perfectly sized.
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Accredited Installation – MCS, NICEIC, and TrustMark approved engineers for guaranteed quality.
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Manufacturer & Workmanship Warranties – Coverage ranging from 2–10 years, registered for you.
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Aftercare & Servicing – We offer ongoing maintenance to keep your system efficient for years to come.
Final Thoughts
Installing a heat pump is a long-term investment that can save you money and dramatically reduce your carbon footprint.
With the £7,500 Boiler Upgrade Scheme, the upfront cost is more affordable than ever – especially when installed by an accredited specialist like Sustain Heating.
