The Government's target to phase out new gas boiler installations by 2035 has pushed heat pumps into the spotlight. Here's an honest look at whether a heat pump makes financial sense for a typical UK home right now.
How heat pumps work
A heat pump extracts heat from the air (air source) or ground (ground source) and concentrates it to heat your home and hot water. Unlike a boiler, it doesn't generate heat by burning fuel — it moves it. This is why they're rated as very efficient: for every 1kW of electricity they consume, they typically deliver 2.5–4kW of heat.
The case for heat pumps
**Lower carbon emissions.** Even on the current UK electricity grid (which is increasingly renewable), a heat pump has lower carbon emissions per unit of heat than a gas boiler. As the grid decarbonises further, this advantage grows.
**Lower running costs (potentially).** If your heat pump achieves a Coefficient of Performance (COP) of 3.5, and you're on an economy tariff, heating costs can be comparable to — or better than — gas for well-insulated homes.
**Government incentives.** The Boiler Upgrade Scheme currently provides a £7,500 grant toward heat pump installation for eligible properties.
The case against (for many UK homes right now)
**Higher installation cost.** A heat pump installation typically costs £10,000–£18,000, compared to £3,000–£6,000 for a new gas boiler.
**Performance depends heavily on insulation.** Heat pumps work at lower flow temperatures (35–45°C vs 60–80°C for a gas boiler). In a poorly insulated home, the system may struggle to maintain comfort. Radiators may need upsizing, or underfloor heating installed.
**Electricity costs.** Electricity costs approximately 3–4× the cost of gas per kWh in the UK. Even with a COP of 3.5, heat pumps may not save money over a modern gas boiler without time-of-use tariffs and significant insulation.
**Older or poorly insulated properties.** Victorian terraces, older semis, and homes without adequate insulation often aren't good candidates for heat pumps without significant (and costly) insulation upgrades first.
Our honest assessment
For well-insulated, modern properties, heat pumps are a viable and increasingly sensible option — especially with the government grant. For the majority of older UK homes, a high-efficiency gas condensing boiler remains the most practical and cost-effective heating solution in 2025.
We'd always recommend getting a proper heat loss survey and an honest assessment of your property before committing to either system.
For gas boiler installations and advice across Sutton Coldfield and Birmingham — **07507 133204**.