Heat Pump vs Gas Boiler: Running Costs Comparison for UK Households
Understanding Running Costs in the UK
When comparing heat pumps and gas boilers, installation cost is only part of the equation. For most UK households, long-term running costs play a far greater role in determining overall value. These costs are influenced by energy prices, system efficiency, and how well a property retains heat.
A realistic comparison must consider everyday usage rather than headline efficiency figures alone.
How Gas Boiler Running Costs Are Calculated
Gas boiler running costs are largely determined by gas unit prices and boiler efficiency. Modern condensing boilers operate efficiently, but they still rely on fossil fuel combustion, meaning costs fluctuate with gas market prices.
In many UK homes, gas boilers remain predictable and familiar, particularly where existing radiators and pipework are designed for high-temperature systems.
How Heat Pump Running Costs Are Calculated
Heat pumps use electricity to transfer heat rather than generate it directly. Their efficiency is measured by the coefficient of performance (COP), which indicates how much heat is produced per unit of electricity consumed.
In well-insulated homes, a heat pump can deliver significantly more energy than it uses, helping offset higher electricity prices.
Electricity vs Gas Prices in the UK
Historically, gas has been cheaper per unit than electricity in the UK. This price gap has made gas boilers cheaper to run for many households, despite lower efficiency.
However, energy pricing is changing, and future policy shifts may continue to narrow the difference, particularly as renewable electricity generation expands.
Efficiency, Insulation and Real-World Performance
A heat pump’s running cost advantage depends heavily on insulation quality and heat distribution systems. Properties with poor insulation or traditional radiators may see reduced efficiency and higher costs.
Gas boilers tend to be more forgiving in older or less efficient homes, maintaining consistent performance even where heat loss is higher.
Which System Is Cheaper to Run for UK Homes?
In highly insulated homes, heat pumps can match or undercut gas boiler running costs over time. In older properties without upgrades, gas boilers often remain cheaper in day-to-day use.
The correct choice depends on property condition, energy tariffs, and long-term plans rather than a single national average.