Heat Pumps vs Gas Boilers: The True Running Cost Breakdown
Renewables

Heat Pumps vs Gas Boilers: The True Running Cost Breakdown

22 March 20259 min read

Air source heat pumps extract heat from the outside air — even at temperatures as low as -15°C — and transfer it into your home using refrigeration technology. For every 1kWh of electricity consumed, they produce 3-4kWh of heat. Gas boilers, by comparison, max out around 90% efficiency.

The headline efficiency difference sounds dramatic, but electricity costs roughly 3-4 times more per kWh than gas. So the real comparison depends on your electricity tariff, insulation levels, and whether you can access off-peak rates.

With Octopus Agile, Cosy, or OE tariffs, heat pump running costs are typically 20-40% lower than an equivalent gas boiler in a well-insulated home. In a poorly insulated property, the savings shrink — and sometimes reverse.

The Boiler Upgrade Scheme (BUS) currently provides up to £7,500 towards heat pump installation costs. For a typical 3-bedroom home, this brings the net installation cost down to £3,000-£8,000 depending on system complexity and radiator upgrades.

Heat pumps work best with low-temperature heat emitters. Underfloor heating and oversized radiators are ideal. Standard radiators may need upgrading to larger double or triple-panel units to deliver the same warmth at 40-45°C flow temperature.

Hot water cylinders are required. Heat pumps heat water more slowly than boilers, so a well-insulated cylinder — typically 200-300 litres — stores enough hot water for daily use. We install cylinders with immersion backup for summer efficiency.

At RTS Electrical, we are MCS-certified for heat pump installation and can manage your BUS grant application from start to finish. We also coordinate with plumbers and heating engineers for a seamless installation across Flintshire and North Wales.

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