Heat pump vs gas boiler — running costs compared
Not sure if this matches your problem?
Use our interactive tool — answer a few questions and get a personalised diagnosis.
Most likely cause & what to check
The key comparison is pence per kWh of heat delivered. Gas currently costs around 5–6p/kWh and electricity around 24–25p/kWh (2025/26 prices).
A gas boiler at 90% efficiency delivers heat at roughly 6p/kWh. A heat pump at COP 3 delivers heat at about 8p/kWh (24p ÷ 3 = 8p). This makes heat pumps slightly more expensive to run at current prices.
The gap narrows or reverses if your heat pump has a high COP (3.5+), which requires a well-insulated home with low-temperature heating such as underfloor heating or oversized radiators.
The government has committed to bringing electricity prices closer to gas prices to make heat pumps more competitive. The Warm Homes Plan includes a time-of-use tariff subsidy for heat pump users.
Running costs are only part of the picture — heat pumps also have: no annual Gas Safe service requirement, no risk of gas leaks or CO, much lower carbon emissions, and longer equipment life (15–20 years vs 10–15 for boilers).
For many homeowners, the economics only fully work with the BUS grant, solar panels (to provide cheap electricity), or an Octopus Cosy or similar EV/heat pump tariff offering cheap overnight electricity.
The right decision depends on your specific home, insulation level, and how long you plan to stay. Get quotes from at least two MCS-accredited installers before deciding.
Prefer to have it done for you?
Find me an engineer →Was this guide helpful?