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Ground source heat pump cost guide

With the growing popularity of green energy solutions in the UK, many homeowners are looking for alternative heating options for their homes – such as ground source heat pumps. In this guide, we look at the average ground source heat pump cost in the UK.

While many properties still use a traditional boiler heating system, there is an increasing demand to switch to greener energy. And the government has even introduced a scheme to help finance greener, more energy-efficient homes.

ItemRange - LowRange - HighAverage cost
Supply and installation of ground source heat pump£13,000£35,000£24,000
Annual energy cost saving£790£1,425£1,108

Ground source heat pump (GSHP) installation costs

The initial cost of a ground source heat pump is fairly expensive when compared to standard boiler installation. You’re looking at an average ground source heat pump installation cost in the region of £13,000–£35,000.

The cost of your ground source heat pump will vary depending on the type and complexity of the system you have installed. Naturally smaller, simpler systems will cost less than larger or more complex heat pump systems.

A horizontal system will be cheaper than boreholes, for example. The good news is that the government’s Renewable Heat Incentive (RHI) scheme includes the installation of ground source heat pumps as part of the eligible green energy solutions.

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Ground source heat pump costsWhat is the RHI scheme?

The Renewable Heat Incentive (RHI) is a government scheme to support the installation and use of greener energy solutions. For domestic projects, it offers eligible homes a subsidy that’s paid every quarter over 7 years.

If you meet the criteria, then the government will pay out a potentially significant proportion of the cost of your energy installation. And with ground source heat pumps on the list, you could claim back a good chunk of your initial outlay cost.

Annual energy-saving with a GSHP

One of the major advantages of installing a ground source heat pump is the savings on your ongoing energy bills. It’s estimated that you can save up to £790 to £1,425 per year on your heating bill when you replace an old electric system with a GSHP.

Energy savings will depend on a number of key factors, including your existing heating system, the size of your property, and your new ground source heat pump system. Switching from gas to a heat pump will be lower savings, but changing from electricity generally offers a bigger saving each year.

Benefits of a ground source heat pump

There are a range of benefits of having a ground source heat pump installed in your home, such as:

  • A green energy solution that minimises impact on the environment
  • Minimal use of electricity to operate
  • Reduced energy bills
  • Eligible for financial support with the RHI scheme
  • Very low maintenance

The main disadvantages of having a GSHP installed are the initial cost, which can be pretty expensive, and the disruption of digging for the installation. But once it’s installed you have a long-lasting, renewable source of green energy for your home.

How do ground source heat pumps work?

Ground source heat pumps absorb heat energy from the ground and transfer it to water, which in turn heats your home and hot water. The GSHP system involves installing a system of loops in the ground, that sit either horizontally or vertically in the ground.

Heat pumps need some electricity to run, but the heat energy they absorb from the ground is constantly being renewed. This means they generate far more energy than they use.

Useful ground source heat pump checklist

  • The average cost of ground source heat pump installation is £24,000, with an annual energy cost saving of approx. £1,108
  • Speak to your local ground source heat pump experts for their advice.
  • Review other green energy options, such as air source heat pumps.
  • Shop around for fair and competitive prices.
  • Always hire experienced tradespeople to install your ground source heat pump and ensure they’re accredited to the Microgeneration Certification Scheme (MCS).

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