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Neither technology is universally better. A heat pump usually delivers several units of heat for each unit of electricity it buys, while a gas boiler produces heat by burning fuel. That gives a heat pump a strong efficiency and emissions advantage in many homes, but it does not guarantee a lower bill. The result depends on your local electricity-to-gas price ratio, the building’s heat loss, radiator or underfloor-heating design, installation quality, electricity grid and available financial support.
The sound comparison is a properly sized, professionally installed heat-pump system against a boiler on total lifetime cost: equipment, installation, any radiator or electrical work, energy, maintenance and subsidies. A headline efficiency number on its own is not enough.
The short answer
Choose a heat pump when your home can operate comfortably with lower-temperature heat, the electricity tariff is not disproportionately expensive, and you value lower operating emissions. A gas boiler can remain cheaper to install and, in some tariff conditions or poorly designed installations, cheaper to run. The decision should follow a heat-loss calculation and local cost assumptions rather than a generic efficiency claim.
| Question | Heat pump | Gas boiler |
|---|---|---|
| How heat is produced | Moves heat from outside air or the ground using electricity | Burns gas to generate heat |
| Energy-use comparison | The IEA says a heat pump can use three to five times less energy than an efficient gas boiler; this is a general comparison, not a household guarantee | Converts the chemical energy in gas into heat, with an efficient boiler rated at about 92% in the IEA’s UK example |
| Operating emissions | Depend mainly on the electricity mix and refrigerant management; the IEA finds lower greenhouse-gas emissions than gas boilers even on emissions-intensive electricity in its analysis | Produces combustion emissions whenever it operates |
| Installation cost | Historically higher in the UK strategy-era estimate and may require radiator or other ancillary work | Usually less expensive to install in the strategy-era comparison |
| Best operating conditions | Steady, lower-temperature heat with limited building heat loss | Can deliver high-temperature heat quickly, including through smaller existing radiators |
| Economic certainty | Highly sensitive to electricity tariffs, design, subsidies and capital cost | Highly sensitive to gas tariffs and future carbon policy |
“Better” therefore has at least three meanings: lower energy use, lower climate impact, or lower household cost. Those outcomes can point in different directions.
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How the two systems work
Heat pumps move heat instead of making all of it
An air-source or ground-source heat pump uses an electrically driven refrigeration cycle. It extracts low-temperature heat from outdoor air or the ground, raises that heat to a useful temperature and sends it to radiators, underfloor circuits or a hot-water cylinder. Because electricity powers the transfer rather than supplying all the heat directly, the delivered heat can exceed the electrical energy consumed.
The practical performance depends on outdoor temperature, flow temperature, defrost cycles, controls, pipework, emitter size and installation quality. A general efficiency multiple is an average description of the technology, not a promise that every hour of a year will produce the same result.
Gas boilers burn fuel on demand
A condensing gas boiler burns natural gas and transfers heat to water circulating through radiators or underfloor heating. Its efficiency is highest when return-water temperatures are low enough for condensing operation, but it still relies on a fuel delivered through the gas network and creates combustion emissions at the property.
Replacing a boiler with another boiler can be a simpler and cheaper installation where the existing emitters, flue and gas connection remain suitable. That lower capital cost is the main reason a boiler can still appear attractive even when a heat pump uses less purchased energy.
Efficiency: why a heat pump can use less energy
The International Energy Agency’s 2024 material states that a heat pump can use three to five times less energy than an efficient gas boiler. The comparison describes the energy input needed to provide heat; it is not a guaranteed seasonal coefficient of performance for a specific property.
Heat-pump efficiency falls as the system has to deliver hotter water. Oversized or poorly balanced radiators, inadequate insulation, incorrect controls and frequent stop-start operation can force higher flow temperatures and reduce the advantage. A design that calculates room-by-room heat loss and selects emitters and controls accordingly is more informative than a brochure’s maximum efficiency figure.
A modeled UK example
In one IEA example, replacing a 92%-efficient gas boiler in a solid-walled UK house with no insulation with a high-efficiency air- or ground-source heat pump produced modeled energy savings of 60–70%. Adding high insulation alongside the heat pump produced a modeled 90% reduction in annual energy demand for heating. These are source examples, not forecasts for every solid-walled or uninsulated house.
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Emissions during the energy transition
Grid electricity changes the result
A heat pump has no combustion at the home, but its operating emissions reflect how electricity is generated. The IEA’s Future of Heat Pumps executive summary reports lower greenhouse-gas emissions than gas boilers even when the electricity supply is emissions-intensive in its analysis. Cleaner electricity makes the reduction larger.
This means the same installed heat pump can have a different emissions profile in two countries, or in one country as its grid changes. A gas boiler’s direct combustion emissions do not fall when the electricity grid gets cleaner.
Refrigerant leakage matters
Heat pumps contain refrigerants. The IEA warns that unintended F-gas leaks can diminish the climate benefit. Equipment selection, sealed-circuit integrity, qualified installation, recovery at end of life and compliance with refrigerant rules all matter. The operational comparison above is not a complete lifecycle assessment for every model, refrigerant or electricity system.
Will a heat pump lower your bills?
Higher efficiency does not establish a lower bill. You pay for electricity and gas at different unit prices, and you may pay standing charges, time-of-use rates or demand-related costs. The key household question is the ratio between the electricity price and the gas price after allowing for each system’s delivered heat, not the efficiency percentage in isolation.
The IEA describes substantial savings where electricity and gas prices are similar, smaller savings where electricity costs two to four times as much as gas, and much smaller or potentially negative financial benefits where electricity costs more than four times as much. Those examples reflect the article’s country and tariff contexts; they are not current tariffs for every market.
A dated UK running-cost illustration
A UK government Clean Energy campaign illustration published in 2024 put annual running costs at about £2,000 for a gas boiler and £1,900 for a heat pump. The calculation used Octopus Cosy tariff prices and the UK energy price cap for July 2023–July 2024, and assumed no gas standing charge. The page also said costs vary with the smart tariff, heating schedule, property type and efficiency. It is a historical, assumption-bound illustration, not a current quote or a universal saving.
For your own estimate, use the same annual heat demand for both options, apply the actual tariff structure, include standing charges, and model the heat pump’s seasonal performance rather than its best laboratory rating. Ask for sensitivity cases using higher and lower electricity prices so that a single tariff assumption does not decide the result.
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Upfront cost and lifetime economics
Installation and ancillary work
The UK Net Zero Strategy said, at the time it was published, that heat pumps cost significantly more to install than gas boilers. It cited around £10,000 as an average-home installed-cost estimate in that strategy-era context and noted possible additional work, including radiator upgrades. Equipment, labor, electrical alterations, hot-water storage, insulation improvements and disposal of the old system can all change an actual quote.
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That figure and the grants discussed in the strategy are historical policy-era information, not a current price or confirmation that the same support is available today. Obtain a written, property-specific quotation instead of applying the strategy estimate to your home.
Use levelised cost, not only the purchase price
The IEA’s 2025 levelised-heating-cost chart, updated 5 June 2026, combines capital and installation costs with fuel and regular maintenance. For an air-to-air heat pump replacing an air conditioner, it also accounts for cooling demand. The chart excludes subsidies and defines a difference of less than 5% between heat-pump and boiler levelised costs as no clear economic case.
That classification is country-specific and is not an individual installation quote. When comparing your options, list:
- Equipment, design and installation costs.
- Radiator, pipework, controls, hot-water-cylinder and electrical upgrades.
- Gas, electricity and standing charges under realistic tariffs.
- Routine servicing and likely component replacement.
- Available grants or tax treatment, clearly marked as included or excluded.
- Any value from cooling, if the heat-pump system would replace separate air-conditioning equipment.
Does a heat pump work in a poorly insulated house?
Yes, but usually less easily and with a larger design requirement. The IEA says heat pumps work best in well-insulated homes because they deliver heat at a lower temperature than a traditional boiler and perform best with consistent output and minimal heat loss. A poorly insulated house may need a larger-capacity heat pump to maintain comfort during cold weather.
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A free scan shows the junk files, broken settings and background clutter dragging Windows down - then fixes them in one click.Free scan · Windows 10 & 11Insulation is therefore helpful, not a binary prerequisite. The IEA’s UK modeled example still found 60–70% energy savings against a 92%-efficient boiler in an uninsulated solid-walled house. Adding high insulation with the heat pump reduced modeled annual heating energy demand by 90%.
What insulation changes in the design
- Lower heat loss reduces the heat pump’s required capacity.
- Lower demand can allow smaller radiators or lower flow temperatures to maintain comfort.
- The compressor may run more steadily instead of cycling at high output.
- Reduced demand lowers exposure to expensive electricity during cold periods.
Do not postpone every heat-pump project until a house reaches an ideal insulation standard. Instead, have the installer calculate heat loss in the current building, identify cost-effective envelope improvements and show how system size and operating cost change if those improvements are made.
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Home suitability: the checks that decide the outcome
Heat-loss calculation
Request a room-by-room heat-loss assessment rather than a replacement based on the old boiler’s rating. The calculation should account for walls, roof, floors, windows, ventilation and design outdoor temperature. A heat pump selected only by matching the old boiler’s kilowatt figure can be too large, too small or inefficiently controlled.
Emitters and flow temperature
Existing radiators may deliver adequate heat at lower water temperatures, but some rooms may need larger radiators or different emitters. Underfloor heating is naturally compatible with lower temperatures, yet the whole distribution system still needs balancing and control setup. Ask for design flow and return temperatures for the coldest design condition, not just a maximum output number.
Electrical and hot-water requirements
The installation assessment should verify electrical capacity, consumer-unit or wiring changes, outdoor-unit location, condensate drainage and space for a hot-water cylinder where one is required. It should also explain how hot water is scheduled and how any auxiliary heater is controlled. These practical requirements can materially affect both cost and daily operation.
A step-by-step way to compare the options
- Record the baseline. Gather 12 months of gas use, electricity use, tariffs, standing charges, boiler age, service history and comfort complaints. Separate heating and hot-water demand where your meter or controls allow it.
- Measure the building. Obtain a heat-loss calculation for each room and document insulation, windows, draughts and ventilation. Do not infer heat loss solely from the existing boiler size.
- Specify the heat-pump design. Ask for source type, rated capacity at the local design temperature, seasonal performance assumptions, design flow temperature, emitter changes, cylinder size, controls and electrical work.
- Price a like-for-like boiler option. Include the boiler, flue, controls, installation, future servicing and any required replacement of ageing radiators or pipework.
- Model annual energy. Apply local gas and electricity tariffs, standing charges and realistic seasonal performance. Show low, central and high tariff cases rather than one optimistic forecast.
- Calculate lifetime cost. Combine capital cost, maintenance, energy, expected replacement timing and verified subsidies. State whether each subsidy is included and its eligibility conditions.
- Compare emissions. Use the current electricity-grid factor for the location and state that refrigerant leakage can reduce the heat pump’s advantage. Keep operational emissions separate from a full lifecycle assessment.
- Stress-test the result. Recalculate with colder weather, higher electricity prices, lower heat-pump performance and planned insulation improvements. If the ranking changes easily, treat the decision as financially sensitive.
- Check workmanship and aftercare. Confirm commissioning, balancing, controls training, refrigerant handling, warranties and who will correct performance problems.
Where a gas boiler can still make sense
A boiler may be the pragmatic short-term choice when the property needs very high-temperature heat, the electrical connection would require costly upgrading, the heat-pump quotation involves extensive emitter work, or the local electricity-to-gas price ratio makes operation uneconomic. A lower purchase price can matter when the expected ownership period is short.
That is not a claim that boilers are the better long-term climate option. It means the household should compare the real alternative, including the cost and timing of a future transition, rather than treating a technically unsuitable heat-pump installation as the only benchmark.
Where a heat pump is usually the stronger option
A heat pump is often the stronger choice when the home has manageable heat loss, emitters can provide comfort at lower temperatures, electricity pricing is favorable or flexible, and the owner expects to stay long enough to recover higher capital costs. Its emissions advantage improves as the electricity supply becomes cleaner, and it can provide cooling where an air-to-air system replaces separate cooling equipment.
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Common mistakes and how to avoid them
Using the efficiency multiple as a bill forecast
Three to five times less energy does not mean three to five times lower spending. Convert energy use into money with your actual tariffs, standing charges and seasonal demand.
Treating insulation as all-or-nothing
A heat pump can work in an uninsulated home, but heat loss raises required capacity and running cost. Ask for staged options that show the effect of insulation and draught reduction.
Comparing equipment prices only
Include radiators, hot-water storage, controls, electrical work, commissioning, maintenance and subsidies. A cheap quote that omits these items is not comparable.
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The UK strategy’s £10,000 estimate, grant discussion, 600,000-installations-per-year ambition by 2028 and proposed phase-out of new and replacement gas boilers by 2035 at the latest describe that policy period. They do not confirm current prices, grants, deadlines or legal requirements.
Confusing hydrogen policy discussion with a present option
The UK boiler-standards consultation outcome, last updated 14 March 2024, said a domestic hydrogen-ready-boiler requirement would follow only if a 2026 decision found hydrogen had a substantive role in heat decarbonisation, and then from 2030. That was conditional policy context, not evidence that hydrogen boilers are a settled household alternative today.
UK policy context: useful background, not a purchase instruction
The Net Zero Strategy described a target of 600,000 heat-pump installations per year by 2028 and a proposed phase-out of new and replacement gas boilers by 2035 at the latest, subject to cost conditions. Those were commitments and proposals recorded at publication. Check current legislation, standards and support before relying on them for a household decision.
Policy can alter future fuel prices, grants, installation standards and resale expectations, but it should be treated as one scenario in a lifetime model. A current local assessment remains more reliable than an old target or headline deadline.
What to request from an installer
- A room-by-room heat-loss report and the design outdoor temperature used.
- Heat-pump capacity at that design temperature, not only a nominal laboratory rating.
- Design flow and return temperatures, emitter outputs and any radiator changes.
- Predicted seasonal performance and the assumptions behind it.
- A complete scope covering cylinder, controls, electrical work, pipework, insulation and commissioning.
- Annual energy and cost estimates using your tariff, with sensitivity cases.
- Maintenance schedule, refrigerant credentials, warranty terms and performance support.
- A separate quotation for a boiler alternative using the same comfort and hot-water requirements.
Bottom-line decision rule
Use a heat pump when a verified design can meet the home’s heat loss at sensible temperatures and the lifetime model remains competitive under realistic electricity tariffs. Retain or replace a gas boiler only after checking whether its lower installation cost and local running-cost advantage outweigh higher fuel dependence and emissions over the period you expect to own the system. The energy transition does not produce one universal winner: it rewards accurate design, transparent assumptions and a comparison based on your building and location.
