Blog Post

What are the running costs of an Air Source Heat Pump?

Air Source Heat Pump Running Costs in the UK: A Complete Guide | BookaBuilderUK.com -

Air source heat pumps are all the rage in the UK, especially with homeowners looking to reduce their carbon footprint and get an efficient heating solution. Understanding the costs involved in heat pump installation is crucial for homeowners considering this efficient heating solution. But how much does it actually cost to run an air source heat pump? In this post we will break down all the costs involved and how they compare to traditional heating systems.

What is an Air Source Heat Pump?

An air source heat pump is a renewable heating system that extracts heat from the outside air and brings it into your home. Using a system of refrigeration and compression, an air source heat pump system can heat your home and supply hot water even when it's freezing outside. Unlike traditional boilers which burn fossil fuels, an air source heat pump is electric, so it's better for the environment for your home heating.

Definition and Explanation

An air source heat pump is a type of heating system that harnesses heat from the outside air to provide warmth and hot water to your home. This innovative technology works by transferring heat from the outside air to a fluid, which is then used to heat water or provide space heating. Air source heat pumps are becoming increasingly popular in the UK due to their low-carbon emissions and the attractive government incentives available to homeowners. By choosing an air source heat pump, you can enjoy a more sustainable and efficient way to heat your home.

How Does a Heat Pump Work?

A heat pump operates on the principle of heat transfer, which involves absorbing heat from one location and transferring it to another. In the case of an air source heat pump, it absorbs heat from the outside air and transfers it to a fluid. This fluid is then used to heat water or provide space heating within your home. The heat pump utilizes a refrigerant to absorb heat from the air and transfer it to the fluid. This fluid is then pumped through a heat exchanger, which distributes the heat throughout your home, ensuring a warm and comfortable environment.

Operating Principle

The operating principle of a heat pump is based on the concept of heat transfer. It works by using a refrigerant to absorb heat from the outside air and transfer it to a fluid. This fluid is then used to heat water or provide space heating. The heat pump employs a compressor to compress the refrigerant, raising its temperature and enabling it to absorb heat from the outside air. The absorbed heat is then transferred to the fluid, which is pumped through a heat exchanger to distribute the heat throughout your home. This efficient process ensures that your home remains warm and comfortable, even in colder weather.

Benefits of Heat Pumps

Heat pumps offer a multitude of benefits, making them an attractive option for homeowners. One of the primary advantages is their low-carbon emissions, which help reduce your environmental footprint. Additionally, heat pumps are highly energy-efficient, providing significant cost savings on your energy bills. They are also a renewable energy source, reducing reliance on fossil fuels. Furthermore, heat pumps can provide a reliable source of hot water and can be seamlessly integrated with underfloor heating systems, enhancing the overall comfort of your home.

Advantages and Pros

The advantages of heat pumps include:

Low-carbon emissions: Heat pumps are a renewable energy source that can significantly reduce reliance on fossil fuels and lower carbon emissions.
Energy efficiency: Heat pumps are highly efficient, providing up to 4 units of heat energy for every unit of electricity used.
Cost savings: Heat pumps can lead to substantial cost savings on energy bills, especially for homes that are well-insulated and have a high energy efficiency rating.
Flexibility: Heat pumps can be used in conjunction with underfloor heating systems and can provide a reliable source of hot water.
Government incentives: Heat pumps are eligible for government grants and incentives, which can help reduce the cost of installation and make them a more affordable option for homeowners.

By understanding the benefits and advantages of heat pumps, you can make an informed decision about whether this efficient and environmentally friendly heating solution is right for your home.

Air Source Heat Pump Running Costs

One of the best things about an air source heat pump is its efficiency. While an A-rated gas boiler typically has an efficiency of about 90%, air source heat pumps can achieve efficiencies over 350%. Air source heat pumps can achieve a coefficient of performance (COP) of 3 to 4 so they produce 3 to 4 times more energy than they use in electricity. Air source heat pump running costs in the UK will depend on electricity rates, system efficiency and property heating requirements.

Electricity: The cost to run an air source heat pump is mainly driven by electricity prices. An air source heat pump will use between 3,000 to 5,000 kWh per year depending on the size of your home and insulation. At an electricity rate of £0.34 per kWh (2023) this is £1,020 to £1,700 per year.

Seasonal Variation: Another factor to consider is the air source heat pump efficiency across the seasons. In winter when its colder the pump will be slightly less efficient and use more energy. In milder weather the air source heat pump will be more efficient and use less energy.

Heat Demand: Homes with more heat demand will cost more to run. Properties that are not well insulated will not get the full benefits of an air source heat pump and will use more electricity.

Key Factors That Affect Air Source Heat Pump Running Costs

Efficiency Rating: The performance of an air source heat pump has a big impact on running costs. Modern well maintained systems have a higher efficiency rating so use less electricity for the same amount of heat.

Insulation: Good insulation in the home means less energy is needed to keep warm. An air source heat pump works best in a well insulated home and poor insulation will use more energy and cost more.

Electricity Tariff: The type of electricity tariff you are on can make a big difference to the running costs of your air source heat pump. Some homeowners choose off-peak tariffs like Economy 7 which can reduce the cost of running the air source heat pump during off-peak hours.

Climate: The UK climate may be mild but it can affect air source heat pumps. In the coldest months the air source heat pump has to work harder to extract heat from the outside air and will use more energy.

Heating Controls: Smart heating controls and thermostats can help control when and how your air source heat pump runs. This will optimise its running costs so you only use energy when you really need to.

Air Source Heat Pump Costs vs Traditional Heating

When looking at running costs, it’s helpful to compare an air source heat pump to traditional heating systems like gas or oil boilers.

Gas Boilers: Heating with gas in the UK is generally cheaper per kWh than electricity. But air source heat pumps are 3 times more efficient than gas boilers so the cost difference is somewhat balanced out.

Oil Boilers: Running an oil boiler is generally more expensive than gas and unlike air source heat pumps it’s subject to volatile oil prices. An air source heat pump gives you more cost stability as it’s powered by electricity which can be sourced from renewable sources.

Electric Boilers: Compared to an electric boiler an air source heat pump is much more efficient. Electric boilers run at 100% efficiency whereas air source heat pumps run at 300-400% efficiency so the running costs will be much lower in the long run.

Underfloor heating heat pumps are particularly effective in heating spaces where temperature differences are minimized, making them a suitable choice for underfloor heating systems.

How to Reduce Air Source Heat Pump Running Costs

There are several ways to reduce the running costs of an air source heat pump in the UK. These include:

Maximise Insulation: The more insulated your home the less energy your air source heat pump will use. This means lower running costs especially in winter.

Smart Thermostat: A smart thermostat allows you to set exact heating schedules and only heat your home when you need to and cut down on unnecessary energy use.

Regular Maintenance: Keeping your air source heat pump well maintained means it will run efficiently. Regular servicing will help identify and fix any issues that will reduce its efficiency.

Off-Peak Tariff: Shift your electricity use to off-peak hours and save. Consider Economy 7 or Economy 10 tariffs to get cheaper electricity during specific periods.

Real-Life Example of Running Costs

Let's look at an example. A typical 3 bedroom home in the UK with moderate insulation would use around 12,000 kWh of heat per year. An air source heat pump with a COP of 3 would use around 4,000 kWh of electricity per year to meet this demand. At £0.34 per kWh this would cost £1,360 per year. A gas boiler would cost around £900-£1,000 per year depending on gas prices but without the benefits of renewable energy and lower carbon emissions.

Air Source Heat Pump Running Costs vs Installation Costs

While this blog is about running costs we should mention installation costs. The installation cost of an air source heat pump is a big investment typically ranging from £7,000 to £14,000. But government incentives like the Boiler Upgrade Scheme (BUS) and Renewable Heat Incentive (RHI) can help offset these upfront costs so air source heat pumps are a viable option for many homeowners.

Government Incentives

The government is keen to get people to adopt renewable technologies like air source heat pumps. As of 2023 the Boiler Upgrade Scheme (BUS) offers up to £5,000 in grants to help with the installation costs of air source heat pumps. And the Smart Export Guarantee (SEG) allows households with renewable energy systems to sell excess electricity back to the grid and reduce the overall cost of ownership.

Ground source heat pumps are generally quieter than air source heat pumps because they do not utilize a fan, and they require a larger outdoor area for installation.

Are Air Source Heat Pumps Worth the Running Costs?

The running costs of an air source heat pump in the UK will vary but with electricity prices offset by the system’s high efficiency they are often a cost effective and environmentally friendly heating solution. Compared to traditional gas or oil boilers an air source heat pump may have higher upfront costs but the running costs will be competitive in the long run especially in well insulated homes.

And the reduced carbon emissions and ability to tap into renewable energy sources make air source heat pumps a good option for those who want to reduce their environmental impact. With government incentives and lower energy bills in the long run an air source heat pump is worth considering for UK homeowners.

In summary, while the running costs of an air source heat pump may seem higher upfront due to electricity prices, their efficiency and ability to produce 3-4 times the energy consumed makes them cost effective in the long run. For those with well insulated homes an air source heat pump is a great balance of performance, efficiency and environmental sustainability. If you want to switch to a greener more efficient air source heat pump heating system then an air source heat pump is worth the investment.

To reduce the running costs of an air source heat pump make sure your home is well insulated, use smart heating controls and take advantage of the best electricity tariffs. That way you can have a warm home without sky high energy bills.

Frequently Asked Questions

How much does an air source heat pump cost to run per year?£1,020 to £1,700 per year depending on the size of your home, insulation and electricity rates.

Are air source heat pumps cheaper than gas boilers?Gas may be cheaper per kWh but air source heat pumps are more efficient which often offsets the costs especially in well insulated homes.

Can government grants help with the costs?Yes the Boiler Upgrade Scheme offers up to £5,000 in grants which can help reduce the upfront installation costs.

By choosing an air source heat pump you’re investing in an energy efficient future that’s good for your pocket and the planet. View our full guide on ASHP’s