The Cost of Installing a New Boiler

Installing a new boiler is one of the most impactful upgrades you can make to your home, improving both comfort and energy efficiency. Whether your existing system is outdated, unreliable, or simply not meeting your household’s needs, a new boiler can save you money on energy bills, reduce breakdowns, and keep your home warm and cosy throughout the year.

However, the cost of installing a new boiler can vary significantly depending on factors such as the type of boiler, the size of your home, and the complexity of the installation process. From combi boilers to conventional systems, understanding these cost drivers will help you plan effectively and make an informed decision.

In this guide, we’ll break down the key factors that influence boiler installation costs, provide average price ranges for 2024, and share tips to save money without compromising on quality. If you’re unsure which type of boiler is right for you, check out our blog on Choosing the Right Heating System for Your Home for expert advice.

Key Factors That Influence Boiler Installation Costs

The cost of installing a new boiler can vary significantly based on several factors. Whether you’re replacing an old unit or upgrading to a more efficient system, understanding these key cost drivers will help you plan your budget effectively and avoid surprises. Let’s break it down:

Boiler Type

The type of boiler you choose has a significant impact on both the purchase price and installation costs. Here’s a quick comparison of the main types:

• Combi Boilers (Combination): Ideal for smaller homes with limited space, combi boilers provide heating and hot water on demand without the need for a separate water tank. They are typically the most cost-effective option, with installation prices ranging from £1,500 to £3,500.
• System Boilers: A great choice for homes with higher water demands, system boilers work with a hot water cylinder but don’t require a cold water tank. Installation costs generally range from £2,000 to £4,500.
• Conventional Boilers (Regular or Heat-Only): Common in older properties, conventional boilers require both a hot water cylinder and a cold water tank, making installation more complex. Costs can range from £2,500 to £5,000 or more, depending on the property layout.

Each boiler type comes with its own advantages, so choosing the right one depends on your household’s hot water usage, available space, and budget.

Home Size and Hot Water Demand

Your home’s size and the number of occupants will determine the size and type of boiler you need. Larger homes with multiple bathrooms require bigger boilers to meet higher water demands:

• Small Homes and Flats: A 24–28kW combi boiler is usually sufficient for a one-bathroom property, keeping installation costs lower.
• Medium Homes (2–3 Bedrooms): A 28–35kW boiler works well for homes with two bathrooms and moderate water usage.
• Larger Homes (4+ Bedrooms): Homes with multiple bathrooms and higher water demand may need a system or conventional boiler with a higher output (35kW+).

Installing an undersized boiler can lead to poor performance, while an oversized one wastes energy. Working with a qualified installer ensures you choose the right size for your home.

Installation Complexity

The complexity of the installation process can greatly influence costs. Here are some scenarios that may increase the price:

• Like-for-Like Replacement: Replacing an old boiler with a new one of the same type is the simplest and cheapest option, costing £1,500–£2,500.
• Upgrading Systems: Switching from a conventional boiler to a combi system, for example, involves removing tanks and rerouting pipework, increasing costs to £3,000–£5,000.
• Relocating the Boiler: Moving your boiler to a different location in the home adds labour and material costs, typically an extra £500–£1,000.

Discussing your options with a heating professional can help you decide the best approach for your home.

Location and Labour Costs

Where you live in the UK can also influence the cost of boiler installation. Labour rates tend to be higher in London and the South East compared to other regions:

• London and South East: Labour costs can add 10%–20% to your total installation price.
• Midlands and Northern England: Installation tends to be more affordable, with lower hourly rates for engineers.

Additionally, properties in hard-to-access areas, such as flats or older homes, may incur extra charges for installation logistics.

Additional Features and Upgrades

Many homeowners opt to include additional features or upgrades during the boiler installation process. These extras add value and improve efficiency but also increase costs:

• Smart Thermostats: Installing a smart thermostat like Hive or Nest can add £200–£300 but helps save money on energy bills.
• Power Flushing: Cleaning your heating system before installing a new boiler ensures better performance but costs around £300–£500.
• System Filters: Adding magnetic filters to protect your boiler from sludge build-up costs £100–£200.

While these upgrades come with an initial cost, they often pay for themselves over time by improving energy efficiency and extending the lifespan of your new boiler.

By understanding these key factors, you’ll be better prepared to budget for your boiler installation and avoid unexpected expenses. 

Average Boiler Installation Costs in 2024

The cost of installing a new boiler can vary significantly depending on the type of boiler, the size of your home, and the complexity of the installation. To give you a clearer picture of what to expect, here’s a breakdown of average boiler installation costs for 2024 across different boiler types:

Combi Boiler Costs

Combi (combination) boilers are the most popular choice for smaller homes and flats, as they don’t require a separate water tank. They provide heating and hot water on demand, making them efficient and space-saving. Here’s what you can expect to pay:

• Boiler Cost: £500–£2,000, depending on the brand and output.
• Installation Cost: £1,000–£1,500 for a like-for-like replacement.
• Total Cost: £1,500–£3,500 on average.

Combi boilers are ideal for homes with one bathroom and moderate hot water demand. They’re typically more affordable to install because of their compact design and simpler pipework requirements.

System Boiler Costs

System boilers work with a hot water cylinder but don’t require a cold water tank, making them a good choice for homes with higher water demand. These are ideal for properties with multiple bathrooms. Costs include:

• Boiler Cost: £1,000–£2,500, depending on the model and output.
• Installation Cost: £1,500–£2,000, particularly if you’re replacing an existing system boiler.
• Total Cost: £2,500–£4,500 on average.

While system boilers cost slightly more than combi boilers, they’re perfect for larger households where multiple taps or showers may be in use at the same time.

Conventional Boiler Costs

Also known as heat-only or regular boilers, conventional systems are often found in older homes and properties with existing tanks and pipework. They’re ideal for households with very high water demand. Here’s the cost breakdown:

• Boiler Cost: £1,200–£3,000 for premium models.
• Installation Cost: £2,000–£3,000, particularly if replacing old pipework or upgrading tanks.
• Total Cost: £3,500–£5,500 or more.

While conventional boilers are more expensive to install, they’re often the best option for larger homes or properties with outdated heating systems that require a like-for-like replacement.

Additional Costs to Consider

Beyond the price of the boiler and labour, there are additional costs to keep in mind, including:

• Smart Thermostats: £200–£300 for systems like Hive or Nest, which help improve efficiency.
• Power Flushing: £300–£500 to clean out your radiators and pipes before installing a new boiler.
• Magnetic Filters: £100–£200 to protect your boiler from sludge build-up.
• Removal of Old Boiler and Tanks: £150–£500, depending on the complexity of the job.

Summary of Boiler Installation Costs

Here’s a quick comparison of average boiler installation costs for 2024:

Boiler Type	Boiler Cost	Installation Cost	Total Cost
Combi Boiler	£500–£2,000	£1,000–£1,500	£1,500–£3,500
System Boiler	£1,000–£2,500	£1,500–£2,000	£2,500–£4,500
Conventional Boiler	£1,200–£3,000	£2,000–£3,000	£3,500–£5,500+

By understanding these costs, you’ll be better equipped to choose the right boiler for your home and plan your budget effectively. 

Additional Costs to Consider

When installing a new boiler, the price of the unit and the labour are just part of the equation. There are often additional costs that can catch homeowners by surprise, from necessary system upgrades to optional add-ons that enhance efficiency. Being aware of these potential extras will help you avoid unexpected expenses and create a more accurate budget. Here are the key additional costs to keep in mind:

Smart Controls and Thermostats

Modern smart thermostats, such as Hive, Nest, or Tado, allow you to control your heating remotely via your smartphone, ensuring maximum energy efficiency and convenience. While they’re not essential, they’re becoming increasingly popular for homeowners looking to save on energy bills and reduce their environmental footprint.

• Cost: £200–£300, including installation.
• Benefits: Smart thermostats adapt to your routines, so you only heat your home when needed, potentially saving hundreds of pounds a year on energy bills.

Upgrading to a smart thermostat is a great long-term investment, especially if your current controls are outdated or lack programmable settings. If you're interested in a Smart Thermostat, read our blog on  How to Install a Smart Thermostat.

System Upgrades

Installing a new boiler may require upgrades to your existing heating system to ensure everything runs smoothly and efficiently. These additional tasks can add to the total cost of the project:

• Pipework Replacement: If your home has older or corroded pipes, they may need to be replaced to handle the pressure and performance of a modern boiler. Expect to pay £300–£1,000, depending on the extent of the work.
• Radiator Upgrades: New boilers often work best with modern radiators. Replacing older radiators can cost £150–£300 per unit.
• Power Flushing: A power flush clears out sludge and debris from your radiators and pipework, improving your heating system’s efficiency. This typically costs £300–£500.
• Magnetic Filters: Adding a magnetic filter helps trap metal debris, preventing blockages and extending the lifespan of your boiler. These cost £100–£200.

While some of these upgrades might seem optional, they’re often essential for maximising your new boiler’s performance and longevity.

Removal of Old Boilers and Tanks

Replacing an old boiler can involve additional costs for safely removing and disposing of the existing system. This is particularly true if you’re switching from a conventional boiler to a combi system, as this requires removing water tanks and reconfiguring pipework.

• Removing Old Boiler: £150–£300, depending on the size and location of the boiler.
• Removing Hot Water Tanks: If you’re removing cold water or hot water storage tanks, costs can range from £200–£500, depending on accessibility.

It’s a good idea to confirm with your installer whether the removal and disposal of the old system are included in their quote, as this can sometimes be overlooked.

Upgrading the Boiler Location

Relocating a boiler—whether for aesthetic reasons or to free up space—can add significant costs to your installation. Moving a boiler may involve extending pipework, adjusting gas lines, and installing new flues:

• Relocation Costs: Expect to pay an additional £500–£1,000, depending on the complexity of the move.
• Extending Flue Systems: If the new location requires a longer flue (to vent outside), this can add another £200–£400.

Discuss boiler placement carefully with your heating engineer to minimise costs and ensure the new location meets building regulations.

Ensuring Building Regulations Compliance

All boiler installations in the UK must comply with building regulations and safety standards. Your installer should notify the local authority and provide you with a Gas Safe certificate after the work is complete. However, additional compliance checks or upgrades may add to the cost:

• Gas Safe Certification: Typically included in your installation fee, but always confirm this with your engineer.
• Ventilation and Safety Upgrades: Ensuring your home meets ventilation standards might require installing air vents or adjusting pipework, costing £100–£300.

Hiring a qualified Gas Safe engineer ensures your installation meets legal requirements and avoids future penalties or safety issues.

Unexpected Repairs

Finally, during installation, engineers may uncover underlying problems such as leaks, poor insulation, or structural issues. Fixing these problems can add to your budget:

• Fixing Leaks: Repairing minor plumbing leaks costs £100–£300, depending on severity. For guidance on addressing leaks, check out our blog on How to Repair Minor Plumbing Leaks.
• Insulating Pipes: Upgrading or adding insulation to exposed pipes can cost £200–£500 but improves efficiency and prevents heat loss.

It’s wise to budget for unexpected repairs by setting aside a contingency fund of at least 10% of your total project cost.

By considering these additional costs early in the planning process, you can avoid surprises and ensure your new boiler installation is smooth, efficient, and budget-friendly. 

How a New Boiler Can Save You Money

While installing a new boiler may seem like a large upfront expense, the long-term financial benefits are hard to ignore. A modern, energy-efficient boiler not only reduces your heating bills but also saves you money on repairs and improves the overall efficiency of your home. Here’s how upgrading to a new boiler can pay off in the long run:

1. Improved Energy Efficiency

New boilers are far more energy-efficient compared to older models, especially those installed more than 10–15 years ago. Older systems often operate at around 60%–70% efficiency, meaning a significant portion of the energy used is wasted. In contrast, modern A-rated boilers achieve efficiency levels of 90%–94%.

Here’s what this could mean for your energy bills:

• Replacing a G-rated boiler with an A-rated one can save you up to £300–£500 per year on heating costs, according to the Energy Saving Trust.
• Homes that use a smart thermostat alongside a modern boiler can cut energy usage further, saving an additional £75–£150 per year.

By using less energy to heat your home, you’re not only saving money but also reducing your carbon footprint—a win for your wallet and the environment.

2. Reduced Repair Costs

Older boilers are prone to breakdowns, particularly during colder months when they’re working harder. These breakdowns often lead to costly repair bills that can quickly add up:

• Replacing a faulty part, such as a pump or fan, can cost £150–£500.
• Emergency callouts for boiler breakdowns can set you back £200–£400, particularly during peak winter periods.

A new boiler, especially one under warranty, eliminates the need for frequent repairs and reduces the risk of unexpected expenses. Many manufacturers offer warranties of 5–10 years, providing peace of mind and saving you hundreds in potential repair costs.

3. Lower Maintenance Costs

Modern boilers are designed to be more reliable and easier to maintain. While regular servicing is still essential, newer systems are less likely to develop problems compared to older, inefficient models. On average:

• Annual servicing for a modern boiler costs around £70–£120, helping to keep the system running smoothly.
• With proper care, a new boiler can last 15–20 years, meaning fewer replacements in the long term.

Keeping your system in top condition not only extends its lifespan but also ensures it continues to operate at maximum efficiency.

4. Savings Through Smart Technology

Pairing your new boiler with smart technology can further increase savings. Smart thermostats, such as Hive or Nest, allow you to control your heating remotely and optimise energy usage. Features like learning your heating habits and adjusting schedules automatically ensure your home is heated only when necessary.

Benefits include:

• Custom Heating Schedules: Reduce waste by heating only the rooms you use.
• Remote Control: Lower the temperature when you’re away from home to save energy.
• Energy Monitoring: Track your usage to identify where you can save further.

While smart thermostats cost £200–£300 upfront, they can save you an additional £75–£150 per year by improving efficiency.

5. Increased Property Value

A new boiler is a great selling point for potential buyers. It demonstrates that your home is well-maintained, energy-efficient, and ready for move-in. Homes with modern heating systems are more attractive, particularly in a competitive property market.

By improving your home’s energy rating (EPC), a new boiler can also add value to your property. Buyers are increasingly looking for energy-efficient homes to keep running costs down, making a new boiler a worthwhile investment.

6. Better Heating Performance

New boilers heat your home faster and maintain a consistent temperature, improving overall comfort while reducing wasted energy. Features like weather compensation and modulating burners ensure the system adapts to your needs and the outside temperature, running more efficiently and saving money in the process.

7. Lower Carbon Footprint

While not a direct financial saving, upgrading to an energy-efficient boiler significantly reduces your home’s carbon emissions. Modern boilers require less fuel to deliver the same level of heat, helping you contribute to a greener planet while saving on energy costs.

For eco-conscious homeowners, this benefit adds value by future-proofing your property against rising energy prices and stricter environmental regulations.

By investing in a modern boiler, you’re not just upgrading your heating system—you’re making a smart financial decision that delivers immediate savings and long-term benefits. In the next section, we’ll wrap up with final thoughts and tips to help you confidently plan your boiler installation.

Final Thoughts on Boiler Installation Costs

Investing in a new boiler is a decision that brings both immediate and long-term benefits to your home. While the upfront costs can seem significant, the improvements in energy efficiency, heating performance, and reliability make it a smart and cost-effective upgrade. Whether you’re replacing an old, inefficient system or upgrading to a modern solution, a new boiler can deliver substantial savings on energy bills, reduce repair costs, and increase your property’s value.

By understanding the key factors that influence installation costs—such as boiler type, home size, and installation complexity—you’ll be better equipped to budget effectively. Don’t forget to factor in additional expenses like system upgrades, smart thermostats, and regular servicing to keep your boiler running efficiently for years to come.

To get the best value for your investment:

• Compare quotes from qualified Gas Safe engineers to ensure you’re getting a fair deal.
• Consider energy-saving extras like smart controls and magnetic filters to boost efficiency.
• Time your installation during quieter seasons to potentially save on labour costs.

If your current boiler is unreliable or driving up your energy bills, now is the perfect time to make the switch. For more tips on choosing the right heating system for your home, check out our guide on Choosing the Right Heating System for Your Home. Planning ahead and working with trusted professionals will ensure you enjoy a warm, efficient, and cost-effective home for years to come.

Ready to upgrade? Start exploring your options today and take the first step towards a more efficient and comfortable home!