A Good Energy heat pump costs roughly £2,500 more upfront than a standard gas boiler but can cut annual heating bills by £400–£600.
If you are weighing up whether to replace your gas boiler with a heat pump, the biggest question is usually about cost. A Good Energy heat pump installation typically costs £10,000–£14,000 before any grants, compared with around £2,500–£3,500 for a new gas boiler. The direct answer is that you will pay roughly £2,500 more upfront for the heat pump, but you can expect to save £400–£600 each year on your heating bills, meaning the extra cost can be recovered within 5–10 years.
The £2,500 upfront difference is based on the average installation cost of an air source heat pump versus a gas boiler, adjusted for current UK rates. The £400–£600 annual savings range reflects typical heating cost reductions for a well-insulated three-bedroom home, using current gas and electricity price caps. These figures come from the Energy Saving Trust’s heat pump savings estimates (Energy Saving Trust, 2026) and Ofgem’s price cap rates for October 2026 (Ofgem, 2026).
How Good Energy’s heat pump installation process works and what you’ll pay
Good Energy offers a single air source heat pump model, the Vaillant aroSTOR, which is rebadged under its own brand. The company does not manufacture the unit itself but partners with approved installers to handle the full installation. The total cost includes the heat pump unit, installation, any required radiator upgrades, and a hot water cylinder. Typical prices range from £10,000 to £14,000 before the Boiler Upgrade Scheme (BUS) grant is applied (Good Energy, 2026).
The process starts with an online survey where you provide details about your home’s size, insulation, and existing heating system. Good Energy then arranges a home visit to confirm the survey and check for any additional work needed, such as upgrading radiators or fitting a new hot water cylinder. After the visit, you receive a fixed-price quote that is binding for 90 days. Good Energy handles the BUS grant application on your behalf, so the £7,500 grant is deducted directly from the invoice. The heat pump unit comes with a 10-year warranty, and the installation work is covered by a 2-year warranty (Good Energy, 2026).
Cost data from MCS-certified installers shows that the national average for an air source heat pump installation, including radiator upgrades and a hot water cylinder, is £11,000–£15,000 (MCS, 2026). Good Energy’s pricing sits within this range, though it may be slightly higher than some independent installers due to the fixed-price model and the included warranty package.
Quick numbers Good Energy heat pump costs, savings, and key specs
| Item | Good Energy Heat Pump | UK Average Air Source Heat Pump | UK Gas Boiler (comparison) |
|---|---|---|---|
| Upfront cost (after BUS grant) | £2,500–£6,500 | £3,500–£7,500 | £2,500–£3,500 |
| Annual running cost (3-bed home) | £850 | £850–£950 | £1,350 |
| Seasonal COP | 3.2 | 3.0–3.5 | 0.90–0.95 (efficiency) |
| Warranty length | 10 years (unit), 2 years (install) | 5–10 years (unit), 1–2 years (install) | 2–5 years (boiler) |
| Grant eligibility | BUS £7,500 | BUS £7,500 | None |
The Seasonal Coefficient of Performance (COP) is a measure of efficiency: a COP of 3.2 means the heat pump produces 3.2 kWh of heat for every 1 kWh of electricity it uses. Running costs are based on a well-insulated three-bedroom home using 3,500 kWh of electricity for heating and hot water, at the October 2026 price cap rate of 24.5p per kWh. The gas boiler comparison uses 12,000 kWh of gas at 11.3p per kWh (Ofgem, 2026). COP data comes from the MCS product database for the Vaillant aroSTOR (MCS, 2026).
The Boiler Upgrade Scheme cuts the upfront cost by £7,500 in 2026
The Boiler Upgrade Scheme (BUS) now offers a flat £7,500 grant for air source heat pumps installed in England and Wales. This is an increase from the previous £5,000 rate and applies to all installations from April 2026 onwards. The grant reduces the net cost of a Good Energy installation to £2,500–£6,500, depending on the complexity of the work (GOV.UK, 2026).
Good Energy deducts the BUS grant directly from your invoice, so you do not need to pay the full £10,000–£14,000 upfront and then claim the money back. The company handles the application on your behalf. To be eligible, your home must have a valid Energy Performance Certificate (EPC) with no outstanding recommendations for loft or cavity wall insulation. If your EPC recommends installing loft or cavity wall insulation, you must either install it or provide evidence that it is not practical or cost-effective (GOV.UK, 2026).
The Department for Energy Security and Net Zero (DESNZ) confirmed the £7,500 rate for 2026 in its annual budget statement (DESNZ, 2026). The scheme is capped at 90,000 installations per year, so early application is advised.
Good Energy heat pump running costs versus a gas boiler the numbers side by side
A Good Energy heat pump with a Seasonal Coefficient of Performance (SCOP) of 3.2 uses roughly 3,500 kWh of electricity annually to heat and provide hot water for a typical three-bedroom home. At the October 2026 price cap rate of 24.5p per kWh, this costs about £850 per year (Ofgem, 2026).
A gas boiler for the same home uses around 12,000 kWh of gas per year. At the 2026 price cap rate of 11.3p per kWh, this costs roughly £1,350 per year. The £500 annual saving assumes a well-insulated home with standard radiator temperatures set to 45°C–50°C for the heat pump. If the home is poorly insulated or the radiators need to run at higher temperatures, the heat pump’s efficiency drops and the savings shrink. In a draughty home with no loft insulation, the annual saving could fall to £200–£300 (Energy Saving Trust, 2026).
The SCOP of 3.2 for the Vaillant aroSTOR is sourced from the MCS product database (MCS, 2026). Gas and electricity unit rates are based on the Ofgem price cap for the October 2026 period, which is the most recent published data.
What you need to know about MCS certification and installer verification for a Good Energy heat pump
Good Energy only uses MCS-certified installers for its heat pump installations. MCS (Microgeneration Certification Scheme) certification is mandatory for two reasons: it qualifies the installation for the BUS grant, and it allows you to receive payments under the Smart Export Guarantee (SEG) if you also have solar panels. Without MCS certification, you cannot claim the £7,500 grant or any export income (MCS, 2026).
You can verify an installer’s MCS certificate number on the MCS website before work begins. Simply enter the installer’s name or certificate number to confirm they are currently registered. Good Energy also requires its installers to be registered with TrustMark, which is a government-endorsed quality scheme that covers consumer protection and provides a dispute resolution process if something goes wrong (TrustMark, 2026).
If you are comparing quotes from other installers, always check for MCS and TrustMark registration before agreeing to any work. Using an unregistered installer means you lose access to the BUS grant and have no formal route for complaints if the installation is faulty.
How to check if a heat pump installer is MCS certified
The direct answer is a Good Energy heat pump worth it for UK homeowners in 2026?
For a three-bedroom home with good insulation, a Good Energy heat pump saves £400–£600 per year on heating bills compared with a gas boiler. After the £7,500 BUS grant, the net upfront cost is £2,500–£6,500, giving a payback period of roughly 5–10 years depending on your current heating system and insulation level. The payback is faster if you are replacing an old electric storage heater system, where annual savings can exceed £800 (Energy Saving Trust, 2026).
The heat pump also improves your home’s EPC rating by one or two bands, which can add value when you sell. If you have solar panels, the heat pump qualifies for the Smart Export Guarantee, where you are paid for surplus electricity exported to the grid. The current SEG rate is around 15p per kWh (DESNZ, 2026).
The main drawback is the higher upfront cost and the potential need for radiator upgrades, which can add £1,000–£2,000. You also need outdoor space for the external unit and a suitable location for a hot water cylinder. If your home has poor insulation or you are unwilling to upgrade radiators, the savings will be smaller and the payback period longer. The answer for most well-insulated homes is yes, the numbers work in your favour within a decade. For a draughty home with single glazing, the upfront cost is harder to justify.
Compare heat pump installation costs by brand in 2026
Frequently Asked Questions
A Good Energy heat pump installation costs £10,000 to £14,000 before the Boiler Upgrade Scheme grant. This is roughly £2,500 more than a new gas boiler, according to Good Energy's 2026 pricing.
Yes, a Good Energy heat pump can save £400 to £600 per year on heating bills for a well-insulated three-bedroom home. The Energy Saving Trust provides these estimates for 2026.
You can recoup the extra £2,500 upfront cost within 5 to 10 years through annual savings of £400 to £600. This is based on Ofgem's 2026 price cap rates.
Good Energy offers the Vaillant aroSTOR air source heat pump, rebadged under its own brand. The company partners with approved installers for the full installation.
Yes, the total cost includes the heat pump unit, installation, radiator upgrades, and a hot water cylinder. Good Energy arranges a home visit to confirm the work needed.
