Home / Cost guides / How much does a ground source heat pump cost?
How much does a ground source heat pump cost?
Ofgem's Boiler Upgrade Scheme report for April 2025 to March 2026 gives an average total quote of £27,505 for a ground source heat pump, including the grant value [S1]. The scheme, open in England and Wales, offers £7,500 towards a ground source heat pump [S2] [S10], and your own quote depends on the ground loop, the house and the heating system.
Last reviewed:What does a ground source heat pump system include?
A ground source heat pump takes low-grade heat from the ground through a loop of buried pipe, and uses electricity to raise it to a temperature that can heat radiators or underfloor heating and a hot water cylinder. The quote is for the whole system, not just the box that sits indoors.
A typical quote covers the heat pump unit, the ground loop, the digging or drilling, the connection pipework into the house, a hot water cylinder, controls, any changes to radiators, electrical work, commissioning and paperwork. Two quotes can look very different simply because one leaves out the cylinder or the radiator upgrades.
QuoteZila is starting in Cheshire, with Crewe, Nantwich and Sandbach among the first towns, and anyone in the UK can post a heating job. The figures below are national scheme figures, not prices for any one town.
What do the published figures show?
The most useful dated public figures come from the Boiler Upgrade Scheme, which Ofgem runs. Its annual report for the scheme year April 2025 to March 2026 gives average total quotes for grants paid, with the grant value included [S1].
| Item | Figure | Source and what it is |
|---|---|---|
| Average total quote, ground source heat pump | £27,505 [S1] | Ofgem, BUS annual report 2025 to 2026, grants paid, grant value included |
| Average total quote, air source heat pump | £13,441 [S1] | Same report, for comparison |
| Average total quote, shared ground loop ground source heat pump | £29,222 [S1] | Same report |
| Ground source share of grants paid since launch | 1.9% [S1] | Same report, of all BUS grants paid |
| Boiler Upgrade Scheme grant, ground source | £7,500 [S2] | GOV.UK, current grant amount |
| Extra grant for oil or LPG homes with no mains gas | £1,500, until March 2027 [S2] | GOV.UK, air source or ground source |
| VAT registration threshold for installers | £90,000 taxable turnover [S7] | GOV.UK, last 12 months |
Ofgem says installer quotes include the system cost, labour and VAT if applicable, and that it does not validate the information provided [S1]. Treat the average as a national reference point. It is not a price for your house, and it is not a quote.
The average includes the grant value, so it is not the amount a household paid after the grant. Ask each installer to show the total, the grant and your share on separate lines.
What changes the price of a ground source heat pump?
| Factor | What to ask | Why it moves the price |
|---|---|---|
| Horizontal loop or boreholes | Which type, and why for your site | Boreholes need a drilling rig; trenches need open ground |
| Ground area and access | Can a digger or rig reach the garden? | Narrow access and soft ground add time and kit |
| Heat demand of the house | Has a heat loss survey been done, room by room? | A larger demand needs a larger heat pump and loop |
| Radiators and pipework | Which radiators will be replaced or enlarged? | Heat pumps run cooler, so some emitters may need upgrading |
| Hot water cylinder | Is a new cylinder included, and what size? | Often a separate line in the quote |
| Electrical supply | Does the supply or consumer unit need work? | Electrical changes add cost and certification |
| Shared ground loop | Is the loop shared with other homes? | A different scheme design and cost |
| Garden reinstatement | Is turf, paving or planting put back? | Making good can be a large, easily missed line |
| Permits and paperwork | Who checks whether an Environment Agency permit is needed? | Planning Portal says one may be needed [S3] |
| VAT | Is it included in the total? | Changes the figure you compare [S7] |
Insulation matters as much as hardware. A house that loses heat quickly needs a bigger system to stay warm. Ask the installer what they assumed about your walls, loft and windows, and whether doing some insulation work first would reduce the size of heat pump you need.
What does the Boiler Upgrade Scheme cover?
GOV.UK says the scheme is open to people in England and Wales [S10]. It currently offers £7,500 towards a ground source heat pump, including water source heat pumps and those on shared ground loops [S2]. You can get one grant per property [S2].
To be eligible, GOV.UK says you must own the property, which can include a second home or a property you rent out, and you must be replacing a fossil fuel heating system such as oil, gas, electric or LPG [S6]. You are still eligible if you have already had funding to insulate the property [S6]. If you are not sure your home is suitable, GOV.UK suggests speaking to an MCS certified installer [S6].
GOV.UK also says that until March 2027 you can get an additional £1,500 towards an air source or ground source heat pump if both of these are true: the property is heated by oil or LPG, and it has no mains gas connection [S2]. Hybrid systems that combine a gas boiler with a heat pump cannot get the grant [S2].
The installer normally handles the application. Ask them to show the grant amount on the quote, and do not sign until you can see it.
Planning, permits and building regulations
Planning Portal says installing a ground source or water source heat pump on a home is usually permitted development, not needing a planning application [S3]. If you live in a listed building or a conservation area, it says to contact your council to check on local requirements [S3]. It also says that if you are installing a new ground source heat pump after 1 October 2023 you may need a permit from the Environment Agency [S3]. Ask the installer who will check that.
GOV.UK lists installing or replacing a heating system among the jobs that need building regulations approval [S4]. You do not have to arrange approval yourself if the installer is registered with a competent person scheme. GOV.UK's guide to building work lists the schemes that cover installing or replacing hot water and heating systems [S5]. GOV.UK explains building regulations approval. GOV.UK: building regulations approval. QuoteZila is not affiliated with this organisation.
The electrical side matters too. Electrical Safety First says that, apart from some minor tasks, electrical work must be reported to building control or carried out by a registered electrician in a government-approved scheme [S8]. You can find a registered electrician through Electrical Safety First. Electrical Safety First: find a registered electrician; NICEIC; NAPIT. QuoteZila is not affiliated with this organisation.
Ground source or air source?
On grant-funded jobs, Ofgem's report gives an average total quote of £27,505 for ground source against £13,441 for air source [S1]. The difference is mainly the ground loop. A ground source system needs trenches or boreholes, which also means more disruption to the garden.
Some households still prefer ground source, because there is no outdoor fan unit and the ground temperature changes less through the year than the air does. Others have no room for a loop, or cannot get a rig into the garden. Ask an installer to price both if your site could take either. Our heat pump installation cost guide covers air source systems in more detail.
How do you compare ground source heat pump quotes?
Ask every installer for the same breakdown:
- the heat loss survey and the size of heat pump it led to
- the loop type, its length or the number and depth of boreholes
- the cylinder, controls and any radiator changes
- electrical work and who certifies it
- garden reinstatement, spoil removal and access
- the scheme they belong to, and who handles the grant and any permit
- the total, the grant and your share, with VAT shown
Citizens Advice says to try to get written quotes from at least 3 different traders, and that a quote is a fixed price while an estimate is just a rough guess [S9]. It suggests not agreeing to a deposit of more than 25%, and always getting a receipt [S9].
Our electrician cost guide covers the electrical side, and the plumber cost guide explains how plumbing labour is usually priced.
Jobs you might post
These are examples, not taken from real job posts.
- "Detached house on oil heating with a large back garden. Please survey and quote for a ground source heat pump, and say whether you would use a trench or boreholes."
- "Considering ground source or air source for a farmhouse. Please price both and explain the grant you would apply for."
- "Bungalow with a small garden and narrow side access. Is a borehole system possible here? Please visit and quote."
Posting a heat pump job
Post the job to heating engineers, and add photos of the garden, the access route, the current boiler and the hot water cylinder. Your job goes to up to five matched local businesses [QZ2]. QuoteZila is free for customers and local businesses [QZ1].
Honest status: QuoteZila is new. We're starting in Cheshire, beginning with Crewe, Nantwich and Sandbach, and growing area by area. Anyone in the UK can still post a job or register a business. How fast you get quotes depends on how many local businesses have joined near you. Businesses can register and receive jobs straight away. We don't check insurance, qualifications or registrations, so please check these yourself before you hire.
Posting a job is not open yet
Questions about ground source heat pump costs
How much does a ground source heat pump cost?
Ofgem's Boiler Upgrade Scheme annual report for 2025 to 2026 gives an average total quote of £27,505 for ground source heat pumps on grants paid, with the grant value included. Ofgem says installer quotes include the system, labour and VAT if applicable, and that it does not validate them. Your own quote can be well above or below that.
Is there a grant for a ground source heat pump?
Yes, in England and Wales. GOV.UK says the Boiler Upgrade Scheme currently offers £7,500 towards a ground source heat pump, including water source heat pumps and those on shared ground loops. You must own the property and be replacing a fossil fuel heating system such as oil, gas, electric or LPG.
Is there extra help if I heat my home with oil or LPG?
GOV.UK says that until March 2027 you can get an additional £1,500 towards an air source or ground source heat pump if your property is heated by oil or LPG and you do not have a mains gas connection. Ask the installer which grant they will apply for on your behalf.
Why does a ground source heat pump cost more than an air source one?
Mostly because of the ground loop. Ofgem's report gives an average total quote of £13,441 for air source heat pumps against £27,505 for ground source, both with the grant value included. A ground source system needs trenches or boreholes, pipework buried in the garden and the machinery to dig them, on top of the heat pump itself.
Do I need planning permission for a ground source heat pump?
Planning Portal says installing a ground source or water source heat pump at a home is usually permitted development, not needing a planning application. It says to contact your council if you live in a listed building or conservation area, and that a new ground source heat pump installed after 1 October 2023 may need a permit from the Environment Agency.
Does the installation need building regulations approval?
GOV.UK lists installing or replacing a heating system among work that needs building regulations approval. A competent person scheme installer can self-certify, and GOV.UK names schemes for installing or replacing hot water and heating systems. Ask which scheme your installer belongs to before you sign.
Does VAT change the price?
It can. A business must register for VAT if its taxable turnover for the last 12 months goes over £90,000. Ofgem's average includes VAT where it applied. Ask each installer whether their quote includes VAT, so you compare like with like.
Does QuoteZila check heat pump installers?
No. We don't check insurance, qualifications or registrations, so please check these yourself before you hire. You can report a quote or a business from your job page.
This page is general information, not professional or legal advice. QuoteZila does not check Gas Safe, WaterSafe, NFRC, NICEIC or other registrations against the register on your behalf: look them up yourself.
Part of Cost guides. All services
Related trades
Cost guides
Related pages
- Heat Pump Installation: What Changes It. Air source quotes were most commonly £10,001 to £12,500 before the grant, in Ofgem's 2025 to 2026 report. QuoteZila does not set prices.
- Heated Skirting Boards Cost: What Changes the Price. What changes the cost of heated skirting boards: wet or electric systems, room lengths, pipework, controls, removing radiators, decorating, approvals and VAT.
Sources
- QZ1: QuoteZila product fact. QuoteZila home and FAQ copy.
- QZ2: QuoteZila product fact. QuoteZila FAQ How does getting quotes work.
- S1: Boiler Upgrade Scheme (BUS) Annual Report 2025 to 2026, Ofgem. Accessed 2026-10-31. https://www.ofgem.gov.uk/sites/default/files/2026-07/BUS_Annual_Report_2025-26-20260730085029.pdf
- S2: Apply for the Boiler Upgrade Scheme: what you can get, GOV.UK. Accessed 2026-10-31. https://www.gov.uk/apply-boiler-upgrade-scheme/what-you-can-get
- S3: Planning permission: ground source or water source heat pump, Planning Portal. Accessed 2026-10-31. https://www.planningportal.co.uk/permission/common-projects/heat-pumps/planning-permission-ground-source-or-water-source-heat-pump
- S4: Building regulations approval: when you need approval, GOV.UK. Accessed 2026-10-31. https://www.gov.uk/building-regulations-approval/when-you-need-approval
- S5: Building work, replacements and repairs to your home, GOV.UK. Accessed 2026-10-31. https://www.gov.uk/government/publications/building-work-replacements-and-repairs-to-your-home/building-work-replacements-and-repairs-to-your-home
- S6: Apply for the Boiler Upgrade Scheme: check if you're eligible, GOV.UK. Accessed 2026-10-31. https://www.gov.uk/apply-boiler-upgrade-scheme/check-if-youre-eligible
- S7: Register for VAT, GOV.UK. Accessed 2026-10-31. https://www.gov.uk/register-for-vat
- S8: Part P of the Building Regulations, Electrical Safety First. Accessed 2026-10-31. https://www.electricalsafetyfirst.org.uk/find-a-registered-electrician/part-p-of-the-building-regulations/
- S9: Before you get building work done, Citizens Advice. Accessed 2026-10-31. https://www.citizensadvice.org.uk/consumer/getting-home-improvements-done/before-you-get-building-work-done/
- S10: Apply for the Boiler Upgrade Scheme, GOV.UK. Accessed 2026-10-31. https://www.gov.uk/apply-boiler-upgrade-scheme