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Last updated: 13 May 2024

Air Source Heat Pumps in Wales: Costs & Grants (2024)

Air source heat pumps in Wales
  • Air source heat pumps are one of the most efficient ways to heat a home in Wales, offering up to 5 times greater efficiency than most boilers.
  • Air source heat pumps can cost between £2,400 to £14,050.
  • Homeowners can save up to £940 by installing heat pumps in Wales.
  • Grants like the ECO4 can help subsidise heat pumps, sometimes allowing for funding up to £10,000.

An air source heat pump can be a great way to brave the Welsh seasons, providing both heating and cooling when necessary. When the scorching sun is out, they can cool things down and during the less pleasant winters, they keep the home nice and comfy. Moreover, they are a great, sustainable way to save money, allowing for up to £940 deductions in annual heating expenses.

Let’s examine the prices, benefits, disadvantages, and various funding options related to heat pumps in Wales.

If you’re looking to install a heat pump, you’ll need the help of a reliable installer. Finding one can take days of research and comparing companies, so we understand not everyone has the time for that.

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How efficient is an air source heat pump in Wales?

An air source heat pump can be very efficient in the Welsh weather, being 5 times more efficient than an A-rated boiler. As most of the country experiences average temperatures above 0° and under 40° all year around, the technology can work at its best.

Mean temperature in Wales

While this can vary from region to region in Wales, most segments of the country (especially those at lower altitudes) are perfect for operating an air source heat pump. That said, extreme conditions can be a problem at higher altitudes where heat pumps might experience difficulty maintaining efficiency or might even freeze.

In such cases, you can instead opt for a high temperature heat pump, which will provide a higher heat output. Overall, standard heat pumps will operate normally and provide up to £950 in savings, although this can depend on a number of factors like how well-insulated your home is and how cold your area is.

Like most of the UK, Welsh weather is suitable for air source heat pumps. The main factor to consider is altitude and the insulation of your home. With adequate insulation, most homes in Wales can reap the benefits of air source heat pumps, allowing for adequate home heating with reduced energy bills and a lower carbon footprint.

Advantages & disadvantages of an air source heat pump in Wales

Advantages and disadvantages of heat pumps in Wales


  • Government grants & funding: Numerous grants are available in Wales. Obtaining a heat pump grant has also never been easier, as programs like the Energy Company Obligation (ECO4) and the Boiler Upgrade Scheme (BUS) are renewed and expanded frequently.
  • Good temperature range in Wales: Heat pumps are most efficient when they have a good environment to work with, often losing a bit of efficiency in extreme conditions. Most of Wales has a great climate for heat pumps since average temperatures can vary quite a bit, but not too much outside the acceptable range for maintaining efficiency.
  • More efficient than other systems: Gas and electricity prices in Wales, even with the price cap, are no laughing matter. According to the House of Commons, even if they are predicted to decrease, there is little likelihood they will reach pre-cost of living crisis levels.
  • Heat pumps are widely available: The Welsh government has been touting heat pumps as a major part of their decarbonisation strategy. Consequently, many of the best air source heat pumps are available in the region fairly easily.


  • Price: Installing an air source heat pump in the UK can be an expensive prospect, costing between £2,400 and £14,050. While there are grants in Wales, they may not apply to everyone.
  • Not suitable for select regions: Some sparse regions of Wales (such as the North and mountainous areas) do experience extreme temperatures. While fewer in number, these places could be less likely to benefit from a
  • Gas prices are lower than energy costs: Gas boilers can potentially be on par with a heat pump because of how much more expensive electricity is per kW. While heat pumps are generally better for running costs, there are circumstances (such as bad home insulation) that can give boilers the edge in terms of savings.

Air source heat pump cost in Wales

The average air source heat pump cost is typically between £2,400 to £14,050. This large variance is because air source heat pumps come in two main types: air to air and air to water heat pumps (not to be confused with water source heat pumps). While the former is cheaper, the latter offers a lot of different functionality.

Air source heat pump cost in Wales
Heat pump type House size Total cost (supply + installation)
Air to air heat pump 1 bedroom + lounge £2,400
2 bedrooms + lounge £4,000
3 bedrooms + lounge £6,500
4 bedrooms + large lounge £8,800
Air to water heat pump 1 bedroom + lounge £8,750
2 bedrooms + lounge £11,500
3 - 4 bedrooms + lounge £14,050

An air to air heat pump tends to cost between £2,400 and £8,800 in Wales, with air to water heat pumps costing between £8,400 to over £14,000. In contrast, a ground source heat pump in Wales will cost from £13,200 to £19,000 (excluding installation). Another factor to consider is the running costs and whether they will be better for you compared to your current heating system.

Air source heat pump savings compared to home energy consumption
Yearly energy consumption Annual running cost
7,312.5kWh £731 to £1,115
11,212.5kWh £1,132 to £1,592
16,575kWh £1,379 to £2,250

Maintenance and repair can also be an issue pertaining to heat pumps. Maintenance costs are generally not that high and can increase depending on the size of the heat pump. For context, a boiler usually requires half the cost of maintenance, being around £60 to £80.

Air source heat pump repair cost
Type of job Cost
Maintenance £150 - £300
Repair £250 - £2,000+

Getting your heat pumps checked out every 2 years or so can allow them to function for upwards of 25 years. The most common issues that heat pumps face are refrigerant leaks, blockages in or around the outdoor unit, or a build-up of ice. Check for these and call a professional if the issue is severe.

For a more accurate set of prices, it’s always better to contact an installer. However, you need a reliable one if you want to get the best prices. Finding one on your own can take days of research and calling up companies to compare prices, which is why we offer a far better alternative. We have a network of installers we’ve personally vetted, ready to help you out.

Just click the button below and fill out a 30-second form to receive up to 4 free, non-binding quotes.

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Air source heat pump savings in Wales

Heat pumps can lead to abundant annual savings for homes in Wales, although you may want to consider your home energy consumption and current heating system before buying one. The table below outlines where it can be the most handy.

Annual air source heat pump savings compared to other systems
New (A-rated) gas boiler -£30
Old (G-rated) gas boiler £260
Old electric storage heaters £940
New electric storage heaters £680
Old (G-rated) oil boiler £335
New (A-rated) oil boiler -£15
Old (G-rated) LPG boiler £580
New (A-rated) LPG boiler £195
Coal £660

There are some situations where a boiler may be more suitable compared to a heat pump. For certain medium-sized properties with inadequate insulation, an A-rated gas boiler might be preferable in terms of costs. However, in most instances, heat pumps provide better heating.

However, heat pumps have another advantage over boilers since they provide both heating and cooling. They are a multi-season air conditioning solution, allowing you to make use of them even in the summer. This is worth taking into account when comparing them with boilers, which can only provide heating.

Air source heat pump grants in Wales

Air source heat pump grants in Wales
Grant name Savings Available till
ECO4 Up to £10,000 March 2026
Boiler Upgrade Scheme £7,500 April 2028
0% VAT Discount of £480 to £2,800 March 2027
Warm Homes Programme Grant amount varies April 2025
  • ECO4: The Energy Company Obligation’s 4th iteration can help save immensely on air source heat pump installation. The ECO4 scheme is available to those living in low-income households and on benefits. The amount of money received can vary depending on the home assessment and what measures are recommended. This applies to homes with an Energy Performance Certificate (EPC) rating of D-G (least energy efficient) and either receiving certain means-tested benefits or having high heating costs and a low income (ranging from £19,900 for a claimant with 1 child to £42,000 for a couple with 4 or more children).
  • Boiler Upgrade Scheme: The Boiler Upgrade Scheme aims to install more sustainable and efficient heating systems in homes across England and Wales. It provides £7,500 for air source heat pumps and £5,000 towards the installation of biomass boilers. The grant is open for applications to all residents.
  • 0% VAT: As of April 2022, the UK government removed the 20% VAT on sustainable technologies and put it down to zero. Depending on the type of heat pump, this results in savings between £480 to £2,800.
  • Warm Homes Programme: Operating only in Wales, the Warm Homes Programme aims to assist a broad range of households. While available to everyone, it prioritises support for the least energy-efficient and lowest-income homes across Wales.

Other grants like the Nest Scheme Wales grant are no longer available. Similarly, grants like the Public Sector Decarbonisation Fund are available but they are meant for private companies and organisations and are very regionally specific.

Is an air source heat pump in Wales a good choice?

An air source heat pump can be a great idea in Wales. Heat pumps potentially provide up to £950 in savings annually, eliminating reliance on the gas grid. They also make homes more sustainable and less subject to volatile electricity prices. They have multiple uses since they can provide heating, cooling, and water (in the case of air to water heat pumps).

Wales has many different grants like the ECO4 and Boiler Upgrade Scheme, allowing homeowners to cut down costs. They can also allow for saving of up to £940 per year when replacing an old boiler. While certain boilers can outperform heat pumps slightly in terms of running costs, they will not be able to provide cooling as well.

If you want to find out whether a heat pump is a suitable choice for your home, you’ll need to have your home assessed by a professional installer. Finding one can be difficult, requiring days of research and calling up companies to gather prices. Luckily, you can avoid all that hassle and obtain 4 free, non-binding quotes from trusted installers in your area.

All you need to do is click the button below and fill out an easy 30-second form.


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