Heat pumps are seen as the green alternative to gas boilers
(Picture: PA Wire)Britons will be able to install a heat pump for the same price or less than a typical gas boiler as Octopus Energy launches a new product to compete with British Gas.
Buying and installing Octopus’s new heat pump will cost homeowners as little as £2,500 when government grants are included, which is around the same or less as the cost to install a gas boiler, The Telegraph reported.
That’s down from Octopus’s current charge of between £3,000 and £8,000.
The price change comes just weeks after British Gas separately announced it would fit heat pumps for as little as £2,999.
Installing a heat pump can currently set homeowners back by up to £13,000, according to the Telegraph, when home adaptations are factored in.
A government voucher can knock £5,000 to £6,000 off the final bill.
Heat pumps capture warmth from outside and move it into homes. It uses electricity to do this and are seen as the future of heating homes in Britain as it moves towards net zero.
A heat pump can last 20 years – about twice as long as a boiler – and needs less pricey maintenance, Octopus said.
But installments have been slow due to the previously high costs.
Official figures show the Government’s boiler upgrade scheme issued just 7,600 vouchers out of a total 30,000 available for this financial year. The scheme was launched at the end of May 2022.
In November it was announced that councils across London were to receive a total of £61 million for energy-saving improvements such as solar panels, heat pumps, external wall insulation and loft insulation.
The changes could save lower-income households on average around £200-a-year on their energy bills, according to the Business Department.
The investment is part of more than £400 million awarded to over 200 councils across England and comes from the Government’s Local Authority Delivery scheme and the Home Upgrade Grant.
