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Replacing your heating

With over half of your energy bills spent on heating and hot water, it’s important to have an efficient heating system you can control easily. Explore the options for replacing your heating system here.

There are lots of different types of heating systems – from electric heaters to gas boilers and heat pumps to wood-fuelled systems like log burners.

If it’s time to replace your boiler, see what you can do to make sure your new heating system is as efficient as possible. 

If you’re ready to make the switch to a lower carbon heating system, you could save yourself even more money on bills in the long-term. You’ll also be reducing your carbon emissions.  

Replacing electric heaters 

Electric heating is any heating system that uses electricity as its main energy source.

Electric heaters tend to be more common in flats and rented properties, or those with no connection to the gas network.  

What are the benefits of electric heating? 

Electric heating systems are fairly inexpensive to install, compared to other heating options like heat pumps. Once they’ve been fitted they require little maintenance. 

If you don’t have central heating, installing electric heaters could be the cheapest option for you. This is because you won’t need to fit a ‘wet’ system (with plumbing), so you’ll keep costs down. 

Electric heating – in particular storage heaters – can also be used to heat one room at a time. They can also be useful for topping up other heating systems if you need an extra boost on cold days. 

What are the different types of electric heating systems?  

There are four main types of electric heating:

  • storage heaters
  • electric boilers
  • direct electric heaters
  • underfloor heating

  • These are the most common type of electric heating, and the most common type of heating system behind gas and oil boilers in the UK.

    They’re sometimes referred to as night storage heaters as they’re designed to work with electricity tariffs that supply cheaper electricity at certain times of day, usually overnight. 

  • These work like a traditional boiler, using electricity to heat water and send it through radiators or underfloor heating pipes in your home.

    An electric boiler is often fitted with:

    • a hot water cylinder that stores hot water
    • a special meter that provides cheaper electricity at certain times of day

    This type of system needs to be connected to your home’s plumbing. 

  • Electric underfloor heating uses a series of wires installed below or within your flooring to heat a room. It’s often found in bathrooms or shower rooms where it’s used for a short period of time, while the room is occupied.

    Electric underfloor heating is different from ‘wet’ underfloor heating, which uses hot water in pipes (heated by a boiler or heat pump) under the floor. 

What are the different tariffs for electric heating? 

Electric storage heaters and electric boilers work with tariffs that offer you cheaper rates of electricity at certain times of the day, usually overnight. The most common tariffs are Economy 7 and Economy 10. These ‘Economy’ tariffs relate to a meter that has multiple electricity rates offered at different times of the day. 

Economy 7 is the most common type of special electricity tariff that’s designed to work with electric storage heaters. You get a cheaper rate for electricity overnight when you charge up your storage heaters.

Electric boilers, on the other hand, are commonly paired with Economy 10 meters. These tariffs provide three periods of cheaper rate electricity – one in the morning, afternoon, and evening. 

Should I replace my electric heating system? 

Electric heating systems have improved a lot since they were first introduced – especially storage heaters, which have been around since the 1960s. If you have old storage heaters in your home, you should consider upgrading them to new, high heat retention storage heaters. These will be much more efficient (and cheaper) to run and come with better heating controls.  

If you’ve just bought a home with an electric heating system, you might want to consider switching to a heat pump, which are cheaper to run in the long-term. If you’re not ready to switch to a new system, consider upgrading to more modern heaters and controls to help you better manage your energy bills.  

You’ll need to use a registered electrician to replace any electric heating system in your home. We recommend finding an installer registered with a trade association, such as the Electrical Contractors’ Association – search their website to find a registered electrician near you. They should give you advice on the size of heater you need for each room.

Replacing a gas boiler 

Gas boilers are the most common type of heating system in the UK, with over 85% of the country’s homes connected to the gas network. But having an efficient boiler can make a big difference to how much you spend on heating and hot water every year.

Modern boilers are generally condensing boilers, which makes them more efficient than older models. This is because a condensing boiler recovers more of the heat lost in the hot gases that escape up the flue of a boiler. The flue is the pipe used to remove fumes and supply fresh air to the boiler. 

If you need to replace or upgrade your boiler, consider whether you could switch to a low carbon heating system like a heat pump or biomass boiler. These systems can help you reduce your energy bills in the long-term and will lower your home’s carbon emissions.

If you’re not ready to make the switch but want to upgrade your boiler, our advice can help you choose the right one.

Are there different types of gas boilers? 

There are two main types of gas boiler:

  • system boilers
  • combination, or combi, boilers  

A system boiler has a separate hot water cylinder that’s used to store hot water once it’s been heated up. A combi boiler heats hot water on demand, so doesn’t need a hot water cylinder.   

There are several factors to think about when deciding the right boiler for your home.

Combi boilers are better suited to houses that:

  • use less hot water
  • have limited space for a hot water cylinder

System boilers with hot water cylinders are better for you if:

  • you’ve got a big household that uses a lot of hot water every day
  • if you’re considering upgrading to a heat pump in the future, as these need a hot water cylinder too

How do I know if my home has a modern condensing boiler? 

There are a few ways to work out if you have a modern condensing boiler. If your gas boiler was fitted after 2005, it’s likely to be a more efficient condensing boiler. 

You can also check the flue. If it’s made of plastic, it’s a condensing boiler. It should also have a plastic pipe coming out of the bottom of the boiler, going through the wall and into a drain. 

How much does it cost to replace a gas boiler? 

While costs vary, a simple gas boiler replacement with a modern, efficient boiler alongside thermostatic radiator valves will cost around £3,900.  

How much you could save on your energy bills also vary, depending on:

  • how old the boiler you’re replacing is
  • the size of your home

Let’s say you live in a semi-detached house and replace a D-rated boiler with a new A-rated condensing boiler and set of heating controls. Doing this could save around £280 a year on your energy bills.   

Your installer should be registered with Gas Safe – use their website to find an installer near you – and they should ensure that your new boiler complies with all current building regulations.

Installing a heat pump 

The UK Government expects that millions of heat pumps will need to be installed in homes across the country in the next 10-15 years. They’re even offering grants in England and Wales to help with the cost of installing a heat pump, under the Boiler Upgrade Scheme. 

Many people think that you need a house with a garden or a modern insulated home to install a heat pump. But recent research has shown that all types of homes are suitable for these low carbon heating systems. So, if you’re ready to make the switch, here’s what you need to know about installing a heat pump.

  • A heat pump is a low carbon heating system that captures heat from outside and transfers it into your home. They’re suitable for most homes, and tens of thousands have already been installed across the UK. 

    There are several different types of heat pumps, but the most common in the UK are:

    • air source heat pumps
    • ground source heat pumps

    The main difference between the two is where they get their heat from – the air or the ground. 

  • A heat pump captures heat from the outside and moves it into your home, providing you with heating and hot water.

    For every unit of electricity it uses, it produces every three units of heat, making it an efficient heating system. 

    Heat from the air or the ground is absorbed into a fluid, which then passes through a heat exchanger into the heat pump.

    This raises the temperature of the fluid (also known as a refrigerant) and transfers that heat to water. The hot water can then be used to heat the rooms in your home via radiators or underfloor heating. It can also heat water stored in a hot water cylinder for all your hot water needs. 

  • Air source heat pumps are the most common type of heat pump in the UK. While they’re suitable for just about every home, there are a few things you should consider first. 

    You’ll need an area outside your home where the outdoor unit can be fitted – either fixed to the wall or placed on the ground. There needs to be some space around it to allow a good flow of air. You’ll also need space inside your home for the hot water cylinder. This is roughly the size of an American style fridge and should fit into a cupboard that measures around 80cm x 80cm. 

    You’ll also need to consider how you’re going to heat the rooms in your home – either using radiators or underfloor heating. If you don’t currently have radiators or underfloor heating, you’ll need to decide which option is best for you. 

    The biggest consideration for ground source heat pumps is whether you have enough outdoor space to install the external element of your heat pump.

    Most ground source heat pumps use a ground loop laid horizontally. But if space is limited, you could drill vertical boreholes to gather heat (though this is considerably more expensive). 

  • The cost to install a heat pump largely depends on what kind of heat pump you’re looking at: 

    • Air source heat pumps tend to cost between £14,000 and £19,000 to install. 
    • Ground source heat pumps cost between £28,000 and £34,000 to install, depending on how you install the pipes. 

    The cost of a heat pump installation is also influenced by: 

    • The size of your property. 
    • Whether you live in a new build or an existing house. 
    • How much work is needed to adapt your existing heating system for a heat pump. 

    You should ask for quotes from at least three different installers for any heat pump system to get a better idea of costs. You can also apply for up to £7,500 to help with the cost of installing a heat pump through the UK Government’s Boiler Upgrade Scheme. 

    For more information on the Boiler Upgrade Scheme, see our grants and funding page.

  • This largely depends on what heating system you’re replacing. 

    Generally, the high efficiency of heat pumps means that it should be cheaper to run than most other fuel types. 

    If you have a gas boiler, heat pumps are likely to be slightly more expensive to run. 

    But we expect that heat pumps will become the cheapest as well as the lowest carbon form of heating available. 

    Here are the typical savings you can expect to see from installing an air source heat pump:

Installing a biomass system 

Biomass is another lower carbon heating alternative to a gas boiler. It’s one to consider if you have a local source of wood fuel. 

A biomass system burns wood pellets, chips or logs to heat a single room, or to power central heating and hot water boilers. While burning wood, plants or other organic matter does emit carbon dioxide, it’s considerably less than fossil fuels like coal and oil. 

There are two main types of biomass heating system: a stove or boiler.

Stoves burn wooden logs or pellets to heat a single room. Biomass boilers can burn logs, pellets or chips, and are connected to a central heating and hot water system – like a regular gas boiler. 

What are the benefits of biomass? 

Biomass tends to be an affordable heating fuel, especially if you have a source of wood nearby (as delivery costs tend to be cheaper). While the price of wood fuel does vary considerably, it’s often cheaper than other heating options. 

It’s also a lower carbon option than a gas boiler. This is because the carbon dioxide released when the wood burns is equal to was absorbed by the plant while it was growing. It’s considered to be a sustainable option if new plants continue to grow in place of those used as biomass fuel. 

What’s the difference between chips, pellets and logs? 

You can burn logs, chips and pellets in a biomass system. Stoves and boilers that burn logs need to be stoked by hand and you’ll need a lot of logs to heat a whole house. However, they tend to be cheaper than pellets if you have a local source. 

Pellets are much easier to use and control than logs. If you have a pellet fuelled boiler, you can set it to run automatically in a way that’s similar to a gas boiler. If you have a pellet or chip burner, it likely uses an automatic feeder to add fuel at regular intervals to your heating system. Chips tend to be used to heat larger buildings. 

How much does a biomass heating system cost? 

For biomass boilers, an automatically fed pellet boiler for an average home costs around £18,000, including installation. 

Pellet costs depend mainly on the size and method of delivery. If you have room for storing several tonnes of pellets in bulk, you can keep the cost below £400 per tonne.

Logs can be cheaper than pellets, but costs depend on the wood suppliers in your local area, as they can be expensive to transport. If you have room to store more than a year’s worth of logs, you can save money by seasoning logs yourself.

Looking to replace your heating system?

See what options are available to you and create a bespoke plan for making energy efficient home improvements with our Homewise tool.