Heat Pump vs Gas Boiler: Which Is Cheaper in 2026?

Updated June 2026

The two systems are closer than the headlines suggest. Here’s how they really compare in 2026.

Running cost: near parity at the cap, heat pump wins on the right tariff

At the Q1 2026 price cap (electricity ~24.5p/kWh, gas ~6.4p/kWh), a heat pump with a SCOP around 3.6 runs at roughly £840/year versus about £835 for a gas boiler — essentially level.

The difference is the tariff. On a dedicated heat-pump or off-peak tariff, heat pump running costs can drop to £400–£700/year, comfortably beating gas. Try the running cost calculator with your own figures.

Upfront cost: gas is cheaper, but the grant closes the gap

A new gas boiler is typically £2,000–£4,000. A heat pump is £8,000–£14,000 before the £7,500 grant — so £500–£6,500 after, often within touching distance of a boiler.

Comfort and carbon

• Comfort: heat pumps give steady, even heat; some prefer it, and a good design avoids the “never warm enough” myth.
• Carbon: a heat pump cuts heating emissions sharply versus gas, and improves further as the grid decarbonises.

When each wins

• Heat pump: you can access a heat-pump tariff, plan to stay put, and want lower carbon — especially with the grant.
• Gas boiler: lowest upfront cost and you’re not ready for the disruption of a changeover.

Ready to compare models? See our air source heat pumps and how much a heat pump costs.