Air source heat pumps – at a glance
- An air source heat pump takes heat from the outside air and transfers it into your central heating system. [1]
- Energy Saving Trust says the typical cost to install an air source heat pump is around £11,000 (installation costs vary by property and what upgrades are needed). [1]
- If you live in England or Wales, you can get £7,500 towards an air source heat pump through the Boiler Upgrade Scheme. [2]
- Most installations are permitted development, but there are limits and conditions (especially for listed buildings and conservation areas). [3]
Sources:
- [1] Energy Saving Trust – Air source heat pumps
- [2] GOV.UK – Boiler Upgrade Scheme (what you can get)
- [3] Planning Portal – Air source heat pump planning permission
How air source heat pumps work
An air source heat pump transfers heat from the outside air into your home’s heating system. Energy Saving Trust explains that the heat is moved into a refrigerant, then a compressor raises the temperature, and the heat is transferred into your central heating system. Source: Energy Saving Trust
In practice, a well-designed system is about steady, efficient heating. Many homes will also need a hot water cylinder (because standard heat pumps do not provide hot water on demand like a combi boiler). Source: Energy Saving Trust
Is your home suitable for an air source heat pump?
Most property types can be suitable, but the best results come from good heat retention, correctly sized radiators, and a system designed for your home. Energy Saving Trust notes running costs can vary depending on radiator sizing, your electricity tariff, and how the heat pump is controlled. Source: Energy Saving Trust
Insulation and heat loss
Heat pumps work best in homes that hold onto heat. If your home has high heat loss (for example, poor loft insulation or draughty areas), it’s often worth improving this first so the system can run efficiently at lower temperatures.
Radiators and heating temperatures
Your installer will check whether your radiators are appropriately sized for a heat pump. Energy Saving Trust highlights radiator sizing as one of the factors that can affect running costs. Source: Energy Saving Trust
Outdoor space and placement
You’ll need an outdoor location for the unit with airflow around it. Planning Portal sets limits for permitted development – for example, the outdoor compressor unit (including housing) must not exceed 1.5 cubic metres on a house, and installations must meet specific limits and conditions. Source: Planning Portal
If you want a straightforward, personalised view of what’s possible, you can speak to Livwarm about air source heat pumps.
How much do air source heat pumps cost in the UK?
Energy Saving Trust states the typical cost of installing an air source heat pump is around £11,000. The final figure varies depending on factors like property size and whether radiator upgrades are needed. Source: Energy Saving Trust
VAT on heat pump installations
HMRC guidance explains that legislative changes mean this notice covers installations of energy-saving materials made between 1 May 2023 and 31 March 2027, and from 1 April 2027 installations revert to the reduced rate (5%). The same notice lists air source heat pumps as energy-saving materials covered by the zero rate during the relief period. Source: HMRC (VAT Notice 708/6)
Funding and grants – what support is available?
If you live in England or Wales, GOV.UK states you can get £7,500 towards an air source heat pump through the Boiler Upgrade Scheme (one grant per property). Source: GOV.UK
Not every property will qualify, and the heat pump needs to meet required standards. A good installer will explain what applies and handle the process appropriately. Source: GOV.UK
Efficiency explained – COP and SPF
You’ll often see heat pump efficiency described using COP (coefficient of performance) and SPF (seasonal performance factor). Ofgem defines COP as the ratio of heating (or cooling) output to the power consumed by the heat pump, and SPF as the ratio of heat output to electricity input averaged over a year (with higher SPF meaning more efficiency). Source: Ofgem (Easy Guide to Heat Pumps)
Energy Saving Trust also notes that heat pumps are more than three times more efficient than a gas or oil boiler, helping to lower energy use. Source: Energy Saving Trust
Do you need planning permission for an air source heat pump?
Planning Portal explains that from 1 December 2011, installing an air source heat pump on domestic premises is usually considered permitted development (so you may not need a planning application), provided the listed limits and conditions are met. There are exceptions, and you should check if your property is listed, in a conservation area, or subject to restrictions. Source: Planning Portal
A simple journey with Livwarm
Heat pumps should feel straightforward. A typical journey looks like this:
- Initial chat – your goals, your current heating, and your hot water needs
- Survey – confirm heat loss, radiator sizing, hot water cylinder options, and outdoor placement
- Design – system sizing, controls, and (where relevant) funding steps
- Installation and handover – commissioning, performance checks, and showing you how to run the system efficiently
If you’re ready to explore your options, visit Livwarm air source heat pumps for more details, or request a heat pump quote to get tailored advice.
Air source heat pump FAQs
Do air source heat pumps work in winter?
Yes – they take heat from the outside air and raise the temperature using a compressor. Energy Saving Trust explains the basic process and notes air source heat pumps are suitable for most types of homes. Source: Energy Saving Trust
Can I get a grant for an air source heat pump?
If you live in England or Wales, GOV.UK states you can get £7,500 towards an air source heat pump through the Boiler Upgrade Scheme (eligibility rules apply). Source: GOV.UK
How much does an air source heat pump typically cost to install?
Energy Saving Trust states the typical cost of installing an air source heat pump is around £11,000, with costs varying by property and what upgrades are needed. Source: Energy Saving Trust
Will I need planning permission?
Often not – Planning Portal explains air source heat pumps are usually permitted development if the limits and conditions are met, but there are exceptions (especially for listed buildings and conservation areas). Source: Planning Portal
Is there VAT relief for heat pump installations?
HMRC guidance explains the current relief for installations of energy-saving materials applies between 1 May 2023 and 31 March 2027, with a return to the reduced rate (5%) from 1 April 2027. The same notice includes air source heat pumps within energy-saving materials. Source: HMRC (VAT Notice 708/6)
