Are heat pumps cheaper to run than stoves in the UK in 2026?

Yes, heat pumps are significantly cheaper to run. With electricity prices around 24p/kWh and gas at 6p/kWh, heat pumps deliver 3-4 units of heat per unit of electricity, making them 50% cheaper per kWh of heat delivered. The Energy Saving Trust estimates annual running costs of £700–£900 for a typical home, versus £1,200–£1,400 for a gas stove.

What is the upfront cost difference between heat pumps and stoves?

A typical air source heat pump installation costs £10,000–£14,000 in the UK, but after the £7,500 Boiler Upgrade Scheme grant, homeowners pay £2,500–£6,500. Stoves cost £1,500–£3,000 installed. Heat pumps require additional radiator upgrades and possibly insulation, adding £1,000–£3,000 more.

How much CO2 do heat pumps save compared to stoves?

According to DESNZ 2026 data, heat pumps reduce home heating emissions by up to 75% compared to gas stoves. A typical gas stove emits 1.45 tonnes CO2e per year, while a heat pump emits 0.35 tonnes, thanks to the UK's increasingly renewable electricity grid.

Do heat pumps work in old UK homes?

Yes, but with caveats. Heat pumps operate at lower flow temperatures, so larger radiators or underfloor heating may be needed. Loft and cavity wall insulation is essential. However, the 2026 UK government's Heat and Buildings Strategy supports retrofits, and installers are now trained to design systems for older housing.

What is the Boiler Upgrade Scheme and how does it work?

The Boiler Upgrade Scheme is a UK government grant for heat pumps and biomass boilers. As of 2026, it offers £7,500 off installation costs for air source heat pumps. You must use an MCS-certified installer, and the system must meet efficiency standards. The grant is applied at point of sale.

Can I use time-of-use tariffs to cut heat pump costs?

Yes. Tariffs like Octopus Agile or Cosy offer cheaper electricity at night or during solar peaks. With a heat pump, you can heat your home during low-rate periods, reducing annual costs by 20-30% compared to standard rates. For example, Octopus Agile rates have dropped to as low as 5p/kWh.

What are the maintenance costs for heat pumps vs stoves?

Heat pumps require annual servicing costing £100–£200, while gas stoves need similar checks at £80–£150. However, heat pumps have fewer moving parts and longer lifetimes (20+ years) than stoves (15 years), reducing long-term replacement costs.

Which is better for the environment: heat pump or stove?

Heat pumps are far better for the environment. Even with UK grid emissions, they cut carbon by 75% compared to gas stoves. By 2030, when the grid is nearly 100% renewable, heat pumps could be near-zero carbon. Stoves rely on fossil gas, which emits methane and CO2 directly at home.

Farming & Agriculture

Heat Pumps vs Stoves UK 2026: Cost, Efficiency, Emissions

Government data and installer reports reveal how heat pumps and stoves compare on cost, efficiency, and emissions for UK homes in 2026.

September 2, 20264 min read

Air source heat pump installed outside a UK home in 2026, with garden and autumn leaves.

£500/year

Heat pump running cost savings

Average annual savings vs gas stove, per Energy Saving Trust 2026

75%

CO2 reduction with heat pump

Reduction vs gas stove, per DESNZ 2026 data

£7,500

Boiler Upgrade Scheme grant

UK government subsidy for heat pump installations, 2026

300-400%

Heat pump efficiency

Coefficient of performance (CoP) for typical air source heat pumps

TL;DR: Heat pumps beat stoves on running costs and emissions in the UK in 2026, with annual savings of £300–£500 and up to 75% lower CO₂. Stoves have lower upfront costs but higher fuel bills and carbon. Government subsidies and new tariffs boost heat pump appeal.

Frequently asked questions

Are heat pumps cheaper to run than stoves in the UK in 2026?: Yes, heat pumps are significantly cheaper to run. With electricity prices around 24p/kWh and gas at 6p/kWh, heat pumps deliver 3-4 units of heat per unit of electricity, making them 50% cheaper per kWh of heat delivered. The Energy Saving Trust estimates annual running costs of £700–£900 for a typical home, versus £1,200–£1,400 for a gas stove.
What is the upfront cost difference between heat pumps and stoves?: A typical air source heat pump installation costs £10,000–£14,000 in the UK, but after the £7,500 Boiler Upgrade Scheme grant, homeowners pay £2,500–£6,500. Stoves cost £1,500–£3,000 installed. Heat pumps require additional radiator upgrades and possibly insulation, adding £1,000–£3,000 more.
How much CO2 do heat pumps save compared to stoves?: According to DESNZ 2026 data, heat pumps reduce home heating emissions by up to 75% compared to gas stoves. A typical gas stove emits 1.45 tonnes CO2e per year, while a heat pump emits 0.35 tonnes, thanks to the UK's increasingly renewable electricity grid.
Do heat pumps work in old UK homes?: Yes, but with caveats. Heat pumps operate at lower flow temperatures, so larger radiators or underfloor heating may be needed. Loft and cavity wall insulation is essential. However, the 2026 UK government's Heat and Buildings Strategy supports retrofits, and installers are now trained to design systems for older housing.
What is the Boiler Upgrade Scheme and how does it work?: The Boiler Upgrade Scheme is a UK government grant for heat pumps and biomass boilers. As of 2026, it offers £7,500 off installation costs for air source heat pumps. You must use an MCS-certified installer, and the system must meet efficiency standards. The grant is applied at point of sale.
Can I use time-of-use tariffs to cut heat pump costs?: Yes. Tariffs like Octopus Agile or Cosy offer cheaper electricity at night or during solar peaks. With a heat pump, you can heat your home during low-rate periods, reducing annual costs by 20-30% compared to standard rates. For example, Octopus Agile rates have dropped to as low as 5p/kWh.
What are the maintenance costs for heat pumps vs stoves?: Heat pumps require annual servicing costing £100–£200, while gas stoves need similar checks at £80–£150. However, heat pumps have fewer moving parts and longer lifetimes (20+ years) than stoves (15 years), reducing long-term replacement costs.
Which is better for the environment: heat pump or stove?: Heat pumps are far better for the environment. Even with UK grid emissions, they cut carbon by 75% compared to gas stoves. By 2030, when the grid is nearly 100% renewable, heat pumps could be near-zero carbon. Stoves rely on fossil gas, which emits methane and CO2 directly at home.