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Boiler prices: how much is a new boiler?

If your boiler is on its last legs, you’re likely to be wondering how much it will cost to replace.

How much a new boiler will cost depends on the size and type. Prices can vary greatly, so make sure you choose the right one for your home.

Here’s a look at the average costs so you can easily compare boiler prices

If your boiler is on its last legs, you’re likely to be wondering how much it will cost to replace.

How much a new boiler will cost depends on the size and type. Prices can vary greatly, so make sure you choose the right one for your home.

Here’s a look at the average costs so you can easily compare boiler prices

Written by
Anna McEntee
Insurance comparison expert
Reviewed by
Andy Webb
Insurance expert
Last Updated
15 MAY 2023
7 min read
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How long does a boiler last?

Typically, a boiler should last between 10 and 15 years, but modern boilers are proving to be far more energy efficient than older models. So, if your boiler only has a few years left on the clock, you might want to consider replacing it with a newer model.

A modern, energy-efficient boiler can bring significant savings on your energy bill. Although this will depend on how efficient your old boiler was, the size of your home and how much you’re currently paying. And you’ll need to offset any savings against the cost of the new boiler.

What can affect the cost of a new boiler?

The cost of a new boiler can vary considerably, depending on:

  • The type of home you have (terraced, semi-detached, for example)
  • How many rooms there are in your home
  • Where you live (prices in London and the South East are generally higher)
  • The type, model and capacity of the boiler you choose
  • The complexity of the installation
  • If you want to move your boiler
  • Any additional pumps or valves needed
  • Any new radiators
  • Extras such as smart controls and filters.

How much are new boilers?

The following table shows the approximate price ranges for the most popular types of boiler in the UK**:

Boiler type

Price range

Combi

£500-3,000

Condensing

£500-1,700

Conventional

£700-2,000

System

£600-2,500

Electric

£900-2,500

Biomass

£4,000-13,000


**
Please note the table does not include installation costs.

New boiler installation costs

When considering how much a new boiler will cost, don’t forget the installation fees. These can range from £900 to £5,000, depending on whether you’re replacing the same type of boiler as your old one or opting for a different system.

If you’re having a new boiler installed in the same place as the old one and it’s a simple job, installation is likely to be cheaper. The cost may be higher if you decide to move the boiler or need to upgrade the pipe system.

If you choose to have a ground source heat pump installed, prices will vary according to whether you’re having a vertical or a horizontal system. This might also be more expensive than a simple gas boiler replacement because of the extra work required.

Make sure you choose a reputable company to fit your new boiler. And any gas work needs to be carried out by a Gas Safe engineer.

Grants and discounts to help with new boiler costs

You might be able to get financial help with paying for a new boiler. For those keen on switching to cleaner energy, there’s the Boiler Upgrade Scheme (BUS).

Under this government initiative, launched in April 2022, you can apply for a grant towards the cost of installing a low carbon heating system.

It covers three types of sustainable heating:

Grants are available to homeowners and private landlords with properties in England and Wales. However, the money can only be used to replace traditional fossil fuel heating systems, such as gas, oil or electric.

With some boiler cover plans, you might be offered a discount on a new boiler when your existing boiler no longer works.

Compare the Market has partnered with Hometree to offer boiler cover plans. Hometree offers a 15% discount on the price of a new boiler if they can’t fix your old one – even on its lowest priced plans. This could save you £75 on a £500 boiler and £375 on a £2,500 boiler.

If you’re on a low income or receive government benefits, you might be eligible for a free boiler under the Energy Company Obligation (ECO) scheme.

Which type of boiler is right for you?

Although budget is a major factor when choosing a new boiler, you should also consider how big your home is and how much hot water you need. 

Combi boiler

Cost of a combi boiler typically ranges from £500-£3,000

One of the most popular types of boiler in the UK. Combis are efficient and compact, and can run on gas or electric.  They can often be stored in a cupboard and are ideal for smaller homes.

Combis may not be suitable for larger households with multiple bathrooms, as the water pressure is weak when run from more than one source.

Condensing boiler

Cost of a condensing boiler typically ranges from £500-£1,700

One of the most efficient types of boiler, condensing boilers use the wasted heat left in the flue to reheat cold water.

Condensing boilers can run on gas or oil. Water pressure is good, so they’re recommended for mid-sized homes with more than one bathroom.

Conventional boiler

Cost of a conventional boiler typically ranges from £700-£2,000

Conventional boilers can run on gas or oil and have two water cylinders: one for heating the water and one for storing the water.

Thanks to the large amount of storage and good water pressure, conventional boilers are ideal for larger homes where a lot of hot water might be used at the same time.

System boiler

Cost of a system boiler typically ranges from £600-£2,500

System boilers heat water directly from the mains and have a storage cylinder to ensure a good supply of hot water.

System boilers are a good option for large households that need plenty of hot water without a drop in water pressure.

Electric boiler

Cost of an electric boiler typically ranges from £900-£2,500

Electric boilers are an option for areas that don’t have a gas supply. Compact and easy to install, they can be placed almost anywhere in the home.

As they don’t need a flue or gas pipes, installation costs tend to be much cheaper. However, running costs can be higher than a traditional gas boiler. Because of this, they’re more suitable for small homes that don’t need a large supply of hot water.

Biomass boilers

Cost of a biomass boiler typically ranges from £4,000-£20,000

Biomass boilers are the most expensive type of boiler to buy new. But they’re also one of the most eco-friendly and efficient systems to run. Using wood pellets, chips or logs, a biomass boiler could save you up to 40% on your heating bills.

If you can afford the initial costs, a biomass boiler could prove to be a great long-term investment.

How much money can you save with a new boiler?

Older boilers (particularly those 10 years old or more) are less efficient than new ones, so upgrading can make a real difference to your energy costs.

Savings can vary depending on fuel type and energy prices, but the table below gives you a general idea of how much you can expect to lower your bills by.

According to the Energy Saving Trust, this is what fitting a new A-rated boiler could save you each year, in comparison with lower-grade systems^^:

Property type Grade G boiler Grade F boiler Grade E boiler Grade D boiler
Detached £840 £590 £460 £375
Semi-detached £540 £380 £335 £305
Mid-terrace house £420 £290 £260 £235
Mid-floor flat £230 £160 £140 £125
Bungalow (detached) £445 £310 £275 £250

Of course, this saving should be offset against the cost of replacing the boiler, so it might be a while before you recoup your initial spend.

But if you decide to spread the cost over 10 years, your monthly savings could be higher than your monthly payments. In this case, your boiler would effectively pay for itself.

^^Figures based on fuel prices under the Energy Price Guarantee running from April 2023 to the end of June 2023.

Frequently asked questions

How does the Boiler Upgrade Scheme work?

The Boiler Upgrade Scheme (BUS) works by providing homeowners with financial help towards the cost of replacing their old fossil fuel system. The government set up the scheme to improve energy efficiencies with new low-carbon boilers that run on heat pumps or biomass energy.

To benefit from the scheme, you must locate an MSC-certified installer in your region. They should be able to perform the work according to the proper standards and provide advice on the most suitable system for your home.

They’ll apply for a grant of up to £6,000 on your behalf and deduct it from your bill.

When is the best time to replace my boiler?

Boilers should be replaced when you start to find issues with them. This could be anything from frequent breakdowns or odd smells, to low performance or leaks.

It’s usually better to get the work carried out in summer because boiler engineers are less busy at that time of the year. And you won’t be cold while your new boiler is being installed.

Are there cheaper alternatives to getting a new boiler?

Before you decide to buy a new boiler, try to cut your heating costs by having your current boiler serviced, especially if you haven’t had this done for a while. A service will give it a good clean out and identify any problems.

You could also follow our energy saving tips, such as draught-proofing your home and insulating your walls and loft.

What sustainable solutions are available compared with a new gas boiler?

There are several more sustainable options for boilers when compared to traditional gas boilers. Two key replacements are air source heat pumps and ground source heat pumps, which work like refrigerators in reverse.

The UK government has said that no new homes should be connected to the gas grid after 2025, making these excellent options.

Installation can be expensive but they’re low maintenance and typically have a longer lifespan than a boiler.

They’re also more environmentally friendly than fossil fuels and it’s possible to receive money off them if you apply for a government grant under the BUS scheme.

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Anna McEntee - Insurance comparison expert

Anna’s all about delivering fantastic insurance products at a great price. Value is the most important thing for Anna, as she cuts through the jargon and finds what’s most important and worth your hard-earned money.

Learn more about Anna

Andy Webb - Insurance expert

Andy Webb is an award-winning personal finance journalist and broadcaster. Combined, his Be Clever With Your Cash blog, Andy Clever Cash YouTube channel and Cash Chats podcast have been read, watched and listened to by millions.

Learn more about Andy

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