How much do commercial heat pumps cost?
Looking to cut energy costs and shrink your carbon footprint? More businesses are considering commercial heat pumps – a smart, efficient, and sustainable alternative to traditional heating. But how much does installing one really cost?
In this article, we explain the factors that impact commercial heat pump costs and share three example price points to help you understand what upgrading might mean for your business.
What impacts commercial heat pump costs?
The cost of a commercial heat pump installation depends on several key factors. Our expert team carefully assesses all of these during a thorough site survey and design process to ensure the best solution for your business.
Heat pump size: The size of your heat pump system needs to be matched to your building’s heat demand. A small office will require a smaller and therefore less expensive system than a large leisure centre or school. A well-insulated building will require a smaller system than one that experiences more heat loss.
Good Energy installs air source heat pumps, which are generally more straightforward and cheaper to install than ground source heat pumps, which usually require extensive groundworks.
Your existing heating system: The cost to install a commercial heat pump will be heavily influenced by your existing heating and hot water system.
If your building has a modern heating system with appropriate pipework and radiators, it will likely be a more straightforward installation.
Older buildings with outdated pipework or smaller radiators may require additional upgrades to radiators, pipes and pumps to ensure the heat pump runs efficiently, which adds to the total cost.
Your hot water requirements: For businesses with high hot water demands, such as hospitality venues or large offices with showers, a dedicated hot water cylinder or larger capacity system will be needed. This is another major factor that can increase the overall project cost.
Installation complexity: Every building is different. The ease of access for installers, the distance between the heat pump unit and the internal heating system, and the need for scaffolding or other specialist equipment will all affect the labour costs involved.
How much do Good Energy commercial heat pumps cost?
Every business is different, so providing a definitive price is difficult without a full site survey. However, we’ve shared three example scenarios to give you an idea of what to expect.
Scenario 1: Small Office / SME (similar size to a large home)
Estimated Heat Demand: 10-15 kW
Proposed System: A single air source heat pump with a hot water cylinder. Assuming the existing radiators are suitable, the installation would be relatively simple.
Estimated Price Range: £12k – £18k
(Not including grant support)
Scenario 2: Medium-sized venue (town hall, pub, restaurant)
Estimated Heat Demand: 30-50 kW
Proposed System: A larger air source heat pump or a cascade system with multiple units to meet higher heat and hot water demands. This would likely require a significant hot water cylinder and potentially more complex pipework to connect to different areas of the building.
Estimated Price Range: £30k – £55k
(Not including grant support)
Scenario 3: Large commercial building (school, leisure centre)
Estimated Heat Demand: 100 kW+
Proposed System: A large scale, bespoke solution, often involving a multiple unit cascade system. The complexity of the pipework and the size of the required hot water storage would be substantial.
Estimated Price Range: £95k – £148k
(Not including grant support)
Are there any commercial heat pump grants?
There are a wide range of green grants available to help businesses reduce the upfront cost of installing a heat pump.
For smaller businesses with a heating demand under 45kW, the government’s Boiler Upgrade Scheme offers a grant of £7,500 towards installation. In addition, a number of sector- and region-specific grants are also available.
Our expert team is on hand to guide you through the options and check your eligibility.
How much does a commercial heat pump cost to run?
While the upfront cost is important, the real value of a heat pump lies in long-term energy bill savings. Heat pumps are highly efficient, typically turning one unit of electricity into three – four units of heat. Paired with the right tariff, this efficiency can deliver substantial reductions in energy bills. The savings grow even further when combined with solar panels, which can directly power your heat pump and hot water.
Your exact running costs will vary based on your specific heat demand, the type of heat pump you install, and your electricity tariff.
Every business is unique. The best way to understand how much a heat pump would cost for your business is with a tailored site survey and design. Get in touch with our expert team today for advice on the right heat pump solution for your business.
