A Beginner’s Guide to Heat Pumps: Types and When to Use Them

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32497161 scaled guide to heat pumps

Heat pumps are becoming increasingly popular as the UK transitions to cleaner, greener home heating solutions. But with so many different types — from air-source to ground-source and hybrid systems — how do you know which one is right for your home?

In this guide to heat pumps, we break down the most common types, how they work, and when you might choose one over another.


What is a Heat Pump?

A heat pump is a low-carbon heating system that transfers heat from one place to another — usually from the air, ground, or water — to heat your home or provide hot water. Think of it as a fridge in reverse.

Rather than generating heat, a heat pump moves existing heat using electricity, making it a more energy-efficient alternative to gas boilers.


Why Choose a Heat Pump?

  • 🔋 Lower energy bills (especially with good insulation)
  • 🌱 Reduced carbon emissions
  • 🏡 Versatile (heating and cooling)
  • 🛠️ Long lifespan and low maintenance
  • 💷 Eligible for government grants like the Boiler Upgrade Scheme

Types of Heat Pumps

Let’s explore the main types:


guide to heat pumps - air source heat pump
Spring Meadow Farm, Ely.

1. Air Source Heat Pumps (ASHP)

How it works:
Extracts heat from the outside air (even in winter!) and transfers it into your home.

Sub-types:

  • Air-to-Water: heats radiators, underfloor heating, or water tanks
  • Air-to-Air: blows warm air through fans (less common in the UK)

Best for:

  • Most homes, especially new builds or well-insulated properties
  • Areas without access to gas
  • Moderate climates

Pros:

  • Cheaper and easier to install than other types
  • Small footprint — outdoor unit only
  • Suitable for retrofitting

Cons:

  • Slightly less efficient in very cold weather
  • Works best with underfloor heating or large radiators

2. Ground Source Heat Pumps (GSHP)

How it works:
Draws heat from underground using buried pipes filled with antifreeze solution. The ground remains at a fairly stable temperature year-round.

Sub-types:

  • Horizontal loop systems: require a large garden or field
  • Vertical boreholes: go deep into the ground, suitable for smaller plots

Best for:

  • Homes with outdoor space
  • New builds with space for digging
  • Rural areas off the gas grid

Pros:

  • Very efficient, especially in winter
  • Consistent heating output
  • Long lifespan (up to 50 years for ground loop)

Cons:

  • High upfront cost (especially with drilling)
  • Disruption to garden during installation
  • Needs outdoor space

3. Hybrid Heat Pumps

How it works:
Combines a heat pump with a traditional gas boiler. The system chooses the most efficient source depending on the temperature and heating demand.

Best for:

  • Existing homes with older radiators or poor insulation
  • Households wanting to reduce carbon but keep some backup heating
  • Areas with high heat demands

Pros:

  • More flexible and less dependent on insulation
  • Lower gas bills while still having boiler support
  • Good transitional step before going fully electric

Cons:

  • Still uses fossil fuels
  • More complex installation and maintenance
  • Fewer government incentives

4. Water Source Heat Pumps

How it works:
Extracts heat from a nearby water source like a river, lake, or stream.

Best for:

  • Homes close to open water
  • Larger properties or commercial use

Pros:

  • Very efficient
  • Stable temperature of water leads to reliable performance

Cons:

  • Rare in the UK
  • Requires specific permissions
  • Limited to properties with water access

Comparing the Options

Heat Pump TypeCost (Est.)EfficiencySpace NeededIdeal Use Case
Air Source£7k–£13kMediumLowUrban/suburban homes
Ground Source£15k–£25kHighHighNew builds or rural homes
Hybrid£5k–£10kMediumLowOlder homes with gas
Water Source£15k–£20kHighMediumHomes near water

What About Installation?

  • ASHP units are usually installed outside your home on a concrete base
  • GSHP needs professional survey and digging equipment
  • Hybrid systems use your existing boiler setup
  • All heat pumps need well-insulated homes to be efficient

📢 Check your eligibility for the Boiler Upgrade Scheme — a government grant offering up to £7,500 off certain installations.


Choosing the Right One for You

Ask yourself:

  • Do I have outside space for digging or a water source nearby?
  • Is my home well-insulated?
  • Do I want to eliminate fossil fuels completely?
  • What’s my budget for installation?

Final Thoughts

Heat pumps aren’t one-size-fits-all — but they are one of the most effective steps you can take toward a lower-carbon lifestyle. By choosing the right type for your home, you can future-proof your heating system, save on bills, and reduce your environmental impact. Hopefully this guide to heat pumps will help you make your choice!