A heat pump replaces your gas or oil boiler with a system that runs on electricity and pulls heat from the air or ground. In the right home it’s efficient, low-carbon and eligible for SEAI support of up to €12,500 for eligible heating upgrades. But it isn’t right for every house. This guide covers the costs, the grant, running costs, and how to tell if your home is ready.
What a heat pump costs
Costs depend on the type and size of system and how much pipework and radiator/emitter work your home needs. As a rough guide to typical market prices in Ireland (before the grant):
| System type | Typical cost before grant | SEAI grant |
|---|---|---|
| Air-to-water (most common) | €10,000–€16,000 | up to €12,500 |
| Ground source | €18,000–€25,000+ | up to €12,500 |
| Air-to-air | €5,000–€10,000 | €7,500 |
The SEAI heat pump grant
The heat pump grant is a bundle worth up to €12,500 for a house. It can be made up of:
- Heat pump unit — up to €6,500
- Central heating upgrade — up to €2,000 (radiators/pipework so the system runs efficiently)
- Renewable heat bonus — up to €4,000 (when you replace an oil, gas, solid-fuel or electric storage system)
Apartments get up to €9,500; air-to-air systems get €7,500. A technical assessment grant of €200 is also available. Full detail and how to apply is in our heat pump grant guide.
Is your home ready?
This is the make-or-break question. A heat pump runs at a lower temperature than a boiler, so it needs a home that holds heat well.
- Homes built from 2007 usually qualify with a self-declaration.
- Homes built before 2007 generally need a technical assessment to confirm the heat loss indicator is 2.3 W/K/m² or lower — unless a valid BER already shows it.
- If your home is draughty or poorly insulated, do the insulation first. See our insulation guide — it’s cheaper, and it’s what makes a heat pump pay off.
Running costs vs gas and oil
A heat pump’s efficiency is measured by its COP — it delivers around 3–4 units of heat for every unit of electricity. Because electricity costs more per unit than gas, the maths only works when the home is efficient:
- Well-insulated home: running costs can match or beat oil and gas.
- Poorly insulated home: the heat pump has to work harder and can cost more to run.
Pairing a heat pump with solar panels and a smart electricity tariff can lower running costs further — see cutting your energy bills.
