With Octopus Energy and Halifax, you could get a heat pump at home for free

As an energy company, our aim is to help you keep your bills as low as possible.

To benefit from the £100 bill credit, you'll need to be a new or existing customer of Octopus Energy and have a Halifax mortgage, credit card, savings, loan current, insurance or investment account.

Octopus will add £100 credit to your Octopus Energy account within 14 days of your heat pump installation provided the account is on supply and the first direct debit payment has been taken.

Provided you have become an Octopus Energy customer within 6 months of your heat pump installation date the credit will be applied to your Octopus Energy account.

This offer is available to Halifax customers who place an order between 31st July 2024 - 31st January 2026.

Please complete your tariff quote application using the email address associated with your Halifax account to ensure your account can be validated for this offer.

If you’re not an Octopus Energy customer, you’ll need to switch to Octopus for your home energy to benefit from this offer. Get a quote here.

Please visit the Halifax website and register or sign in to your Green Living Reward to check you’re eligible before you start any work.

You can find out more about the Green Living Reward here.

Once your heat pump is installed please visit the Halifax website and sign in to your Green Living Reward.

You will need to upload the final invoice you receive from Octopus as evidence to claim the reward.

No. You can use any installer you like to get a heat pump and claim the Green Living Reward cashback.

To claim the BUS grant, you'll need to check off the following:

• You'll need to own your home.
• You'll need to have an EPC from the past 10 years. If you don't, no worries.
  We can arrange that for you.
• You'll need to check you have enough space for your new system. Check out our sizing guide here.
• If your home is undergoing renovation you'll need to wait until it's complete. In the meantime, here are some tips to help you on your way.

To find out more about the Boiler Upgrade Scheme check out this page.

Together with your new air source heat pump, your quote will include:

• Installation & configuration by our expert team.
• A compatible hot water cylinder.
• Any necessary radiators.
• Plumbing & electrical bits needed to fit your new heating system.
• All delivery and labour required to complete the install.
• 8-year product warranty with a Cosy 6 heat pump, or 5-years for other brands.
• £7,500 Boiler Upgrade Scheme grant (we apply for this grant on your behalf).
• Free asbestos testing and Energy Performance Certificate (EPC) application if required.
• 2-year warranty on all other parts.
• 2-year warranty on labour & workmanship.
• A dedicated team to support with everything, from quote to installation and beyond.
• All work is completed to our design standard. If your home requires any extra work, this may come at an additional cost.

Get the full low-down on what's included.

Our quote includes everything you need for an efficient, MCS-quality heat pump install. If you want extra bits (for example, extra radiators, a water cylinder upgrade, or solar diverter), it will cost more. We'll discuss all of the potential options after the survey.

During your survey, we will check whether any other work is required to get your home heat-pump-ready. The cost of these works is not included in your quote, but we'll provide support to ensure everything gets sorted. We've included some further information on what may incur additional costs below:

• Groundworks or site preparation. Any work required to prepare the areas where the heat pump and/or cylinder will go.
• Asbestos removal.If necessary, asbestos testing is included in your quote. But if we find asbestos, we are unable to remove it for you, instead we will put you in touch with someone who can. Then a clean air test will be required before we proceed.
• Planning permission.Around 40% of customers need planning permission. These costs can vary depending on where you live, but the application fee is typically £250 - £330.
• Scaffolding.About 30% of homes require scaffolding in order to do the installation safely. This can cost between £800 - £1,000, depending on your home.
• Structural surveys or loft upgrades. If the cylinder is to be installed in a loft, we will require a structural survey before we proceed.
• Fuse or service upgrades. Your local Distribution Network Operator may recommend that upgrades are completed before installation.
• Installation upgrades. If you would like extra bits beyond our standard design, like a water cylinder upgrade, or a solar diverter, this will cost more. Extra radiators will also cost more and we only install Octopus-supplied hardware.

We're not able to install in properties without existing plumbing, or if the plumbing needs to be fully replaced or re-piped to be heat pump ready. If this sounds like you, please email us at heat@octopus.energy and we can refer you to one of our Octopus Trusted Partners.

Making home improvements is really exciting, and a heat pump could be the icing on the cake! If you’re planning to make structural changes (like knocking down a wall or adding an extension), you will need to wait for the renovation to be complete before we can begin designing your heat pump.

This is because big changes will alter the overall heat loss and thermal performance of your property. We tailor your heat pump design specifically to your home, so if the layout changes, the needs of your heat pump will too. This means your heat pump may end up being too small or less efficient, and cost you more money in the long run. Your heat pump may also no longer meet MCS requirements, which is needed for the government grant.

However, there are some things you can factor into your renovation plans now to get your home heat pump ready:

• Underfloor heating/ radiators - underfloor heating is the perfect partner for heat pumps or larger, higher output radiators to accommodate the lower flow temp. Just let your contractor know you're planning to match it with a heat pump and they'll find the right emitters for you.
• Pipework - you'll need a minimum pipe size of 15mm for a conventional heat pump. If you have smaller pipes, they can still work well but you may need a more bespoke system.
• Space - think about where you'll be placing your heat pump (outside) and water cylinder (inside) - the closer together, the better!
• Insulation - renovation can be a prime time to add more insulation to your property, which will make your heating more efficient (whatever system you have)

Please get back in touch once your renovation is structurally complete and we'll be happy to give you a heat pump quote.

Our heat pumps start at £500 for a standard installation (including the £7,500 government grant). For customers whose homes are eligible for a heat pump at £500, this would mean the BUS grant accounts for 93.75% of the total cost.

For larger or more complex homes, the costs will be higher, but even with this in mind, almost all our quotes are lower than the national average of £5,565.

For the best indication of how much a heat pump will cost for you, get an instant quote.

For more information on how we calculate your fixed price and what's included, check out our blog on how much does a heat pump cost?

All we need is a few details to generate a tailored quote for your home. We'll use the info you give, as well as your home's energy performance certificate (EPC) from the national database, to calculate your fixed price.

However, there are some things you can factor into your renovation plans now to get your home heat pump ready:

We'll be able to let you know exactly what you need and how much it costs, including necessary additional works after your no obligation home survey. Find out more about potential additional costs in the Cost, grants and savings section.

Don’t forget, if you're eligible for the Halifax Green Living Reward you could also claim £2,000 cashback after your installation.

Nope! We’re on a mission to decarbonise heating - anyone can get a survey and installation with us even if you’re not an Octopus Energy customer.

Call us: 0808 196 6842

Email: heat@octopus.energy

(Our phone lines are open 9am - 5pm Monday to Thursday, and 9am - 4pm Friday.)

For the fastest response, fill out this form to raise any issues. Alternatively, you can email us at heat@octopus.energy or call 0808 196 6842.

Check out our full complaints procedure here.

Standard heat pump installations with Octopus Energy start from £8,000. When applying both the Boiler Upgrade Scheme grant (£7,500) and the Halifax Green Living Reward cashback (£2,000), the cost of the heat pump installation would be fully covered, with £1,500 surplus cashback for the customer to keep.

The installation cost of a heat pump will vary depending on the requirements of individual properties, meaning there will also be scenarios where the customer still has to pay a contribution to costs.

The Halifax Green Living Reward is a cashback reward which is paid to a customer within five days after submitting an eligible claim. Therefore, if the £2,000 reward fully covers the outstanding heat pump balance after the Boiler Upgrade Scheme grant, the customer will still have to make a payment to settle the balance and then claim the cashback afterwards.

Cut carbon emissions by around 80% with a heat pump:

This is the typical reduction in heating carbon emissions using an electric powered heat pump compared to a gas boiler, based on the following calculation:
Gas CO2 = (A/C*D) = 2.35 tonnes per year
Electricity CO2 = (A/B*E) = 0.45 tonnes per year
Carbon saving = 1.9 tonnes or 82%

Where A - E are:
A - 9,250 kWh typical energy demand for a medium use property (according to Ofgem).
B - 3 heat pump seasonal coefficient of performance
C - new boiler efficiency of 82.5% (BEIS study)
D - Gas fuel emissions of 210 gCO2/kWh (SAP 10.2)
E - Electricity fuel emissions of 136 gCO2/kWh (SAP 10.2)

See our cost to run blog for the full set of calculations and assumptions.

Efficiency / A heat pump is up to 4x more efficient than a gas boiler:

Heat pumps can deliver several units of heat for each unit of electricity. For every 1 kWh of electricity you put in, you could get an average of 3.1kWh heat out, which is an efficiency of 310%! This is because heat pumps don't create heat, but move existing heat from nature into your home (like an air conditioner or refrigerator, but in reverse).

Alternatively, when you burn stuff to generate heat (like gas, oil, or wood), you are instead creating heat by converting matter to energy - so you can never get more than one unit of heat for each unit of energy you burn. Gas boilers in UK homes are only around 85.3% efficient, so for every 1 kWh of gas you put in, you get around 0.853kWh of heat out, which is nearly 4x less efficient than a heat pump (3.1/0.853 = 3.6).

These are typical install efficiencies as seen from government funded studies of gas boilers and heat pumps installed in real homes. Our own installations are typically higher efficiency than the ones shown in this study.

Heat pumps vs gas boilers

Lifespan: the expected lifespan of a gas boiler is 10-15 years, whereas a Daikin heat pump is expected to run for 15-20 years.
Heating costs: Check out our blog on heat pump running costs for a full breakdown of our running cost calculations.Efficiency & emissions: See above

91% of our heat pump quotes beat the national average:

We compared the prices of all of our heat pump sales for June to December 2024 to the UK national average installation cost, which government publish here every quarter. We found that 91% of our Octopus sales were below the national average price of £5,565 (this includes the Boiler Upgrade Scheme grant of £7,500)

Heat pumps give reliable, consistent heating and hot water

The heat pump user survey report by Nesta from May 2023 summarises that “users are highly satisfied with their heat pumps”. It states “People living in England, Scotland and Wales who own their home and use a heat pump to heat it are satisfied that heat pumps are safe, reliable, quiet heat sources that are effective for space heating and producing hot water”. Find the full report here.

Heat pump heating makes the air healthier in your home

Homes with a heat pump emit far less harmful nitrous oxide (NOx) emissions from gas boilers and cookers, significantly reducing asthma and other respiratory illnesses. According to the Sustainable Markets Initiative Cleantech homes report.

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