Get a heat pump on Lloyds – installed by Octopus Energy

To get the £100 bill credit, you'll need to be an Octopus Energy customer and have a Lloyds mortgage, credit card, savings, loan current, insurance or investment account.

We'll 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.

If you’re not an Octopus Energy customer, you’ll need to switch to Octopus for your home energy to get the £100 credit. Get a quote here.

You'll be eligible for the Offer if you are a Lloyds customer and:

1. you apply for and accept a mortgage illustration for a new Lloyds mortgage between 13 October 2025 and 24 November 2025. Or, if you already have a mortgage with Lloyds, accept an illustration to switch to a new deal within these dates
2. open or already have a Club Lloyds bank account
3. complete on your mortgage or deal switch
4. be eligible for the Boiler Upgrade Scheme (BUS), which Octopus will apply for and claim on your behalf
5. Have the heat pump installed within 12 months of completing on your mortgage relating to the property
6. be over the age of 18 and living in England
7. be able to have a heat pump installed at your place of residence
8. not be using this offer to replace an older existing heat pump installed at your place of residence with a new one

The property subject to the mortgage where the heat pump will be installed must:

1. be in England;
2. have an up to date EPC rating of C or D registered on the Government’s EPC Register
3. currently have a fossil fuel heating system (such as a gas boiler) or an electric heating system without a heat pump*
4. Pass a property suitability check conducted by Octopus Energy

During any part of the process (from application to install), if it’s discovered that you are not able to have the heat pump installed, for whatever reason, you will not be eligible for the offer.

Head to Lloyds to check you’re eligible before you start any work.

You can only apply for one heat pump offer from Lloyds Bank - either this heat pump installation offer or the Eco Home Rewards cashback offer.

If you apply to receive cashback for your heat pump installation, you will not qualify for this heat pump installation offer, and if you apply for this heat pump installation offer, you will not be eligible to receive cashback.

Yes, this reward is exclusive to customers who get their heat pump installed through Octopus Energy.

You'll need to qualify for the Government's Boiler Upgrade Scheme, and we'll claim it on your behalf.

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

• You own your home
• You have an EPC from the past 10 years
• 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

The good news is that we take care of it all for you!

When you get a heat pump quote with us, we’ll apply the £7,500 grant to your quote. We’ll make sure your home is suitable for a heat pump and meets all of the criteria for the Boiler Upgrade Scheme.

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

When you apply for a heat pump from Lloyds, we'll ask for a few details. We'll use the info you give, as well as your home's energy performance certificate (EPC) from the national database, to calculate the price of your heat pump. But you won't receive a quote - we'll send it to Lloyds instead, who'll pay for the heat pump on your behalf!

Your installation package includes:

• 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
• 5-year warranty on all other parts
• 5-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.

Nope!

During your survey, we will check whether any other work is required to get your home heat-pump-ready. If it's found during your survey that extra work is required to get your house heat pump-ready, you will need to pay for this extra work - Lloyds will only will only cover the costs of a standard installation.

Additional works may include:

• 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, so 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.

If you want extra bits (for example, extra radiators, a water cylinder upgrade, or solar diverter), you'll also need to cover the costs for these.

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 £4,300 for a standard install (including the BUS grant).

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

You don't need to have your energy supplied by Octopus Energy to claim the heat pump offer through Lloyds. You just need to be a Lloyds customer with an eligible mortgage and Club Lloyds personal current account (plus meet the other eligibility criteria).

If you're not a Lloyds customer or can't take up this heat pump offer, you can still get a survey and installation with us even if you’re not an Octopus Energy customer!

You can see if your property already has a valid EPC on the UK Government website.

If you need to get a new energy certificate, you'll need to arrange a property assessment, which you can also do on the UK Government website.

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.

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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