How Heat Pumps Work

How Do Heat Pumps Work and Are They Worth It?

A complete guide to air source heat pumps, their benefits, costs, and how they can save you money and energy.

What Are Air Source Heat Pumps?

Air source heat pumps are efficient, environmentally friendly heating systems capable of warming your home or business while reducing your carbon footprint. By drawing heat from the air around you, these systems can provide sustainable heating and hot water, all while lowering energy bills.

Unlike traditional heating, an air source heat pump uses electricity only to transfer heat — up to 70% of the heat comes from the environment, making them a highly cost-effective and eco-friendly alternative.

How Does an Air Source Heat Pump Work?

So, how do heat pumps work? The process is similar to a refrigerator, but in reverse:

Heat Absorption: The system absorbs heat from the outside air, even in cold temperatures.
Refrigerant Cycle: The absorbed heat turns a refrigerant from liquid to gas.
Compression: The gas is compressed to increase its temperature.
Heat Distribution: The generated heat is transferred to your home via radiators, underfloor heating, or hot water systems.

Because most of their energy is extracted from the environment, air source heat pumps are extremely energy-efficient, reduce reliance on fossil fuels, and cut CO₂ emissions significantly.

Is an Air Source Heat Pump Worth It?

Yes — air source heat pumps are a smart investment for both domestic and commercial properties:

Lower Running Costs: With up to 70% of energy sourced from the air, running costs are significantly lower than traditional gas or electric heating.
High Efficiency: Air source heat pumps are typically 3–5 times more efficient than conventional boilers.
Versatility: They can heat air or water, work with existing radiators or underfloor heating, and some systems can even cool your home.
Environmental Benefits: Using a renewable heat source reduces your carbon footprint.

Even though installation costs can be higher than conventional systems, long-term savings and energy efficiency quickly outweigh the initial investment.

How Much Does an Air Source Heat Pump Cost?

The exact cost of air source heat pump installation varies depending on brand/supplier, as well as the size of the property that needs heating. Although often slightly more expensive than traditional gas or electric systems to install, the reduced running costs offset this and more in the long term!

Modern gas boilers are more than 90% efficient, and electric heaters 100%. Air source heat pump efficiency can be up to 4x better than either of these! This higher efficiency reduces running costs greatly.*

To further reduce both the environmental impact and the running costs, the Daikin Altherma can be installed with solar panels which provide cost-effective and renewable electricity to power your air source heat pump system.

Get in touch with the experts at EOC Services on 01366 384 200 to discuss the cost of installing an air source heat pump in your home or commercial setting.

Are There Grants For Air Source Heat Pumps?

The Boiler Upgrade Scheme (BUS) supports the decarbonisation of heat in buildings. It provides upfront capital grants to support the installation of heat pumps in homes and non-domestic buildings in England and Wales.

* Savings on running will vary depending on the fuel being replaced.