Answer: Geothermal heating questions in the UK usually refer to ground source heating. These ground source heat pump systems cost between £10,000 to £20,000 to purchase and install. Property owners must also account for annual servicing costs, which can be around £300. The running costs are minimal, often around £650 per year.

Geothermal heating

The term “geothermal” can be misleading. Ground source heat pumps (GSHPs) absorb heat from below the surface of the earth, but they aren’t technically geothermal.

(The term heat pump is a category that also includes air-source heat pumps, which absorb heat from the air rather than ground.)

There is nuance to this term, which has been muddied by incorrect terminology over many years.

The difference between ground source heat pumps and geothermal energy

The difference is explained perfectly by Geoxergy, a Canadian heat pump company.

“Geothermal energy is similar, however, it just uses heat from deep within the earth’s core, such as from hot springs. True geothermal energy has been limited to areas around the Earth’s tectonic plate boundaries; it is limited to areas where there is volcanic activity relatively close to the surface of the earth. Geothermal systems do not need a heat pump or ground loop system. Geothermal energy is used to create heating for homes and buildings – such as in Iceland – or is used by geothermal power plants to create electricity at large-scale plants.”

This is backed up by Lloyd Alter at Treehugger:

“Geothermal systems use heat directly from natural sources like hot springs, geysers and volcanic hot spots. Ground source heat pumps are air conditioners that use groundwater or simply soil to cool the condenser instead of an outside coil and fan. It uses electricity to move heat energy from one place to the other. Run it backwards and it provides heat, more efficiently than using the electricity directly.”

We’re sure that property owners in the UK are typically looking for a ground source heat pump, rather than geothermal systems.

Typical ground source heat pump installation

Costs for ground source heat pumps

If you’re looking for a ground source heat pump, you should be ready to invest between £10,000 and £20,000.

This depends on the size of the heat pump system, which is determined by your property design and its overall heat demand. Remember, this should be seen as an investment rather than a cost in the long-term. 

Financial help is available in the form of the Boiler Upgrade Scheme, and in Scotland, the Home Energy Scotland loan is available to help fund capital outlay. 

The running costs of a ground source heat pump are minimal. For an average UK home, the running costs are typically around £650.

This is just an estimate, of course. Aside from annual servicing, which costs between £250 to £300, very little maintenance is required.

If the system is kept in good health, it could last more than 20 years. The ground collectors (the loops) are set to survive up to 70 years. Once they’re buried in the ground, they’re in place for the long haul.

Savings and earnings for a ground source heat pump

Ground source heat pumps will save you money when compared to traditional heating systems, especially when you are off the grid. How much cash will you save? It depends, but they are highly efficient solutions with great benefits.

Based on the average British four-bedroom detached home, you could save up to:

  • £425 per year when compared with gas-fired heating
  • £600 per year when compared with oil-fired heating
  • £1,000 per year when compared with LPG heating
  • £1,200 per year when compared to traditional electric storage heating.

Summary

Geothermal heating isn’t technically the same as ground source heating; but we know what you mean!

The price of a ground source heat pump installation depends on a number of factors, but the benefits often outweigh the costs. These systems are highly efficient and save significant money on utility bills.

For more information about getting a project started for your property, contact IMS Heat Pumps. We take care of all the complexities, and provide you with the best heat pump expertise in Britain.