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1st May, 2024

How Much Money Can a New Boiler Save Me?

How Much Money Can a New Boiler Save Me?

Key takeaways

  • A new, energy-efficient boiler can significantly reduce energy bills and carbon emissions.
  • Modern boilers offer improved efficiency, smart controls, and a variety of features.
  • Long-term savings and eco-friendly benefits make investing in a new boiler a wise decision.
  • Try a new boiler quote, finance available including 0% APR.

Installing a new boiler can help you save money on your energy bills while improving the efficiency and reliability of your heating system. Our guide explores the potential cost savings of a new boiler, including the impact of energy efficiency ratings and the cost of installation.

If you're looking to reduce your energy bills, a new boiler can make all the difference. By investing in a more energy-efficient boiler, you can save money on your energy bills each month, while also reducing your carbon footprint. 

Heating accounts for a significant portion of household energy usage, and older, less efficient boilers can result in higher costs and increased emissions. 

With advances in technology, modern boilers offer improved efficiency and a variety of features that collectively help to cut down on expenses and boost performance.

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Understanding boiler efficiency is crucial when considering an upgrade or replacement. The efficiency rating of a boiler represents how well it converts fuel into heat, and higher ratings mean greater savings. 

An 'A' rated boiler is the most energy-efficient option available, providing a major step-up from older models that may be operating at a mere 60% efficiency. The initial investment in a new boiler might seem costly, but the potential long-term savings from reduced energy consumption can significantly offset the upfront expense.

In addition to cost savings, new boilers also come with a variety of beneficial features that contribute to a more comfortable and eco-friendly lifestyle. From various types and models to choose from, to integrated smart controls and thermostats, the modern boiler offers a wealth of options to cater to individual preferences and requirements. Furthermore, these boilers tend to have a longer lifespan, ensuring the investment is worthwhile.

Understanding Boiler Efficiency:

When discussing boiler efficiency, it is important to understand that it directly impacts energy bills. An efficient heating system utilises gas or oil more effectively, providing warmth while consuming less fuel. Today’s modern boilers are designed to achieve this goal, with many boasting high energy efficiency ratings.

Condensing boilers represent a significant step forward in boiler technology. These systems recover heat that would otherwise be lost, ensuring that the boiler operates at maximum efficiency. A-rated boilers, which have a minimum 92% ErP efficiency, lead the market in terms of energy efficiency. However, it is worth noting that in real-life scenarios, boilers might not always achieve the advertised efficiency.

Boiler efficiency can be determined by a simple calculation, dividing the total energy output by the total energy input and multiplying the result by 100. Consumers should focus on the resulting percentage when considering a new boiler, as it indicates how well the appliance will perform.

Non-condensing boilers, or G-rated boilers, used to be the standard choice for many households. These are much less efficient than their modern counterparts, leading to higher energy bills and carbon footprints. Upgrading from a G-rated boiler to an A-rated condensing boiler will result in noticeable improvements in energy consumption and related expenses.

In summary, an energy-efficient boiler can make a significant difference in terms of energy bills and environmental impact. When looking for a new heating system, it is essential to consider factors such as condensing technology and energy efficiency ratings, alongside practical considerations (comfort, size, and installation costs). Investing in a modern, efficient boiler can save money in the long term, while also contributing positively to environmental sustainability.

The Benefits of an 'A' Rated New Boiler

In recent times, homeowners have recognised the advantages of installing an 'A' rated new boiler. These modern boilers, unlike older boilers, offer a multitude of benefits, encompassing energy efficiency, cost savings, and enhanced heating performance.

For starters, an 'A' rated boiler operates with 90% or more efficiency, while a G-rated counterpart only achieves around 65% efficiency. This disparity means that upgrading to a modern boiler can result in significant energy and monetary savings. An 'A' rated boiler could even save you up to £580 annually on your energy bills.

How Can A New Boiler Help?

Naturally, the newer a central heating system, the more efficient it is due to engineering and design progression.

Outdated or failing systems could be the reason for your shock when seeing your monthly energy bills. 

Most UK boilers are running at 80% energy efficiency with some older models operating at 60% or less!

These sub optimal levels of output are as avoidable as they are shocking.

Age of Boiler

Efficiency Percentage

Efficiency Rating (ErP)

0+ Years

90% +

A

10+ Years

85% +

B/C

15+ Years

80% +

C/D

20+ Years

70% +

E/F

25+ Years

60% +

G

The direct correlation between a boiler’s age and its efficiency is clear to see in the newer systems’ ErP, so it may be worth upgrading your model to an energy efficient boiler.

Check out our handy guide on the most energy efficient boilers.

In addition to cost savings, improved heating performance is another advantage. An 'A' rated new boiler provides consistent hot water, ensuring that your radiators maintain optimal temperature levels for your comfort and satisfaction. This is true for various types of modern boilers, including system boilers, combi boilers, and heat-only boilers.

A new boiler also contributes to environmental sustainability by lowering your home's carbon footprint. Furthermore, the heat exchanger in these new boilers is designed for optimal performance, resulting in less energy waste compared to older models.

Switching to an 'A' rated boiler can also lead to a more efficient central heating system. Modern boiler technology is compatible with smart control devices, which allows you to customise and automate your heating schedules for better energy management. This feature ultimately translates to additional cost savings over time.

In summary, investing in an 'A' rated new boiler yields numerous benefits. Homeowners can experience significant savings on energy bills, enjoy consistent hot water and radiator warmth, contribute to the environment, and optimise their central heating system's performance. The right choice of a modern boiler, whether a system boiler, combi boiler or heat-only boiler, can make all the difference in the overall efficiency of your home.

Costs and Potential Savings

Boilers can be a daunting purchase for many people as they’re an appliance with a lot of responsibility, providing heat for you and your family is something you want to get right. Boilers aren’t exactly a quickly disposable item either, potentially lasting you a decade.

Effectively, new boiler cost can be split into two segments: the first is the actual boiler itself (unit price), and the second is the cost of the boiler being installed (set up) in your property by an expert engineer. 

Here at iHeat, we want to remove all of this undue stress and make the decision making process of upgrading to a new central heating system, as easy as possible.

Boiler costs can vary depending on a number of factors including their brand, model, fuel, output, warranty, labour and installation type. Typically a new boiler will cost between £1,845 and £3,500, below is a list of average boiler installations offered by iHeat (guide only).

Installation Type

Price (inc VAT)

Combi to combi swap

£1,845

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System to combi conversion

£2,499

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New boiler install

£2,899

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Back boiler to a combi

£3,299

Get a quote

System to system

£1,945

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In terms of savings, older boilers may only be 60% efficient, leading to higher energy consumption and fuel prices. Upgrading to a more energy-efficient boiler can result in substantial savings. The Energy Saving Trust estimates that you might save up to £580 per year by replacing an old G-rated boiler with a new A-rated condensing model and full set of heating controls.

To get a more accurate estimate of the potential savings, using a savings calculator is a valuable resource. These calculators consider factors such as your current boiler's efficiency, fuel prices, and the efficiency of your desired new boiler. With this information, homeowners can better understand how much they are likely to save per month and per year.

Ensuring your home is adequately insulated and implementing energy-saving tips can further contribute to the reduction of energy consumption. Some tips include installing a smart thermostat, using more efficient radiators, and regularly servicing your boiler.

Carbon Emissions and Fuel Efficiency

Boilers play a significant role in domestic carbon emissions, accounting for around 60% of them. When considering a new boiler, it's essential to factor in not only the cost savings but also the environmental impact, as both aspects are interconnected.

Energy-efficient boilers have the potential to substantially reduce your household's carbon footprint. A-rated boilers have an efficiency of over 90%, whereas G-rated boilers score under 70%. In 2007, UK law mandated all new boilers to be condensing boilers which contributes to improved efficiency and reduced emissions.

Switching to a more energy-efficient boiler can save you up to £580 per year on your energy bills. Moreover, the cost of standard boiler replacements, which is around £2,500 excluding radiators, could be outweighed by the monthly savings, leading to a boiler that essentially pays for itself.

It's noteworthy that the efficiency of LPG boilers, which use a cleaner fuel compared to oil boilers, is similar to that of gas boilers. They contribute to lowering carbon emissions due to the nature of LPG in producing less waste gases and pollutants during combustion.

In conclusion, investing in a new, energy-efficient boiler not only saves you money but also contributes to reducing your carbon footprint. Opting for an A-rated boiler can result in significant reductions in both emissions and fuel costs, ultimately making it a smart choice for both your pocket and the environment.

Boiler Types

When considering the potential savings of a new boiler, it's essential to understand the different types available and their respective features.

Combi Boilers

Combi boilers, or combination boilers, are a popular choice for many homes. They're compact and provide both central heating and hot water directly from the mains, eliminating the need for a separate hot water storage cylinder or cold water storage tank. This is particularly beneficial for homes with limited space.

The efficiency of combi boilers tends to be quite high, often labelled between 92-94% efficient ErP, or A-rated. One notable advantage of combi boilers is their ability to provide hot water on demand with good water pressure. However, they may struggle to meet hot water demands in homes with multiple bathrooms being used simultaneously.

Heat Only Boilers

Heat only boilers, also known as conventional boilers, provide central heating while working in conjunction with a separate hot water storage cylinder and cold water storage tank. These boilers can be a suitable choice for larger homes with higher hot water demands and multiple bathrooms.

Although heat only boilers are typically less efficient than combi boilers (older models can be as little as 60% efficient), modern heat only boilers can achieve higher efficiency standards when properly maintained and upgraded. Additionally, by using separate storage components, heat only boilers can provide a more consistent and reliable supply of hot water.

System Boilers

System boilers are an alternative to both combi and heat only boilers, combining key features of both. They work with a hot water storage cylinder but don't require a separate cold water storage tank. System boilers can be more energy-efficient compared to conventional boilers, although not as efficient as combi boilers.

These boilers are suitable for homes with multiple bathrooms, as they can provide a consistent supply of hot water to various outlets. Furthermore, system boilers have most of their components built in, which can lead to a quicker and less complicated installation process.

In conclusion, the type of boiler you choose should be based on the size of your home, your hot water demands, and the available space for installation. Each type of boiler has its advantages and trade-offs in terms of efficiency, ease of implementation, and water pressure consistency. When selecting a new boiler, taking these factors into account will help you make an informed decision, maximise energy savings, and ensure the comfort of your home.

Smart Controls and Thermostats

Smart controls and thermostats offer a modern and efficient way to manage your home's heating system. By opting for these technological upgrades, you can effectively regulate energy consumption, ultimately saving on energy costs.

Thermostatic Radiator Valves (TRVs) are an ideal solution for individual room temperature adjustments. These valves can be attached to each radiator, allowing users to set the desired temperature for each area. This ensures that unused rooms don't consume unnecessary energy, and it helps maintain the comfort levels in frequently used spaces.

Programmers go hand-in-hand with smart thermostats, enabling homeowners to schedule their heating to match their daily routines. With a programmer, you can decide when the heating should turn on and off, limiting energy waste when you're not at home. Smart thermostats provide additional control, allowing users to make adjustments remotely through smartphone apps, tablets, or other devices.

Moreover, smart thermostats are designed to help save energy. Some manufacturers claim that their smart thermostats can save users an average of 31% on their heating costs. By adjusting your heating schedule based on your lifestyle and preferences, you can potentially maximise these savings.

In summary, incorporating smart controls and thermostats, such as TRVs, programmers, and smart thermostats, can lead to significant savings on energy bills. Embracing this technology not only brings convenience but also contributes to more efficient heating systems and a reduced carbon footprint.

How Long Do Modern Boilers Last?

Modern boilers are designed to be more efficient and longer-lasting than their predecessors. Although their operational lifespan varies depending on several factors, the average life of a modern boiler ranges from 10 to 15 years. With proper care and maintenance, some boilers may even last up to 20-25 years.

An old and inefficient boiler can be a significant drain on your finances, particularly when energy prices fluctuate. On average, an inefficient boiler's efficiency drops by about 30% by the tenth year. The decrease in performance impacts the overall energy consumption, resulting in higher costs.

Modern combi boilers, for example, are built with improved technology and higher energy efficiency ratings, reducing both your energy use and your carbon footprint. As a result, investing in a new boiler can lead to substantial savings on your energy bills.

It's important to note that the actual savings depend on various factors, including the age and efficiency of your current boiler, your location, and local energy prices. Additionally, boiler longevity is influenced by factors such as the quality of installation and regular servicing by certified professionals.

Best Boiler Brands: Vaillant, Viessmann, Alpha, Ideal, Worcester Bosch

Selecting the right boiler brand is pivotal for ensuring efficiency, reliability, and longevity in home heating. Among the myriad of options, brands like Vaillant, Viessmann, Alpha, Ideal, and Worcester Bosch distinguish themselves with innovative technology and customer satisfaction. Below is an in-depth comparison of these brands, focusing on their standout models and unique industry positions.

Comparative Analysis of Standout Models

Brand

Standout Model

Energy Efficiency

Unique Features

Environmental Impact

Vaillant

ecoTEC Plus

A-rated

Eco-friendly, quiet operation

Reduced carbon emissions

Viessmann

Vitodens 100-W

A-rated

Compact design, smart compatibility

Low emissions technology

Alpha

E-Tec Plus

High efficiency

Compact, cost-effective

Energy-saving operation

Ideal

Logic Plus

A-rated

User-friendly, easy installation

Efficient energy use

Worcester Bosch

Greenstar i

A-rated

Robust build, smart controls

Eco-conscious design

Vaillant

Vaillant's eco-friendly ethos shines in their ecoTEC range, particularly the ecoTEC Plus and ecoTEC Exclusive models. These boast top-tier energy efficiency and reduced carbon footprints. They're known for quiet operation and user-friendly controls, making them a harmonious blend of performance and environmental responsibility.

Viessmann

Viessmann's Vitodens series, especially the 100-W and 200-W, are hallmarks of high-efficiency and technology. These models feature compact designs and stainless steel Inox-Radial heat exchangers for durability. Advanced features like smart thermostat compatibility offer enhanced control and user convenience.

Alpha

Alpha Heating Innovation's E-Tec range, particularly the E-Tec Plus, offers a fine balance between affordability and quality. Notable for their impressive energy efficiency and compact size, these boilers are suitable for various home types, making them an ideal choice for straightforward, efficient heating solutions.

Ideal

Ideal Boilers, especially the Logic Plus range, are lauded for their reliability and value. These boilers stand out with their efficiency, user-friendly interface, and compactness, favoured for their ease of installation and maintenance. They come with comprehensive warranties, offering peace of mind and reliability.

Worcester Bosch

A leader in the market, Worcester Bosch is synonymous with quality and reliability. The Greenstar range, including models like Greenstar i, Si, and CDi, is known for its efficiency and robust build quality. These boilers blend innovative features such as smart thermostat compatibility with user-friendly controls, making them a top choice in many homes.

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Frequently Asked Questions

Is it worth getting a new boiler now?

It depends on the current condition of your boiler and the potential improvements in energy efficiency that a new one could offer. If your existing boiler is functioning well and is regularly maintained, it may not be necessary to rush into replacing it. However, if it is frequently breaking down or has a low energy efficiency, investing in a new boiler can save you money in the long term on energy bills and repairs.

Should I replace my 20-year-old boiler?

Boilers typically have a lifespan of around 15 to 20 years. If your boiler is 20 years old, it may have lost a significant amount of its energy efficiency over time and will not be as environmentally friendly as newer models. Replacing an ageing boiler with a modern, energy-efficient unit could result in lower energy costs and a reduced carbon footprint.

Is it cheaper to get a new boiler?

In general, boilers cost between £600 and £2500, and installation costs can vary. While the initial investment might seem steep, a new boiler typically pays for itself with the potential savings in energy bills over its lifespan. To get the most accurate estimate, it's best to shop around for at least three comparison quotes.

Is it worth getting a new boiler in the UK?

In the UK, the Energy Saving Trust states that boilers produce approximately 60% of all domestic CO2 emissions. By switching to a more energy-efficient boiler, you can save up to £580 per year on your energy bills. Therefore, getting a new boiler in the UK can be a worthwhile investment in the long run, both financially and environmentally.

Should I replace my 30-year-old boiler?

If your boiler is 30 years old, it is likely outdated and significantly less energy-efficient than modern boilers, resulting in higher energy costs and emissions. Replacing a 30-year-old boiler with a new, energy-efficient model can lead to substantial savings on your energy bills and contribute to a reduced carbon footprint.

How much can you save by replacing your boiler?

The amount you can save by replacing your boiler depends on the efficiency of your current unit and the new boiler you choose. Older boilers can be as little as 60% efficient, while modern boilers offer much higher efficiency rates. By making the switch, you could potentially save hundreds of pounds per year on your energy bills.

Will a new boiler save me money on my gas bill?

Yes, a new boiler can save you money on your gas bill. Due to increased energy efficiency, modern boilers require less gas to produce the same amount of heat as older models. Consequently, you will notice a reduction in your gas bill as a result of installing a new boiler.

Stephen Day profile photo
Article by
Stephen Day

Co-founder

Gas Safe registered and FGAS certified engineer with over 20 years experience in the heating and cooling industry.