Oil and LPG boiler replacement means swapping a boiler that burns delivered fuel for an air-to-water heat pump running on electricity, then decommissioning the fuel tank. Homes off the gas grid are often rural, detached or older, so they tend to lose more heat than a typical suburban house. That makes careful heat loss design especially important, but it also means there is usually space outside for the unit.
Owners across Derbyshire can have oil tank removal arranged alongside a heat pump installation in Derbyshire. Cottages and farmhouses in and around Derbyshire often have solid walls, so the survey looks closely at construction and draughts. Rural properties near Derbyshire usually have garden space for the outdoor unit, sited away from windows and sheltered where possible.
Who it suits
- Older oil boilers nearing the end of their life
- Eligible homes in England and Wales within the higher grant window
- Owners tired of fuel deliveries and tank maintenance
- Detached houses and bungalows with garden space for the unit
Grants and rules for heat pumps in England
In England the Boiler Upgrade Scheme gives £7,500 towards an air source heat pump (£9,000 if it replaces oil or LPG, from 21 July 2026 to 31 March 2027), and since 28 April 2026 a valid EPC is no longer needed. The grant is applied for by the MCS-certified installer and shown as a deduction on your quote.
There is no VAT on installing a heat pump anywhere in the UK until 31 March 2027. In England most houses can have an air source heat pump under permitted development, provided the unit meets the MCS noise and siting standards; the old 1 m boundary limit was removed on 29 May 2025. We flag listed buildings, flats and sensitive conservation-area positions at survey.
Oil and LPG boiler replacement prices in Derbyshire
Here are typical prices for replacing an oil or LPG boiler with a heat pump in Derbyshire, installed and including VAT. Use the guide price tool for a figure based on your home, then a survey confirms it in writing.
| Home | Typical size | Installed guide price | After £9,000 grant |
|---|---|---|---|
| 1–2 bedroom flat or small terrace | 4–5 kW | £9,500–£12,500 | £500–£3,500 |
| 2–3 bedroom terrace or semi | 5–7 kW | £10,500–£13,500 | £1,500–£4,500 |
| 3 bedroom semi or small detached | 6–9 kW | £12,000–£15,500 | £3,000–£6,500 |
| 4 bedroom detached | 8–12 kW | £14,000–£18,000 | £5,000–£9,000 |
| 5+ bedroom or larger older house | 11–16 kW | £16,500–£22,500 | £7,500–£13,500 |
Installed, inc VAT: unit, cylinder, controls, minor pipework and commissioning. The £9,000 Boiler Upgrade Scheme figure applies to oil and LPG replacements in England and Wales installed from 21 July 2026 to 31 March 2027.
Towns we cover in Derbyshire
We cover 16 towns in Derbyshire for replacing an oil or LPG boiler with a heat pump. Each links to local guide prices and the grant position for England.
| Town | Postcode district | Nearest town | Midwinter daylight |
|---|---|---|---|
| Derby | DE1 | Belper | 7 h 34 min |
| Chesterfield | S41 | Staveley | 7 h 31 min |
| Long Eaton | NG10 | Ilkeston | 7 h 35 min |
| Ilkeston | DE7 | Heanor | 7 h 34 min |
| Swadlincote | DE11 | Ashby-de-la-Zouch | 7 h 36 min |
| Staveley | S43 | Chesterfield | 7 h 31 min |
| Belper | DE56 | Ripley | 7 h 33 min |
| Heanor | DE75 | Ripley | 7 h 33 min |
| Alfreton | DE55 | Ripley | 7 h 33 min |
| Dronfield | S18 | Chesterfield | 7 h 30 min |
| Ripley | DE5 | Heanor | 7 h 33 min |
| Buxton | SK17 | Bakewell | 7 h 31 min |
| Glossop | SK13 | Hyde | 7 h 29 min |
| Ashbourne | DE6 | Belper | 7 h 33 min |
| Bakewell | DE45 | Matlock | 7 h 31 min |
| Matlock | DE4 | Bakewell | 7 h 32 min |
Replacing an oil or LPG boiler with a heat pump questions
Do I have to remove my oil tank?
Not always, but it should be emptied and made safe. A tank in good condition can be drained, cleaned and left in place, though most owners prefer to have it taken away to free up space. Old or damaged tanks are usually removed. Your quote says which option is included, and any remaining oil and sludge is disposed of properly.
Is a heat pump cheaper to run than oil?
It depends on oil prices, your home's insulation, the flow temperature and your electricity tariff, so there is no single answer. At the October to December 2026 price cap, a heat pump with a seasonal efficiency of 3.0 delivers heat for about 8.8p per kWh, and at 3.5 about 7.5p. Compare that with your oil cost per kWh of heat, allowing for your boiler's efficiency; the survey estimate gives a figure for your home.
How much is the grant for replacing an oil boiler with a heat pump?
In England and Wales, the Boiler Upgrade Scheme grant is £9,000 when an air-to-water heat pump replaces oil or LPG heating, for installations from 21 July 2026 to 31 March 2027. Otherwise the standard £7,500 applies. The installer claims it and deducts it from your quote. Scotland's Home Energy Scotland funding works differently and includes extra for eligible rural homes; Northern Ireland has no dedicated homeowner scheme at present.
What happens with a leased LPG tank?
Leased LPG tanks belong to the supplier, so the supplier arranges collection. Check your contract for notice periods and any charges before you fix a date. We time the switchover so you are not left without heating, and once the heat pump is commissioned the supplier can empty and remove the tank. Bottled LPG cylinders are simply returned.