How much money can a new boiler really save me?
05th July 2022
Cutting Costs: How Much Will a New Boiler Save Me?
With the unpredictable cost of energy, and ongoing general cost of living, it’s more important than it’s ever been to better manage your bills. With approximately 60% of yearly energy costs being spent on heating alone, more and more people are looking to save on energy bills, and boiler efficiency is now a top priority for those looking to cut down on their overheads.
Some customers are looking for energy savings by replacing their boiler. Despite fears this might be an expensive option reserved for when your boiler breaks down for good, this could actually end up being the cheapest long-term solution for many people wanting to reduce heating bills.
Boiler Energy Ratings
Boiler efficiency is generally determined by the age and type of your unit. Older boilers, through both design and continuous use, are less efficient than newly installed ones. When new, boiler efficiency is described as a percentage. Generally speaking, A-rated boilers are more than 90% efficient while G-rated boilers are about 65% efficient, highlighting the gulf in performance between an older boiler and a modern one. As of October 2010, newly installed home units have to be 88% efficient or more. Efficiency is also based on the type of model you have installed. For example, a non-condensing boiler wastes more energy and therefore costs more, while a condensing model (which condenses waste gases for later use) is more energy efficient, saving you more money over its lifetime.
Annual Energy Savings Breakdown
Energy saving costs are dependent on a number of factors, primarily the age and efficiency of your current boiler as well as the type of fuel that is used to heat your home. Additionally, energy prices vary throughout the country and this will have an effect on the overall savings that a new A-rated boiler provides. Below is a breakdown of the projected savings from Energy Saving Trust when comparing lower grade systems:
| Property Type | Grade G Boiler (under 70% efficient) | Grade F Boiler (70-74% efficient) | Grade E Boiler (74-78% efficient) | Grade D Boiler (78-82% efficient) |
|---|---|---|---|---|
| Detached Property | £540 | £380 | £300 | £245 |
| Semi-Detached Property | £355 | £250 | £225 | £200 |
| Detached Bungalow | £320 | £225 | £200 | £180 |
| Mid-Floor Apartment | £135 | £95 | £80 | £75 |
| Mid-Terrace House | £295 | £205 | £185 | £165 |
*Figures are based on fuel prices as of October 2023.
As you can see, new boiler savings can be substantial. However, this has to be offset against the cost of the replacement, which may vary depending on your options and current energy costs. Most standard replacements (excluding radiators) will cost in the region of £2,500 excluding radiators. Having said that, if you decide to spread the cost over, say, over 10 years, the monthly savings could be higher than the monthly instalment payments, and your boiler could essentially pay for itself.
New Energy Efficient Boiler Options
To improve boiler efficiency, it’s important to have the right model for your home – one that can cope with your needs and keep costs to a minimum:
- Combi(nation) boilers heat water on demand, making them incredibly cost-effective and energy efficient. However, as they don’t have a hot water storage cylinder, they are less effective for larger properties and families.
- Conventional boilers are perhaps the most common form of boiler in use today, which makes replacing them relatively hassle free. Due to their connection to a water tank, this is often the best choice for families who need lots of hot water at the same time.
- System boilers are somewhere between a combi boiler and a conventional boiler, offering efficiency and high water supply.
Whatever your choice, installing an A-rated boiler will go a long way in helping to save money on energy bills.
Other Energy Saving Tips
Completely replacing your old boiler to reduce heating bills is a big step. As previously mentioned, the upfront costs can be very off-putting, despite the potential rewards being very attractive. There are plenty of steps that can be taken to make your home more energy efficient, maximising heat usage from an older boiler and reducing waste:
- An easy method for avoiding unnecessary energy waste is manually timing your central heating. By ensuring that your boiler is off whilst you’re not in the house, you can save money and cut down on your energy output.
- Installing double glazing and wall insulation are famously easy ways of preventing energy waste, and are considerably cheaper than a new boiler.
- Even simple tricks like keeping your radiators uncovered can maximise their heat output, ensuring that you cut your carbon emissions and save on energy bills.
What Can You do to Start Saving?
If you’re interested to learn more and think you might be able to save money by replacing your ageing boiler with a new energy efficient model, Hometree can help. As an existing Hometree customer you’ll get 15% off the boiler ticket price, pay no upfront costs and benefit from all-inclusive boiler installation and our lifetime servicing and repair package.
Find out more about our boiler installations or request a callback for your free, no-obligation quote.
