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Commercial Air Source Heat Pump or Ground Source Heat Pump UK
Are Heat Pumps Suitable for Commercial Properties?
In general, the answer is yes, but there are a few exceptions.
Allow us to explain. Most modern or new build commercial buildings will likely have some kind of heat pump technology installed. This is particularly true in buildings designed for habitation or regular human activity. Older commercial buildings such as warehouses and workshops likely won't and the key difference between the two when it comes to suitability is insulation. We can’t stress enough how important good insulation is when it comes to heat pump systems. Without it, your system will need to overcompensate to maintain a steady temperature. Therefore, in a building with poor insulation like an older property, or a warehouse, fitting a heat pump system would be a bad idea.
As the only real downsides relate to lack of insulation and installation costs, they barely merit a list. To be fair though, ground source heat pumps can be more expensive and disruptive to install. In addition, heat pump systems require external machinery which needs space and occasionally permission to install. Space is a factor you need to consider, especially if you’re considering a ground source heat pump. If you don’t have outside space and need to drill boreholes, the price can be prohibitive.
Heat pumps essentially move heat from one area to another. The most popular type is the Air Source Heat Pump which uses a small amount of electrical energy to transfer the ambient heat in the air outside your property and move it inside through a chemical process, where, at a higher temperature it can then be used for wet underfloor heating, radiators or maintaining a supply of hot water. Other types of heat pumps use the ground or water as a source of abundant free heat, but the principle is largely the same.
Like with domestic properties, the UK government is keen to promote heat pump technology as a replacement for fossil fuel boilers in commercial settings. To this end, there are a raft of programs available to assist UK companies make the switch to heat pump systems. Check out our advice page for the latest news on available funding and incentives.
Types of Heat Pumps Available for UK Business
Ground Source Heat Pumps (GSHPs) for Commercial Properties
Ground Source Heat Pumps (GSHPs) take heat from the ground using coils filled with refrigerant. The coils compress and transfer by circulating it through the coils and around a central heat system. Here in the Uk, the temperature of the ground doesn't change much meaning ground-source heat pumps can operate at a high Coefficients of Performance (COP) of 3 to 4. This means they create three to four units of heat for every one unit of electricity. A great solution for commercial properties such as hotels or office blocks that have some surrounding land they can dig up.
Installation of GSHPs requires significant investment due to the need for expensive ground works, such as drilling boreholes or laying horizontal loops. GSHPs offer lower operating costs, reduced carbon emissions, and low maintenance requirements compared to oil, LPG or gas systems.
Air to Water Heat Pumps for Commercial Properties
Air to Water Heat Pumps (AWHPs) extract heat from the outside air and transfer it to water, which can be used for space heating through a central heating system or for hot water requirements. These systems are versatile and can be installed in a range of commercial properties from large to small.
Due to the varied climate we have in the UK, air to water heat pumps can't operate at the same high COP as a GSHP through the year. The colder it is outside, the lower the efficiency of the system. That said, air to water heat pumps can still effectively heat a property at temperatures as low as -10C to -15C. In colder outdoor temperatures, it will simply take more units of electricity to provide the same level of heating as it would on a warmer day.
Ait to water heat pumps are easy to install compared to GSHPs, they often go on roof tops or external walls and easily connect with your existing central heating system. Due to the lower initial investment, they can often provide a more attractive ROI than their ground source counterpart.
As mentioned, they are more efficient in milder climates but still offer a COP of 2.5 to 5, making them a sustainable and efficient option to traditional combustion boilers.
Air to Air Heat Pumps for Commercial Properties
Air to Air Heat Pumps (AAHPs) transfer heat from the outside air directly into the indoor air and often offer heating and cooling. They're perfect for new build properties where ductwork can be installed to help circulate the air, and often come with advanced thermostatic controls to help maintain a constant temperature year round.
Installation of AAHPs is simple enough, outdoor units connect to indoor air handling units via refrigerant lines. This often makes them cheaper to install than GSHP's or AWHP's, that said, your property may require multiple units and costs can escalate quickly. It's worth noting that air to air heat pumps are not applicable for the boiler upgrade scheme (BUS).
Air to air heat pumps typically achieve a COP level of 3 to 4, providing efficient heating and cooling. This dual functionality, eliminates the need for separate heating and cooling systems, often reducing initial costs and maintenance requirements.
Air to air heat pump systems are often the perfect solution for warehouses and factories.
Heat Pumps for Commercial and Industrial Premises in the UK
Many businesses trying to cut down on their carbon footprint and reduce energy bills are starting to look at heat pumps for a long-term cost-effective solution to heating a busy office. According to the Energy Savings Trust last year, something like a ground source heat pump could save and save/make a business without a gas supply some £3,000+ per annum on average. This figure can quickly rise depending on how much you're paying for heating.
The UK Government has pledged to significantly lower carbon emissions, so to assist the companies looking to switch to low-carbon heating systems the Boiler Upgrade Scheme (BUS) has been set up. The scheme is available to commercial and non-domestic properties and will pay up to £7,500 towards installation costs. Your installation company will subtract the grant from your bill and recoup the grant through Ofgem.
Eligibility for BUS:
- Your property must be a home or small non-domestic building in England or Wales. The maximum installation capacity of 45kWh covers the vast majority of these properties.
- As of the 8th May 2024, the Government removed the stipulations for insulation. You still need an EPC and we advise that any steps you can take to improve the energy efficiency of the property will help lower the running costs and improve the efficiency of a heat pump.
- Biomass boilers are only eligible in properties that are both in a rural location and not connected to the gas grid. Heat pumps do not have either of these restrictions.
- You must be fully replacing an existing fossil fuel system such as an oil or gas boiler, or an electric heating system such as storage or panel heaters. Funding will not be available for the replacement of existing low-carbon heat systems.
- You can still apply if you’ve received separate funding for energy efficiency upgrades such as insulation, doors, or windows.
- New-build properties are not eligible for the Boiler Upgrade Scheme, although self-build properties are eligible.
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The Benefits of Heat Pumps for Businesses. A Guide for 2024
For most commercial buildings, providing the property is energy efficient in terms of insulation, heat pumps are a great investment. Let’s look at the upsides.
- Despite the initial cost of installing a heat pump system there are significant savings that can be made on your fuel bills if you are currently using electricity, oil, solid fuel or liquid gas to heat your premises.
- Correctly installed by a qualified supplier, a heat pump should be very reliable and fairly low maintenance. It could last 25 years or more.
- Improved energy efficiency, which apart from the obvious, can enhance a property's value.
- Heat pumps improve air quality, have low noise, low running costs, and in some circumstances can be used as air conditioning, cooling down the workspace environment when needed, and providing a controlled climate.
- Lower emissions - improving your environmental impact and outgoing green image
- A good fit with other renewable energy sources like solar panels
- Easy to keep a comfortable steady temperature
- There may be available grants and subsidies
Large heat pumps are being used more and more for commercial and other non-domestic premises including schools, sports centres, shops, and offices. It is estimated that around 40% of CO2 emissions can come from commercial heating alone and finding new and innovative ways to heat premises is at the top of the list for many businesses.
A heat pump delivers around 3-4 kWh of heat for every 1 kWh of electricity used to power it, which means they are 300 to 400% more efficient than electric heating alone. Whilst the cost of installing something like an Air Source Heat Pump will vary depending on the size and complexity of the commercial premises, there is no doubt that significant savings can be made.
According to a Which? report installing a domestic Air Source Heat Pump can cost around £9-14,000 but save between £585 and £880 a year if being used to replace oil heating, possibly higher if it is replacing electric heating. The high initial costs involved can be prohibitive depending on the size of your property and your business's heating demands, and it will take a while to pay off the investment through the savings on your energy bills, but once the break-even point has been reached there is potential for significant ROI.
Commercial and Business Property Suitability in the UK
You will need to check that your commercial property is suitable for installing heat pumps. For instance, with Air Source Heat Pumps you will require a suitable exterior wall or flat roof space to fit the external unit. You may need to make changes to the central heating system, in the case of an air-to-water or ground-to-water system.
In the case of ground-source heat pumps, you will need either a large area for that can be dug up to lay the horizontal coils or access for a crane to dig bore-holes. Coils can be laid under car parks, in the case of a new-build commercial property.
Heat pumps are not combustion boilers, they are designed to create an ambient temperature on an ongoing basis. Due to this, they often require a larger surface area to radiate heat from. This may mean that radiators will need to switched out for doubles or slightly over-sized radiators, and if the pipework is under 15mm then you may even need a full new pipework system.
Due to air-to-water and ground source heat pumps being designed to operate at a lower temperature, to create an ambient heat on an ongoing basis, your property will likely need to be well insulated. A warehouse with large open doors will not be suitable. A high level of insulation will ensure the optimal efficiency of the heat pump can be met.
A well-designed commercial heat pump system is more than capable of providing all the heating needs for a business and, in the long term, should represent good value for money in savings from reduced energy bills as well as helping commercial premises bring down that all-important carbon footprint.
Table of Estimated Costs for Commercial Heat Pump Installation
The table below gives estimated installation costs only. The real costs of installation will depend on the complexity of the installation, location, labour costs and other factors. Use our database of installation companies in the UK to find the right tradepeople for the job.
| Property Size | Heat Pump Type | Estimated Cost (£) |
|---|---|---|
| Small property | Air source heat pump | £15,000 - £25,000 |
| Ground source heat pump | £25,000 - £40,000 | |
| Medium property | Air source heat pump | £35,000 - £50,000 |
| Ground source heat pump | £60,000 - £90,000 | |
| Large property | Air source heat pump | £70,000 - £110,000 |
| Ground source heat pump | £120,000 - £180,000 | |
| Very large property | Air source heat pump | £130,000 - £200,000 |
| Ground source heat pump | £240,000 - £360,000 |
Maintenance of a Commercial Heat Pump System
As with all complex mechanical devices, annual maintenance will ensure a good lifespan from your system. This will need to be carried out by a qualified professional, however there are some checks you can carry out yourself.
- Checking refrigerant levels: This should be fairly straight-forward. Ask your installer for directions and regularly ensure that the refrigerant levels are within the manufacturers guidelines.
- Filter replacement: Filters should be cleaned or replaced on a monthly basis to ensure an efficient air-flow.
- Thermostat checks: Make sure the thermostat is functioning as it should be testing a range of temperatures.
- Coil inspection: Evaporator and condensing coils should be checked and cleaned regularly. Dirty coils affect the systems efficiency.
- Electrical connections: Make sure connections are clean and tight, check for wear and tear.
- Mechanical parts: Check that fans and any moving parts are free from debris and working as intended.
Conclusion
Heat pumps represent a perfect solution for commercial properties, offering an array of benefits that extend far beyond traditional heating and cooling systems. These technologies excel in improving energy efficiency, reducing operational costs, and enhancing environmental sustainability and decarbonisation. The adoption of heat pumps in commercial settings aligns with the Government's drive to reduce the UK's carbon footprint whilst offering significant benefits for the property owner. Heat pumps offer a practical and scalable solution for commercial properties to reduce their carbon footprint and promote sustainability.
The ability to provide both heating and cooling services efficiently, with lower maintenance requirements, allows businesses to allocate resources more effectively and focus on their core operations.
Heat pumps are not merely a technological upgrade for commercial properties. Their adoption represents a smart investment in efficiency, cost savings, and environmental stewardship, positioning commercial properties as leaders in the transition to a cleaner and more sustainable energy landscape.
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