Ground Source Heat Pumps: Why the “They’re Too Expensive” Myth Misses the Point

“Aren’t ground source heat pumps really expensive?”

It’s a question we still hear often: and one that continues to hold projects back.

Yes, there’s an upfront investment, as you’d of course expect. However, the long-term value of boreholes and ground loops looks very different once you zoom out. With stable running costs, minimal maintenance, and a system lifespan of 25–30 years (with underground infrastructure designed to last a century or more), GSHPs often exceed expectations - particularly at estate or district scale.

Where the Cost Myth Comes From

In our work with partners across housing, commercial, and mixed-use projects, we’ve found most “too expensive” assumptions stem from two issues:

• Rule-of-thumb feasibility. Early-stage estimates based on generic borehole depths or unsuitable ground conditions often overshoot real costs. When designs are tailored to the site, budgets tighten considerably.
  
  
• Short-term framing. Many comparisons stop at installation cost, ignoring 25–50 years of operation. When you consider efficiency, lifespan, and avoided boiler replacement cycles, the picture changes.
  
  

What the Data Shows

A well-designed GSHP delivers a seasonal coefficient of performance (sCOP) of around 4-6, which translates to roughly 400%-600% efficiency. By comparison, air source systems average 2-3 sCOP, and gas boilers about 0.85. Over decades, that difference compounds: lower energy use, less volatility in bills, and reduced carbon exposure as grid electricity decarbonises.

From a lifetime-carbon perspective, ground source systems also pay back their initial “carbon debt” in just over a year when compared to air source heat pumps - proof that higher embodied input doesn’t equal higher long-term cost.

Thinking in Assets, Not Appliances

The borehole array isn’t a consumable; it’s an energy asset. Like a building foundation or fibre network, it’s part of the permanent infrastructure of a site. The capital cost is upfront, but the value is enduring. In that sense, the real risk isn’t in the technology: it’s in choosing the right design and delivery partner. Expertise, not hardware, determines cost certainty.

Smarter Funding and Deployment

With government schemes such as the Boiler Upgrade Scheme, Industrial Energy Transformation Fund, and third-party infrastructure models (as seen in Kensa’s Heat the Streets), capital barriers are falling fast. 

The Bottom Line

When you plan for performance, ground source heat pays back in more ways than one: lower energy bills, higher comfort, and reliable, low-carbon infrastructure that lasts generations.

If you’re weighing up your options or want to sense-check a specification, we’re happy to help.
Let’s make the numbers work. 

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Talk to the Onsen team: gareth@onsenenergy.com 

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