In Babergh, Tendring, Colchester the average household spends £935 a year on heating — 3% lower than the UK average of £960. Typical homes are 93.0 m² with 5.1 rooms. The local population is around 35,022 residents (Census 2021). Switching to an air-source heat pump could save up to £374 a year for an average home after the £7,500 Boiler Upgrade Scheme grant.


Areas covered

Brightlingsea, Wivenhoe, Great Bentley, Alresford

See more in the CO area hub.

Typical air-source heat-pump installation costs range from about £6,000 at the low end to roughly £18,000 at the high end. Most homes fall somewhere between £7,000 and £15,000. These prices are before the £7,500 BUS grant (in addition, qualifying rural and island homes in Scotland may receive a further £1,500 uplift under the Home Energy Scotland scheme, for up to £9 000 of grant funding).

Installation costs in Babergh, Tendring, Colchester are slightly above the UK average.

CategoryNational cost range Adjusted for CO7 (×1.05) Net after £7,500 BUS grant
Small flats / simple installs £ 6,000 – £ 7,000 £ 6,300 – £ 7,350 from ~£ 1,000*
2–3-bed semis / moderate upgrades £ 8,000 – £ 12,000 £ 8,400 – £ 12,600 from ~£ 1,000*
Large detached / extensive work £ 13,000 – £ 18,000 £ 13,650 – £ 18,900 £ 6,150 – £ 11,400

* Minimum net costs rarely fall below £1,000 after grant, since most installs incur at least minor extra work.

Lower end
  • Minimal groundwork or plumbing modification required
  • Well-insulated homes that only need a compact ASHP unit
Mid end
  • Moderate radiator or underfloor-heating upgrades
  • Typical pump size (8–12 kW)
Upper end
  • Large detached houses or older properties needing major pipework
  • Extensive insulation or radiator replacement
  • Multi-zone controls and bespoke system design

Heat pump FAQs

How much does a heat pump cost here?

About £3,700 for a typical 3-bedroom home after the £7,500 grant.

How much can I save on heating bills?

Roughly £374 per year for the average home at current price-cap rates.

  • £935 Average Heating Cost UK avg £960
  • 93.0 m² Median Floor Area UK avg 84.7 m²
  • 5.1 Average Rooms UK avg 4.4

Local energy snapshot

Latest tariff window: 2025Q4

Ofgem region & price cap

Eastern · 26.53p/kWh · 48.25p/day

PV potential (south-facing)

1,094 kWh per kWp/year

Dwelling mix

House 67.9% Flat 8.8% Bungalow 22% Detached 46.4% Semi-detached 34.7% Terraced 17.5%

EPC certificates

9,258 on record

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Also in Your Area: Solar Panel Potential

Heat pumps increase electricity usage. Solar panels can offset your higher bills.

Without heat pump:

Solar saves ~£1,091/year
Payback: 11.2 years

With heat pump:

Solar saves ~£1,308/year
Payback: 9.3 years

  • Typical system 6 kW
  • Installation cost ~£12,200
  • Annual generation 6,566 kWh

See detailed solar data for CO7 →

Data from our sister site, Solar By Postcode UK

Compare nearby areas: CO4 (Tendring, Colchester) · CO5 (Braintree, Maldon, Colchester) · CO6 (Babergh, Braintree, Colchester) · CO8 (Babergh, Braintree, Colchester) · CO9 (Braintree) · CO10 (Babergh, Braintree, West Suffolk)

Heat Pump Installation & Ownership Guide

Timeline, planning rules, maintenance and what to expect
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Official Heat Pump Resources & Data Sources

BUS, Ofgem, planning rules, MCS and the data behind the numbers
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