Electric vs gas heating — what's cheapest?
We get asked this every week, especially by landlords with no gas at the property. Here's the honest comparison using current Ofgem cap pricing — not what a salesman tells you.
Per-kWh pricing (Ofgem cap, summer 2026 reference)
- Gas: roughly 6–7p per kWh
- Electricity (standard tariff): roughly 24–27p per kWh
- Electricity (Economy 7 off-peak): roughly 12–14p per kWh
At face value, gas wins by a country mile per unit of heat.
But efficiency matters
A modern gas combi runs at ~90% efficiency. A direct electric radiator runs at 100%. An air-source heat pump delivers 3–4 units of heat per 1 unit of electricity (COP 3–4).
Cost to heat the same kWh of warmth
- Gas combi: ~7p ÷ 0.9 = ~7.8p
- Direct electric: ~26p ÷ 1.0 = ~26p
- Heat pump: ~26p ÷ 3.5 = ~7.4p
- Heat pump on Octopus Cosy/heat-pump tariff: closer to ~4p
What this means for Blackpool homeowners
If you're on mains gas with a working combi — keep it. Replacing a 6-year-old boiler with electric anything will cost you money. If you're off-gas (or in a flat with no flue route), a properly sized heat pump beats panel heaters by a mile.
Where we come in
Heat pumps need a 100A supply and a dedicated circuit — sometimes a consumer unit upgrade. We're happy to survey the electrical side before you commit. Storage heaters and Economy 7 metering changes are also routine work for us.