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What Is The Cost Of New Oil Boiler

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  • New Oil Boiler, Cost, Types
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  • 02-12-2021
What Is The Cost Of New Oil Boiler

What is the cost of new oil boiler? If you require a new oil boiler fitted in your home or business, you will need the help of an OFTEC registered heating engineer. Find out more about the estimated costs of this service. 

What Is The Cost Of a New Oil Boiler

Effective central heating and hot water are necessary for making our lives comfortable, although it isn't always clear which boiler is the right boiler to heat our homes. 

Gas is the most common, although it's not accessible in many rural areas of the UK that don't have access to mains gas, so oil is used as a replacement. 

Oil fuelled central heating boilers cost between £2500 and £4500, which includes the cost of installing the oil boiler. As you may expect, oil boiler costs depend on a range of factors, such as the quality, size, and manufacturer of the boiler.

Types of Oil Boilers

Oil fired boilers output heating and hot water to domestic and commercial properties by burning oil as fuel. Before the oil is burned, it is stored in an oil storage tank. 

Oil boilers are different to gas boilers, as they don't deliver heat through the mains whenever it's needed. Oil is a smart choice for properties that are not connected to a gas network, as large amounts of oil can be stored onsite.

What Is The Cost Of New Oil Boiler?
Types of Oil Boilers

Oil fired boilers come in three forms: system, regular, and combi systems. Each type of boiler comes with several benefits and downsides. 

The engineer installing your heating will likely already know which boiler type is best for you, so it is not required for you to thoroughly research them. However, it helps to be aware of the benefits and drawbacks of each boiler type.

Regular oil-fired boilers have been around much longer than alternatives such as combi or system boilers. Regular boilers receive their cold water supply from a storage tank (typically found in the loft), unlike system and combi boilers, which take water from the mains directly. 

The boiler heats the central heating system directly as it stores hot water in its cylinder. Engineers will advise you that a regular boiler is only suitable if the existing central heating system in your home contains a regular boiler already. With installation fees included, regular boilers cost between £2,500 - £3,800, similar to system boilers.

Regardless of the type of oil boiler installed at your home, an outdoor storage tank will need to be fitted.

Depending on the quality and size of the boiler, an internal combi boiler will cost £3,400 - £4,500, including installation costs. For a heat only internal boiler (with a retained cylinder), that will cost you £2,500 - £3,800. 

For external models, you can expect to pay £300 - £400 more and £500 more if the boiler will be moved to a new location from outside to inside or vice versa. Other factors will affect the cost of an oil boiler, such as the flue, standard control, power flush, condense pipes, labour, magnetic filters, VAT. 

The size of the boiler, as well as the manufacturer, also affects the price. Combi boilers start at £2,000 but can go up to £2,600 due to the previously mentioned factors. Heat only boilers can be found much cheaper, starting at £1,150 and going up to £2,800.


What is the cost of an oil boiler installation UK?

A replacement oil boiler will likely cost between £2,500 - £4,500, including installation costs. The installation cost can vary significantly from engineer to engineer, so it is advised you compare multiple quotes to find a reasonable price. 

Fortunately, most heating engineers will offer free boiler quotes and will answer any questions you might have, such as how much a new flue/tank/boiler costs.

It will cost, on average, £500-£2000 for the installation and labour of a new boiler. The total will be affected by several important factors. Each oil boiler installation is unique, and the complexity of the job will impact the final price. 

For example, the installation may require reallocation of a balanced flue, additional pipework, the removal or replacement of water tanks or hot water cylinders. Make sure to choose a reputable gas safe engineer as they will provide a quality service without overcharging you.

An alternative boiler type may be something to consider if your existing boiler is struggling to meet the central heating or hot water demands of your household. 

Upgrading your boiler to one of a different type is often a worthwhile endeavour, but that isn't without its added complexity. As expected, a complex installation will add to the final cost. 

Unlike a "like-for-like" boiler swap, converting boiler type will require the existing pipework to be changed, which can be a complex task depending on how accessible the pipes are and the size of your home. The process may also require the removal or installation of cylinders and tanks if the new boiler type needs it.

Simple like-for-like boiler replacements can be completed in a single day by an OFTEC technician. More complicated installations, such as installing a new combi boiler in place of an old regular boiler, could take up to 3 days.

Oil boiler replacement costs

Internal Scenarios - The average cost of replacing an internal combi boiler in place of a previous boiler is £3,850. If no adjusts are required to install the boiler in the same location, the process will take just a day. 

If you need the replacement combi boiler to be installed in a new internal location, that would increase the price to £4,350 and the installation time to 1.5 days.

External Scenarios - It will cost approximately £4,250 to replace your old external combi boiler in the same place, and the process will take about a day. 

If the installation involves installing the boiler in a different external location, it will take 1.5 days and increase the price to £4,750. 

If you're switching from an internal boiler to an external one, that would cost £4,550 as well as £350 for the new base, although the estimated installation time would still be 1.5 days.

Internal Scenarios - For a same-location internal heat only oil boiler installation, that would cost around £3,150, and would take an experienced engineer approximately 1 day. 

Installing the boiler in a different internal location to the old boiler would increase the installation time to 1.5 days and the average price to £3,650.

External Scenarios - A same-location external heat only boiler installation will cost approximately £3,350 and will take 1 day to install. Installing the boiler in a new location would cost £3,850 and would increase the installation time by half a day. 

Switching from an internal boiler installation to an external one would cost £4,000, including the cost of a new base. The estimated installation time would remain the same.

What is an oil boiler?

Oil boilers wok provide domestic hot water and central heating to a home by burning oil. Until the fuel is processed by the boiler, it is stored in an oil storage tank on the property. 

As for oil boiler running costs, the current oil prices as of 2021 are 40-60p per litre. By upgrading to a new oil boiler, you can save a lot of money on your energy and heating bills as the boiler will be much more energy-efficient.

An oil system boiler heats the central heating system directly and stores hot water in a cylinder. The boiler receives its water supply from the mains directly, which removes any need for a large water tank to be kept on the property.

Oil regular boilers are suitable if your current heating system includes a regular boiler already. The boiler does not take water directly from the mains. Instead, it uses a cold water storage tank, which is normally installed in the loft of the property.


Are you considering installing an oil-fired boiler in your home or business? We hope that this article has helped you understand the cost of new oil boiler.

If you require oil boiler installation, repair or servicing in the Cumbria area, contact your local oil boiler specialist.