Is electric heating expensive?

Electric heating costs around 27p per kWh, roughly four times the price of mains gas per unit, so it's usually more expensive for whole-home heating. However, direct electric heaters are 100% efficient at point of use and cheap to install, which can make them cost-effective in small, well-insulated homes, flats and for occasional or single-room heating.

Which electric heater is cheapest to run?

No electric heater is inherently 'cheaper' per unit — a 1kW heater of any type costs about 27p an hour. What matters is matching the heater to the job: storage heaters on Economy 7 use cheaper overnight electricity, oil-filled radiators and electric radiators hold heat well for steady warmth, and infrared can feel warm at lower power. Fan heaters are the most expensive for anything beyond a quick blast.

Are storage heaters worth it?

Storage heaters can be worthwhile if you're on an Economy 7 tariff and off the gas grid, because they charge on cheaper overnight electricity. Older models often run out of heat by evening, so modern high-retention storage heaters with good controls are a big improvement. They only pay off if you can shift most of your heating demand to the off-peak window.

Is infrared heating efficient?

Infrared heaters are 100% efficient at converting electricity to heat, like all direct electric heaters. Their advantage is that they warm people and objects directly rather than heating the air, so you can feel comfortable at a lower power setting in the right room. They're less effective in large or open spaces where warmth is lost once you move out of line of sight.

Does electric heating cost more than gas?

For whole-home heating on the mains gas network, yes — electricity costs around four times as much per unit as gas, so a gas boiler is usually cheaper to run. Electric heating makes more sense for homes without a gas connection, small or highly insulated properties, and occasional secondary heating. Heat pumps are the exception: their high efficiency can make electric heating competitive or cheaper.

Should I use Economy 7 for electric heating?

Economy 7 gives a cheaper overnight electricity rate and a higher daytime rate. It's ideal if you have storage heaters or an electric hot-water tank that can charge overnight. If most of your electricity use happens during the day, the higher day rate can leave you worse off, so check your usage pattern before switching. See our Economy 7 calculator to compare.

Can smart thermostats reduce electric heating costs?

Yes. Smart thermostats avoid heating an empty home, learn your routine and let you control heating remotely, typically saving £70–£150 a year. With electric heating you can also zone control, warming only occupied rooms, which multiplies the savings compared with heating the whole property.

Are electric radiators efficient?

Electric radiators are 100% efficient at point of use — every unit of electricity becomes heat. The 'efficiency' question is really about running cost, and because electricity is dearer than gas per unit, running an electric radiator system costs more than a mains gas boiler. Good controls, timers and insulation keep those costs as low as possible.

Is underfloor electric heating expensive to run?

Electric underfloor heating costs the same ~27p per kWh as any electric heater, so in a small, well-insulated room like a bathroom it's affordable and comfortable. Used as a whole-home heating solution it becomes expensive, and a wet system driven by a heat pump is usually cheaper to run over large areas.

Can insulation reduce electric heating bills?

Significantly. Because you pay a premium for every unit of electricity, cutting heat loss has an outsized impact on electric heating bills. Loft insulation, cavity wall insulation, draught-proofing and thermal curtains all mean your heaters run for less time — often saving £150–£350 a year combined.

How much does it cost to run a 2kW electric heater?

At around 27p per kWh, a 2kW heater costs about 54p an hour, £2.70 for five hours, and roughly £4.32 for an eight-hour day. Over a winter of daily use that adds up to around £500. Turning it down, heating only occupied rooms and using a timer all bring that figure down.

How much does electric heating cost per month?

It depends entirely on the heaters and how long they run. As a rough guide at 27p per kWh, a single 1kW heater run eight hours a day costs about £65 a month, while a 3kW heater on the same schedule costs nearly £200. Use our Appliance Running Cost Calculator to work out your own heaters.

Is electric heating cheaper at night?

Only if you're on a time-of-use tariff such as Economy 7, which offers a cheaper overnight rate. On a standard single-rate tariff, electricity costs the same whatever the time of day, so running heaters at night saves nothing.

What is the cheapest way to heat a room with electricity?

Match the heater to the room and heat only when you're in it. An oil-filled radiator or electric radiator with a good thermostat gives steady warmth without over-running, and a timer or smart plug stops it heating an empty room. In small spaces, infrared can feel warm at lower power. Insulation and draught-proofing cut the total needed.

Are oil-filled radiators cheap to run?

They cost the same per unit as other electric heaters, but they retain heat well after the element cycles off, so a good thermostat keeps them from running constantly. That makes them economical for steady background warmth in one room, though they're slow to heat from cold.

Do fan heaters use a lot of electricity?

Fan heaters are usually 2–3kW, so they draw a lot of power and cost 54–81p an hour to run. They're fine for a quick blast of heat but very expensive if left on, making them the least economical choice for sustained heating.

Is an electric boiler cheaper than a gas boiler?

No — an electric boiler costs more to run because electricity is around four times the price of gas per unit. Electric boilers suit homes without a gas connection that want a familiar radiator system, but for lower long-term running costs a heat pump is usually the better electric option.

How can I estimate my own electric heating costs?

Multiply the heater's power in kW by the hours you run it and by your electricity unit rate (around 27p per kWh). For example, 1.5kW × 5 hours × £0.27 = £2.03. Our Appliance Running Cost Calculator does this automatically, and the Energy Bill Calculator estimates your whole-home costs.

Does turning heaters off when not in use save money?

Yes — with direct electric heating you save the moment you switch off, because there's no stored fuel being burned. Heating only occupied rooms, only when you're in them, is one of the biggest savings you can make with electric heating.

Is electric heating better for the environment than gas?

Increasingly, yes. Electric heating produces no emissions at the point of use, and the carbon intensity of UK electricity falls every year as more renewables come online. Gas boilers burn fossil fuel on site. A heat pump is the greenest and most efficient electric option.

Are modern storage heaters better than old ones?

Much better. Modern high-heat-retention storage heaters have better insulation, fans and programmable controls, so they hold heat until the evening instead of dumping it by mid-afternoon. If you rely on old storage heaters, upgrading can improve both comfort and running cost.

Should I get a heat pump instead of electric heaters?

If you heat a whole home and want the lowest electric running cost, a heat pump is usually the better long-term choice because it delivers around three units of heat per unit of electricity. Direct electric heaters are cheaper to install but cost more to run. Compare the two with our Heat Pump Running Cost Calculator.

How much electricity does electric heating use?

It varies with the heaters and hours of use. As a benchmark, a 1kW heater uses 1 kWh of electricity per hour. Heating a small flat with electric radiators might use a few thousand kWh a year, while relying on high-power heaters in a poorly insulated home can use far more.

Can I reduce electric heating bills without spending money?

Yes. Free changes make a real difference: turn the thermostat down 1°C, heat only occupied rooms, use timers, close curtains at dusk, and switch heaters off when you leave a room. Combined, these habits can trim a noticeable slice off your electricity bill at no cost.

Is electric heating a good choice for a flat?

Often, yes. Many flats have no gas supply, are compact and reasonably well insulated by surrounding homes, so total heat demand is low. Electric radiators or panel heaters are cheap to install and let you heat room by room, which suits flat living well.

Does the electricity price cap affect electric heating costs?

Yes. The Ofgem price cap sets the maximum unit rate and standing charge most households pay on a standard tariff, which directly determines what each hour of electric heating costs. When the cap rises or falls, so do your electric heating bills — check our price forecast and supplier comparison to keep costs down.

Back to HomeHome Heating Hub

Electric Heating Costs

Electric heating warms millions of UK homes — particularly flats, newer properties without a gas connection and some rural areas. What it costs to run depends on the heating system, your electricity tariff, insulation and how you use it. Understanding these costs helps you choose the most efficient heating solution for your home.

Estimate My Electricity Costs Calculate Appliance Running Costs

19 min read Last updated 1 July 2026

Electric heating is used in millions of UK homes — especially flats, newer builds without a gas connection, and rural or off-grid properties. Every direct electric heater is essentially 100% efficient at the point of use, but because electricity costs roughly four times as much as gas per unit, the running cost depends heavily on the heater, your tariff, your insulation and your habits.

This guide breaks down the main types of electric heating, shows what each power rating costs to run, compares electric against gas, and gives you a practical set of actions to bring your bills down. When you're ready to put numbers to your own home, use our Energy Bill Calculator or the Appliance Running Cost Calculator. It's also worth comparing against a gas boiler and a heat pump.

Types of Electric Heating

There's no single "electric heating" — the type you choose has a big effect on comfort, control and cost. Here's how the main options work and who each suits best.

Electric panel heaters

Slim wall-mounted or freestanding heaters that warm the air using an internal element. Many include a basic thermostat and timer.

Running cost: ~27p per kWh — a 1kW panel costs about 27p an hour to run.
Best for: Occasional heating in bedrooms, offices and spare rooms.

Pros

Cheap to buy and simple to install
100% efficient at point of use
Fast to heat a small space

Cons

•Expensive to run for long periods
•Heat is lost quickly once switched off
•Poor for whole-home heating

Storage heaters

Charge up on cheap overnight electricity (usually an Economy 7 tariff), storing heat in ceramic bricks and releasing it slowly through the day.

Running cost: Cheaper per unit on Economy 7 overnight rates (~15–20p) but higher day rates for top-ups.
Best for: Homes off the gas grid with an Economy 7 or Economy 10 tariff.

Pros

Uses cheaper off-peak electricity
No boiler or flue required
Modern models have better controls

Cons

•Older models waste heat by early evening
•Slow to respond to changing needs
•Only worthwhile on a time-of-use tariff

Oil-filled radiators

Portable heaters with a sealed reservoir of thermal oil warmed by an element. The oil retains heat and keeps radiating after the element cycles off.

Running cost: ~27p per kWh — a 1.5kW model costs about 40p an hour on full.
Best for: Steady background warmth in a single occupied room.

Pros

Retains heat well after switching off
Quiet and safe with no exposed element
Good thermostatic control

Cons

•Slow to warm up from cold
•Heavy and bulky to move
•Still costly for continuous use

Electric radiators

Fixed, wall-mounted radiators with precise digital thermostats and programmable timers, designed as a permanent heating solution.

Running cost: ~27p per kWh, but smart controls cut waste versus basic heaters.
Best for: Whole-room or whole-home heating in properties without gas.

Pros

Accurate room-by-room control
Programmable timers reduce waste
No maintenance or servicing

Cons

•Higher running cost than mains gas
•Installation cost for a full system
•Electricity is dearer per unit than gas

Infrared heaters

Heat objects and people directly with infrared rays rather than warming the air, similar to how the sun feels warm.

Running cost: ~27p per kWh, but can feel warm at lower power in the right room.
Best for: Rooms where you want directional, targeted warmth quickly.

Pros

Instant directional warmth
No heat lost warming empty air
Slim panels can double as mirrors or art

Cons

•Only warms what's in line of sight
•Less effective in large or open spaces
•Comfort drops when you move away

Fan heaters

Blow air across a hot element for near-instant heat. Cheap, portable and quick, but the least efficient for sustained use.

Running cost: ~27p per kWh — a 2kW fan heater costs about 54p an hour.
Best for: Very short bursts of heat to take the chill off a room.

Pros

Cheapest heater to buy
Heats a space almost instantly
Light and easy to move

Cons

•Very expensive if left running
•Can be noisy
•Heat vanishes the moment it's off

Underfloor electric heating

Heating cables or mats laid under the floor warm the room evenly from below. Usually controlled by a programmable floor thermostat.

Running cost: ~27p per kWh; efficient in small, well-insulated rooms.
Best for: Bathrooms, kitchens and extensions in insulated homes.

Pros

Even, comfortable warmth underfoot
Frees up wall space
Good with programmable controls

Cons

•Disruptive and costly to install
•Slow to heat and cool
•Expensive to run as a whole-home solution

Electric boilers

Heat water for radiators and taps using electricity instead of gas, working with a conventional wet central-heating system.

Running cost: ~27p per kWh — higher running cost than a gas boiler per unit.
Best for: Homes off the gas grid that want a familiar radiator system.

Pros

Works with existing radiators
No flue, gas supply or annual gas safety check
Compact and quiet

Cons

•Costly to run at electricity unit rates
•Limited output for larger homes
•A heat pump is usually cheaper long term

How Much Does Electric Heating Cost?

The table below shows estimated running costs by heater power at an illustrative UK electricity rate of 27p per kWh. Costs vary by tariff — an Economy 7 overnight rate can be lower, while daytime peak rates can be higher.

Estimated electric heater running costs by power rating and duration at 27p per kWh
Heater power	1 hour	5 hours	8 hours (day)	Monthly	Winter
500W heater	14p	68p	£1.08	£32	£130
1kW heater	27p	£1.35	£2.16	£65	£259
1.5kW heater	41p	£2.03	£3.24	£97	£389
2kW heater	54p	£2.70	£4.32	£130	£518
3kW heater	81p	£4.05	£6.48	£194	£778

Note: "Monthly" assumes 8 hours a day for 30 days; "Winter" assumes 8 hours a day across roughly a four-month heating season. Actual costs vary with your usage, insulation, tariff and region. Use the Appliance Running Cost Calculator for your own heaters.

Calculate my heater costs

Electric Heating vs Gas Heating

On the mains gas network, a gas boiler is usually the cheapest way to heat a whole home because gas costs roughly a quarter of the price of electricity per unit. But electric heating wins on installation, maintenance and suitability for gas-free homes. Here's how they compare:

Comparison of electric heating versus gas boiler heating across key factors
Factor	Electric heating	Gas boiler
Running cost per unit	~27p per kWh — roughly four times the price of gas.	~6–7p per kWh — much cheaper fuel per unit.
Whole-home heating cost	Usually higher unless on Economy 7 or using a heat pump.	Typically the cheapest way to heat a whole home on the gas grid.
Installation cost	Individual heaters are cheap to fit; no flue or gas pipework.	New combi boiler typically £1,800–£3,500 fitted.
Maintenance	Little to no servicing; no annual gas safety check.	Annual Gas Safe service recommended (~£70–£120).
Efficiency	Direct electric is ~100% efficient at point of use.	Modern condensing boilers reach ~90%+; older units far less.
Carbon emissions	Low and falling as the grid decarbonises; near-zero on renewables.	Burns fossil gas on site, producing CO₂.
Property suitability	Flats, off-grid and rural homes, secondary or occasional heating.	Homes on the mains gas network wanting the lowest running cost.
Long-term ownership cost	Low upfront, higher running cost — unless paired with a heat pump.	Higher upfront and servicing, but lower fuel cost today.

See the full picture in our Boiler Running Costs guide, or compare a low-carbon option with the Heat Pump Running Cost Calculator.

Storage Heaters Explained

Economy 7 tariffs. Storage heaters are built around time-of-use tariffs like Economy 7, which give a cheaper electricity rate for around seven hours overnight and a higher rate during the day.

Overnight charging. The heater draws its electricity during the cheap overnight window, when demand — and price — is lowest.

Heat storage. That energy is stored in dense ceramic bricks inside the heater, then released slowly through the following day to warm the room.

Modern storage heaters. High-heat-retention models have better insulation, fans and programmable controls, so they hold heat until the evening instead of running out by mid-afternoon like older units.

Common misconceptions. Storage heaters aren't "free" to run and only save money if you shift most of your usage to off-peak hours. On a standard single-rate tariff they offer no advantage. Check the maths with our Economy 7 Calculator.

Compare Economy 7 vs standard tariff

What Affects Running Costs?

No two homes cost the same to heat electrically. These are the factors that make the biggest difference to what you pay:

Electricity unit price

High impact

Every hour of heating is billed at your electricity unit rate (around 27p per kWh on a standard tariff). This is the single biggest driver of what electric heating costs you.

Heater power rating

High impact

A heater's wattage sets how much electricity it draws. A 3kW heater costs six times as much per hour as a 500W one, so matching the heater to the room matters.

Home insulation

High impact

Poorly insulated rooms lose heat fast, so heaters run longer and cycle more often. Loft, wall and floor insulation dramatically cut how much electric heating you need.

Thermostat settings

Medium impact

Every degree adds cost. Turning the thermostat down by 1°C and aiming for 18–20°C in living areas noticeably reduces how often heaters draw power.

Room size

Medium impact

Larger rooms and open-plan spaces need more heat to stay warm, so they cost more to heat than compact, closed rooms.

Heating schedule

High impact

Heating only occupied rooms, only when you're in them, cuts run time sharply. Timers and smart controls stop you paying to heat empty space.

Outside temperature

Medium impact

The colder it is, the harder heaters work to hold your target temperature — which is why electric heating bills spike in December to February.

Smart controls

Medium impact

Smart thermostats, timers and zoning avoid heating empty rooms and learn your routine, trimming waste without sacrificing comfort.

Score my home's efficiency

How to Reduce Electric Heating Costs

You don't have to be cold to cut your electricity bill. These practical actions range from free habits to bigger investments that pay back over time.

Improve your insulation

Moderate

Loft, cavity wall and floor insulation slow the rate rooms lose heat, so electric heaters cycle off sooner. It's the highest-impact change for most electrically heated homes.

Est. savings: £150–£350 / year
Cost: Medium–High
Best for: Poorly insulated homes

Lower your thermostat by 1°C

Easy

Dropping the target temperature by a single degree reduces how often heaters draw power. Aim for 18–20°C in living areas and layer up rather than turning it higher.

Est. savings: £80–£150 / year
Cost: Free
Best for: Any home

Heat occupied rooms only

Easy

With electric heating you can heat room by room. Warm the rooms you're actually using and keep spare rooms low, which is far cheaper than heating the whole home.

Est. savings: £60–£140 / year
Cost: Free
Best for: Larger or multi-room homes

Fit a smart thermostat

Moderate

Smart thermostats learn your routine, avoid heating an empty home and let you control heating from your phone, cutting waste without you thinking about it.

Est. savings: £70–£150 / year
Cost: Medium
Best for: Irregular schedules

Use programmable timers

Easy

Set heaters to come on shortly before you wake and get home, and off when you're out or asleep. Timers prevent hours of wasted, unnoticed heating.

Est. savings: £50–£120 / year
Cost: Low
Best for: Out during the day

Switch to an Economy 7 tariff

Moderate

Economy 7 gives a cheaper overnight rate ideal for charging storage heaters or an electric water tank. It only pays off if you shift a good share of usage to off-peak hours.

Est. savings: Varies by usage
Cost: Free
Best for: Homes with storage heaters

Hang heavy or thermal curtains

Easy

Thick lined curtains cut heat lost through windows at night. Close them at dusk to keep the warmth your heaters have already produced inside the room.

Est. savings: £20–£50 / year
Cost: Low
Best for: Rooms with large windows

Draught-proof doors and windows

Easy

Cheap strips and brushes around doors, windows and letterboxes stop cold air getting in and warm air escaping, so rooms hold heat far longer.

Est. savings: £40–£80 / year
Cost: Low
Best for: Older, draughty homes

Add smart plugs to portable heaters

Easy

A smart plug lets you schedule a portable heater and switch it off remotely, so it never runs longer than you meant it to.

Est. savings: £30–£70 / year
Cost: Low
Best for: Plug-in panel and fan heaters

Zone your heating

Moderate

Splitting the home into heating zones means you never heat the whole property when only part of it is occupied — a natural strength of room-by-room electric heating.

Est. savings: £60–£130 / year
Cost: Medium
Best for: Whole-home electric systems

Want more room-by-room ideas? See our full Energy Saving Tips and the best energy-saving devices.

See all energy saving tips

Is Electric Heating Right for Your Home?

Electric heating makes most sense in homes without mains gas, small or highly insulated properties, and where heating is occasional. For larger homes on the gas grid, a gas boiler or a heat pump is usually cheaper to run.

Flats

Often suits

Many flats have no gas connection and small, well-insulated spaces where electric radiators or panel heaters are practical and cheap to install.

Rural homes

Can suit

Off the gas grid, the choice is usually between electric heating, oil, LPG or a heat pump. Electric suits smaller or well-insulated rural homes; a heat pump often wins for larger ones.

Off-grid properties

Can suit

Without mains gas, electric heating avoids fuel deliveries and flues. Pair it with good insulation and consider a heat pump for lower long-term running costs.

Holiday homes

Often suits

Occasional use makes cheap-to-install electric heaters attractive — you only pay to run them when the property is occupied, with nothing wasted in between.

Small properties

Often suits

In compact, well-insulated homes the total heat demand is low, so the higher unit cost of electricity matters less and electric heating can be genuinely economical.

Highly insulated new-builds

Often suits

Modern airtight new-builds lose very little heat, so a small amount of electric heating — or a heat pump — keeps them warm cheaply.

Electric Heating Cost Calculator

To work out what electric heating costs you, cost individual heaters with the Appliance Running Cost Calculator, then estimate your whole-home spend with the Energy Bill Calculator. If you're on or considering Economy 7, the Economy 7 Calculator shows whether off-peak charging pays off.

A dedicated Electric Heating Cost Calculator is on the way — for now these tools give you an accurate picture of your heating spend and where to trim it.

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Useful external sources

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GOV.UK — Boiler Upgrade Scheme — Grants towards low-carbon heating such as heat pumps in England and Wales.

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Electric Heating Costs

Types of Electric Heating

Electric panel heaters

Storage heaters

Oil-filled radiators

Electric radiators

Infrared heaters

Fan heaters

Underfloor electric heating

Electric boilers

How Much Does Electric Heating Cost?

Electric Heating vs Gas Heating

Storage Heaters Explained

What Affects Running Costs?

Electricity unit price

Heater power rating

Home insulation

Thermostat settings

Room size

Heating schedule

Outside temperature

Smart controls

How to Reduce Electric Heating Costs

Improve your insulation

Lower your thermostat by 1°C

Heat occupied rooms only

Fit a smart thermostat

Use programmable timers

Switch to an Economy 7 tariff

Hang heavy or thermal curtains

Draught-proof doors and windows

Add smart plugs to portable heaters

Zone your heating

Is Electric Heating Right for Your Home?

Flats

Rural homes

Off-grid properties

Holiday homes

Small properties

Highly insulated new-builds

Electric Heating Cost Calculator

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Energy Bill Calculator

Appliance Running Cost Calculator

Economy 7 Calculator

Home Energy Efficiency Score

Standing Charge Calculator

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Economy 7 Explained

Useful external sources

Explore the Knowledge Centre

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Frequently Asked Questions

Is electric heating expensive?

Which electric heater is cheapest to run?

Are storage heaters worth it?

Is infrared heating efficient?

Does electric heating cost more than gas?

Should I use Economy 7 for electric heating?

Can smart thermostats reduce electric heating costs?

Are electric radiators efficient?

Is underfloor electric heating expensive to run?

Can insulation reduce electric heating bills?

How much does it cost to run a 2kW electric heater?

How much does electric heating cost per month?

Is electric heating cheaper at night?

What is the cheapest way to heat a room with electricity?

Are oil-filled radiators cheap to run?

Do fan heaters use a lot of electricity?

Is an electric boiler cheaper than a gas boiler?

How can I estimate my own electric heating costs?

Does turning heaters off when not in use save money?

Is electric heating better for the environment than gas?

Are modern storage heaters better than old ones?