Considering a new oil boiler?
If you’re one of the 865,940 households in England and Wales that use oil to power their central heating system, you know how crucial your boiler is.
When it comes to replacement time, the cost of oil boiler installation can leave you feeling cold.
Let’s fill you in…
Oil boiler installation is more than just taking out the old and bringing in the new. There’s planning, regulations, and a process that homeowners aren’t always prepared for. But not to worry, this article will take you through exactly what to expect so there are no nasty surprises.
Table of Contents
What you’ll find out:
- The lowdown on oil boiler installation costs
- Why oil boilers need special considerations
- The full installation timeline
- Essential requirements you can’t miss
Breaking Down Oil Boiler Installation Costs
Curious about oil boiler installation costs?
The numbers won’t win any awards, but they’re not as grim as they’re sometimes painted to be either.
Expect a standard Oil Boiler Replacement Cost to set you back anywhere between £2,500 and £7,000 – that includes the installation too. That’s a rather wide margin, right?
The boiler unit alone is £1,200 – £4,500 depending on type and size and installation will add on another £800 – £2,000 on top of that.
It’s not like gas boilers where it can often be done in a day. Oil boiler installation is trickier and more involved.
You need a registered OFTEC engineer and not just any heating engineer either. These specialists are well-versed in oil boiler regulations and they charge accordingly.
Installation cost can also vary significantly based on the type of oil boiler you’re getting. Like for like replacement? You’re at the lower end of the spectrum. Upgrading from conventional to combi oil boiler? You can expect to pay up.
Why Oil Boilers Need Special Consideration
Oil boilers are not just gas boilers with a different fuel supply.
They’re an entirely different ball game requiring special attention.
Firstly you need somewhere to keep your oil.
If you don’t already have a tank, you need to factor in another £800 – £1,200 installation cost for that. It has to be in the right position, meet environmental regulations and be accessible for deliveries.
Secondly, your installation must comply with building regulations. This is not optional folks – this is the law.
The boiler has to have a seasonal efficiency rating above 85% and the whole installation must be signed off by a certified engineer.
You can only use OFTEC registered engineers for installation. That’s the law.
Oil boilers need specialised knowledge about storage and burning of liquid fuel on your property, and the safety implications that come with that.
The Complete Installation Timeline
Wondering how long an oil boiler installation really takes?
It’s usually one to three days in total. But here’s what impacts the timeline:
Day One
Assessment and preparation. Your OFTEC engineer will come to inspect your existing system, check everything’s in order and get the ball rolling.
Day Two
Installation proper begins. That means your old boiler out and your new one installed.
All the connecting pipework, electricals and controls get set up at this stage.
Day Three
Testing and commissioning (if needed). The engineer will test everything’s working as it should be and hand you all the paperwork off.
If you’re in a remote rural location, add a bit more time. Getting equipment and engineers to out of the way properties takes longer.
Essential Requirements You Can’t Ignore
There are a few must-haves when it comes to oil boiler installation. If you overlook them, it will cause you problems later.
Power Supply
Your new oil boiler is going to need electricity for the controls, pumps and ignition system.
Oil Storage
A proper oil tank that meets current regulations with containment measures in place to prevent environmental damage.
Flue Requirements
The flue must be in the correct position and meet all safety requirements in terms of distance from windows, doors and property boundaries.
Access
The engineers need proper access to do the installation and come back to service it in the future. Tight spaces mean higher costs.
Oil boiler installation regulations are strict and that’s for a good reason.
So only a trained professional should do the work.
Understanding Your Oil Boiler Options
Not all oil boilers are the same, and choosing the right type matters.
It makes a huge difference to your installation costs.
Combi Oil Boilers
These provide heating and hot water on demand without the need for a separate hot water tank.
Cost £2,000 – £2,800 plus installation.
System Oil Boilers
Works with a hot water cylinder to store and supply hot water. Great for properties with more than one bathroom.
Heat Only Oil Boilers
The traditional type with a hot water cylinder and cold water tank. These are usually the cheapest option at £1,200 – £2,450.
Your hot water demand, available space and budget should all come into your decision.
The Hidden Costs Nobody Mentions
Every oil boiler installation has a few costs you might not see upfront.
System Cleaning
Your existing heating system may need a chemical flush to remove sludge and debris. That can be an additional £350 – £800 to the bill.
Radiator Upgrades
Older radiators may not be compatible with your efficient new boiler. Radiator upgrades cost £150 – £250 each.
Thermostat and Controls
You want your oil boiler to work well with a programmable thermostat. Allow another £200 – £500 for decent controls.
Oil prices fluctuate too. Latest data shows heating oil prices averaged at 79.8p per litre as of September 2023.
Oil prices have swung from 97.9p per litre to 59.1p per litre in just 12 months.
Making Sure Everything Goes Smoothly
Preparation and choosing the right installer are key to a smooth oil boiler installation process.
Get at least 3 quotes from OFTEC registered engineers.
Don’t just go with the cheapest – check their credentials, insurance and previous work.
Ask about warranty terms, what happens if issues arise, if disposal of old boiler is included, how long installation will take and how much disruption to expect.
A good OFTEC engineer will identify potential problems before they become costly issues. They will ensure the installation is done to all regulations and safety standards.
Getting the best value for money
Oil boiler installation costs are significant, but there are ways to get better value for money.
Timing is everything: Install your oil boiler during spring or autumn to avoid peak winter demand. Installations will be cheaper during these months as engineers are less busy.
Efficiency matters: Don’t just look at the cheapest boiler and installation. A more efficient unit will cost more upfront but save you money on your fuel bills. Modern condensing oil boilers can be over 90% efficient.
Don’t skimp on installation: The least expensive installer is often the one that costs the most in the long term. Pay for a good quality installation now rather than expensive repairs later.
20% of people who received support from the Boiler Upgrade Scheme are replacing oil boilers. Most are in rural areas where alternatives are limited.
You can still use the scheme with an oil boiler – it just needs to be a modern heat pump version.
The government provides grants and 86% loan to cover the cost of installation.
Staying Legal and Safe
Super important – oil boiler installation is regulated and there are good reasons for that.
Your installer must be OFTEC registered and provide you with a completion certificate.
This certifies the work was completed to the required standards and is compliant with safety and efficiency requirements. No certificate? Insurance and property sales may become a headache later.
The installation must also comply with Building Regulations.
The installer should sort this as part of the job, but make sure it’s included in their quote.
All Sorted Then
Oil boiler installation is more involved than gas, but it doesn’t have to be a stressful experience if you’re prepared.
Budget £2,500 – £7,000 for the whole job. Plan on 1-3 days of disruption and only use OFTEC registered engineers.
Get multiple quotes, ask the right questions and don’t cut corners on installation quality.
This isn’t just heating you back up. This is an investment in your property that will last 15 – 20 years with proper installation. Get it right and you’ll have efficient and reliable central heating.
Oil boiler installation costs might make you shudder but break it down into what you’re actually getting – professional installation, compliance with regulations, peace of mind and reliable heating – and it starts to add up.