Biomass Boiler Cost & Installation Guide 2025

Relying on fossil fuels for heating and hot water feels outdated in 2025—rising energy bills, climate damage, and supply risks are real concerns. The push for greener alternatives is stronger than ever. But what’s the fix?

Biomass boilers could be your answer, especially if you’re off the gas grid or want to cut your carbon footprint. Let’s break down what they are, how much they cost, and whether they’re worth it.

Right now, the popularity of renewable heat boilers is still relatively low, and their upfront cost is much higher than the best combi boiler.

But there are other savings to be made and grants to be had that could mean that a biomass boiler works out to be much cheaper than you might think.

What are biomass boilers?

Biomass boilers work like traditional gas boilers and other types of boilers, heating your home and water—but without fossil fuels. Instead, they burn sustainable wood-based fuels (pellets, chips, or logs) in a combustion process that’s considered carbon-neutral.

Why? The CO2 released when burning was absorbed by the trees as they grew. It’s a solid step toward reducing your environmental impact in a world racing to tackle climate change.

Biomass boiler costs in the UK

Yes, biomass boilers cost more upfront than a typical combi boiler. A basic standalone unit for a small home runs £4,000–£6,000, while an advanced, auto-fed pellet boiler can hit £11,500. Installation adds extra expense, and you’ll need space for fuel storage. Compare that to gas boilers—but factor in rising gas prices and potential grants that could slash the real cost.

• Funding Options: Look into schemes like the Renewable Heat Incentive (RHI) or VAT reductions (e.g., 5% for over-60s or benefit recipients) to offset costs.
• Biomass Boiler vs. Wood Burner: A wood burner (cheaper) only heats a room. A boiler powers your whole heating system and hot water.

As we’ve already mentioned, the cost of a new biomass boiler is higher than a comparable boiler quote such as a combi or system boiler for a home. But, if you are interested in a correct price or the cost is too much, check out our range of gas boilers for more info too.

What Drives Biomass Boiler Costs?

Your home’s size, heating needs, and setup choices shape the price. Here’s what to consider:

• Home Size: Bigger homes need bigger boilers for consistent heat.
• Manual vs. Auto-Feed: Manual-feed boilers are cheaper but require you to load fuel. Auto-feed pellet boilers use a vacuum system for hands-off operation—at a higher cost.
• Fuel Storage: Pellets or chips need dry, spacious storage. Bulk buying saves money but demands more room.
• Central Heating Connection: Biomass boilers are bulkier than gas units, often needing an outbuilding, which bumps up installation costs.

Running Costs: Biomass Fuel Prices

Beyond the boiler, fuel and storage matter. Biomass fuel comes in three forms—pellets, chips, or logs—each with different costs and energy outputs:

• Wood Pellets: £150–£250/tonne. Delivers ~5,000 kWh/tonne. Most common, clean, and consistent. A small home uses ~10 tonnes/year.
• Wood Chips: £60/tonne. Yields ~3,500 kWh/tonne. Cheaper but less energy-dense.
• Wood Logs: £125/tonne. Produces ~2,000–3,000 kWh/tonne. Needs seasoning (1–2 years) and dry storage (<20% moisture).

Bulk buying cuts costs, but you’ll need a shed or garage to keep fuel dry and ready.

How efficient are biomass boilers?

You can expect your biomass boiler to have a similar level of efficiency to modern condensing gas and oil boilers.

That then gives them efficiencies of over 90%. However, because they don’t burn fossil fuel, your carbon footprint is going to be much smaller

If we look at some of the top-selling biomass boilers, their efficiency levels are:

• Viessmann Vitoligno 300-C: Up to 95%
• Froling T4: Up to 95%
• Windhager LogWIN Premium: Up to 92%
• Grant Spira: Up to 97%

Then there’s also the added bonus, that the ash left behind by the biomass fuel can be used as a fertiliser for you the garden. That then means that you’re achieving much closer to 100% efficiency just by using the fuel in different ways.

Savings with Biomass Boilers

Insulation Tip: A well-insulated home maximizes savings—prioritise this first.

Carbon Savings: Swap fossil fuels for biomass and cut CO2 by up to 15.4 tonnes/year.

Money Savings: Depends on your current fuel:

• Gas: £10–£70/year
• Electricity: £490–£880/year
• Oil: £130–£140/year
• LPG: £970–£1,390/year
• Coal: £300–£460/year

Biomass boiler maintenance

How much maintenance is needed will depend on the complexity of the biomass boiler. If you’ve gone for one of the biomass boilers with high levels of automation, then there may be relatively little to do.

At the other end of the market, with a more manual biomass boiler installation, then you may need to allocate more time to its maintenance.

Just like conventional boilers, biomass boilers will need an annual service and the local installers will be able to help you with that as well as with the cost of a boiler service.

However, wood chip feeders do have a tendency to become jammed, so you may need to call out the engineer more often to sort out that problem.

Biomass boilers generally need to be cleaned and have the resultant ash removed. This can usually be done weekly but that does depend on how much biomass fuel that you’re using.

In winter, for example, if the biomass boiler is on all day, then you may need to clean and remove the ash on a daily basis, especially for smaller domestic biomass boilers.

As ever whether it’s a traditional gas system or a biomass boiler, it’s important to check the manufacturer’s instructions.

Biomass boiler funding options

If you need financial support to help install a new boiler, then there are grants available that might be a possible source of funding.

Renewable heat incentive

The Renewable Heat Incentive (RHI) provides financial help for people who are interested in becoming more environmentally friendly.

The scheme is funded by the UK government with the aim of encouraging more domestic heating consumers to invest in renewable heating sources including the biomass heating system.

Unfortunately, this scheme is only available to people who own their own home or if you’re a private or social landlord. Read our guide on landlord boiler grants to learn more. New-build properties are not normally eligible grants towards the biomass boiler cost though if you’re building your own home then you might b able to get funding.

Before submitting your application for a renewable heat incentive, you will need to apply for your home to be assessed under the Green Deal Assessment scheme. This will ensure that it meets all requirements for the installation of a renewable heating system.

If you’ve already installed biomass boilers you’ve not missed the boat. You can still apply for the RHI funding as long as you can prove that you meet their criteria.

The aim of the RHI is to reduce greenhouse gas emissions and the effects of climate change by investing in renewable energy sources. So, that includes helping people to move away from the more conventional boilers that most of us have installed.

It’s estimated that you could save nearly 15 tonnes of CO2 emissions every year, by swopping a traditional solid fuel burner for a biomass boiler.

VAT reduction for over 60s and those in receipt of some benefits

If you are over the age of 60 or receive benefits, then you could qualify for a 5% VAT reduction on your wood-fired boiler.

This might be a reduction on the whole product or just on the installation costs; this depends on the price of the project. More details of this scheme can be found on the government’s website.

Solar Compatibility with Biomass Boilers

Pairing a biomass boiler with solar panels (like solar thermal or solar PV panels) creates a hybrid system that boosts efficiency and cuts costs. Solar thermal panels heat water directly, reducing the boiler’s workload in summer, while PV panels can power the boiler’s electronics or pumps.

• How It Works: Biomass handles winter heating; solar takes over in sunnier months. Excess solar energy can offset electricity costs for auto-feed systems.
• Cost: Solar thermal starts at £3,000–£5,000; PV systems range £5,000–£8,000 (depending on size).

Pros of Solar and Biomass

• Lower Fuel Use: Solar reduces biomass consumption, stretching your fuel budget.
• Eco Boost: Near-zero emissions when solar powers the system.
• Energy Independence: Less reliance on grid power or fuel deliveries.

Cons of Solar and Biomass

• High Upfront Cost: Adding solar doubles your initial investment.
• Space Needs: Panels need roof space; biomass needs storage.
• Weather Dependent: Solar output drops in cloudy UK winters.

Heat Pump Compatibility with Biomass Boilers

Combining a biomass boiler with an air source heat pump (ASHP) offers a dual approach: the pump handles mild weather, while biomass kicks in for colder days. ASHPs extract heat from the air, even in winter, and pair well with underfloor heating or radiators.

• How It Works: The ASHP runs efficiently above 5°C; biomass takes over below that. Smart controls can automate the switch.
• Cost: ASHPs cost £8,000–£14,000, plus installation—stacking onto the biomass price.

Pros of Heat Pump + Biomass

• Year-Round Efficiency: ASHPs shine in mild conditions; biomass excels in deep cold.
• Carbon Slash: Minimal emissions from both systems.
• Flexibility: Covers all weather extremes without fossil fuels.

Cons of Heat Pump + Biomass

• Expensive Combo: Two systems mean a hefty upfront hit.
• Space Hog: ASHP needs outdoor space; biomass needs indoor storage.
• Complexity: More parts to maintain and sync.

Searching for a new boiler?

Whether you’re looking at biomass, wind energy or one of the best combi boiler options to generate heat for your home, it’s important to ensure that it meets your needs at a price that’s within your budget.

If you need helping to find a new boiler, then we can help. We’ll search our database for the best fit and then provide a fixed price for a range of heating options.

With the ability to book next-day installation, you could be enjoying the benefits of your new boiler quicker than you think!