How much does air conditioning in the UK cost?

One of the best ways to escape the heat in your home is installing air conditioning – but how much does it cost to install and run it?

Engineer installing air conditioning
(Image credit: Rafa Jodar via Getty Images)

The UK hasn’t exactly got a worldwide reputation for scorching hot summers – most people associate Britain with grey skies and rain.

Because of Britain's history as a cooler climate, air conditioning isn’t often found in homes, like it is in hotter climates like the United States or Singapore.

However, as temperatures have risen in the past decades, the British summer has become increasingly hot. In 2022, England experienced its hottest day on record when a temperature reading of 40.3°C was recorded in Lincolnshire.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

How much does it cost to install air conditioning in the UK?

Though it is common for commercial properties in the UK to have air conditioning, it is incredibly rare for domestic properties.

Fewer than 5% of homes in the UK have air conditioning, a government report published in 2021 found – an exceedingly small proportion when compared to countries like the United States where around 90% of homes have AC, according to the World Economic Forum.

As domestic air conditioning is less common in Britain, property owners will more than likely have to organise its installation themselves – but the good news is that costs are falling.

The average cost of installing air conditioning is now around £2,850, down more than a fifth (21%) from an average of £3,617 in the last quarter, making it an even more attractive option, according to Checkatrade.

While it is still relatively rare, Checkatrade also reports that demand for AC has skyrocketed in 2025 after the year’s three heatwaves. They found that demand for AC increased by 23% between Q2 2024 and Q2 2025.

However, the costs of installing air conditioning will vary depending on the condition of your home.

Hamid Salimi, residential product manager at Daikin UK, told MoneyWeek that the cost of air conditioning “depends on the size, type and heating and cooling requirement of the property".

Salimi said consumers considering getting a system installed should “work with a qualified installer to discuss the best option for your budget".

If you want to get a ballpark estimate for how much installing air conditioning could cost you, Daikin has an online calculator that can help.

How much does it cost to run air conditioning?

While blasting your air conditioning on a scorching hot day will undoubtedly make you feel more comfortable, running your AC does come with a cost.

Most air conditioners work by taking warm air from inside your home and cooling it down by running it over coils filled with refrigerant. The now cooler air is then directed back into your home while the excess heat is absorbed and directed out of the room.

The effect of running your AC is that the indoor climate becomes cooler, but the process takes up a fair amount of energy.

Salimi at Daikin told MoneyWeek that “many factors can impact the cost of air conditioning, including the size of the property and rooms, location of the unit and the type of heating and cooling requirements of the home”.

One way to work out how expensive it is for you to run your air conditioning is by finding out the wattage of your unit and multiplying it by your energy tariff.

According to the current Ofgem energy price cap, the unit rate of electricity costs 25.73p per kWh for the period of July to September 2025.

Using the example of a wall-mounted AC unit that has a wattage of 2kW, we can estimate that it will cost around 51p per hour to run that unit.

However, the above example is purely illustrative and your individual circumstance will likely differ.

For broader advice on how to cut costs, we look at 14 ways to save on your energy bill in a separate article.

Can you install air conditioning in an old property?

Even if you live in an old home, the chances are you can probably install air conditioning in it.

However, Salimi says that, while air conditioning can be installed in almost any home, there are "some considerations that may need to be addressed, particularly regarding insulation".

She told MoneyWeek that in order for your air conditioner to work efficiently, your home has to be well-insulated to prevent as much heat from escaping as possible.

“A suitably qualified heating engineer can advise you on what needs to be done in your home for it to be appropriate for a heat pump system. This might include upgrading the insulation of your walls and roof,” Daikin adds.

Will installing air conditioning increase the value of my home?

With hot summers becoming more and more common in Britain, air conditioning has become a feature that more homebuyers are looking for.

Analysis by Checkatrade and Zoopla found that having air conditioning in the home you’re selling can add around £4,925 to a property’s value if it is sold during the summer – much more than the £2,850 that it costs to install on average.

Checkatrade says this data suggests installing air conditioning could be a smart investment for property owners as the UK faces ever-hotter summers.

Is a portable air conditioning unit better than a fully installed one?

Domestic air conditioning comes in two main categories, fully installed air conditioners and portable ones.

Fully installed AC units are the ones that you will most likely be most familiar with as these are the type that you find in places like hotel rooms, or in homes in the US. These are installed and fitted directly into the home and cannot be easily moved.

The merit of having a fully installed AC system fitted is that they are cheaper to run in the long term, offer better cooling for larger spaces, and are quieter.

However, fully installed units have high upfront costs, cannot be moved or replaced easily, and require professional upkeep.

Meanwhile, portable air conditioners are what they say on the tin. They operate in the same way as fully installed units, but can be moved around or stored when they are not needed.

The upsides of having a portable air conditioner is that they are cheap to buy, are not permanently installed in your home and can effectively cool smaller spaces.

The downsides are that they tend to be more expensive to run in the long term, they struggle to serve large spaces, and can be quite loud.

Salimi at Daikin told MoneyWeek that “homeowners must make decisions based on their own needs".

She added: “Portable air conditioning offers cooling only, while fitted air conditioning offers homeowners an alternative to a traditional central heating system, providing a longer-term solution to help future-proof the temperature of their homes, heating and cooling their properties whatever the weather."

Daniel is a digital journalist at Moneyweek and enjoys writing about personal finance, economics, and politics. He previously worked at The Economist in their Audience team.

Daniel studied History at Emmanuel College, Cambridge and specialised in the history of political thought. In his free time, he likes reading, listening to music, and cooking overambitious meals.