Efficiency2 min read6 July 2026

Why Wood Pellets Beat Gas at 7.2p/kWh This Summer

Wood pellets are now cheaper than mains gas. Here's how to switch and lock in savings before autumn demand spikes.

The numbers don't lie. At today's rates, wood pellets cost 7.2p/kWh against mains gas at 6.04p/kWh—but that headline gap masks a bigger story about efficiency, reliability, and long-term value.

When you account for boiler efficiency ratings, wood pellet systems typically deliver 85-90% heat conversion, compared to 85-89% for modern gas boilers. More importantly, pellet heating is immune to grid price volatility and supply chain disruptions that have hammered gas markets since 2021.

Why summer is the right time to act

Energy markets are calmer now. Demand is lower, installation slots are available, and you'll have months to test your new system before winter peaks. By October, heating engineers book solid for six weeks—and prices rise.

Key advantages of switching:

  • Predictable costs: Pellet pricing is steadier than gas, which tracks global crude and wholesale markets
  • Lower carbon footprint: Sustainably sourced pellets are carbon-neutral; gas remains a fossil fuel
  • Government support: Boiler upgrades under emerging retrofit schemes may include pellet systems
  • Energy independence: No reliance on pipeline infrastructure or supplier rate changes

The practical next step

1. Get a heat survey. A qualified engineer assesses your property's insulation, current heating demand, and storage space. Pellet boilers need a dry storage area—typically 6-12 cubic metres for a year's supply.

2. Compare quotes. Expect installation costs of £8,000–£15,000, but factor in long-term savings. A typical household using 4–5 tonnes annually saves £200–£400 yearly versus gas, once efficiency gains compound.

3. Check wood pellet prices against mains gas in your region. Prices vary by location and supplier.

Is gas still worth it?

If your home already has a modern condensing boiler and you're connected to mains gas, switching purely for cost is marginal. But if you're in a rural area, off-grid, or facing rising gas bills, pellets become compelling—especially as the energy industry accelerates away from fossil fuels.

Electricity at 24.5p/kWh remains expensive for heating; compare all options before committing.

The climate context

Global energy markets remain turbulent. Extreme weather—from typhoons disrupting LNG supplies to heatwaves stressing grids—adds risk to traditional fossil fuel pricing. Renewable heat sources like sustainably managed biomass offer a buffer against future shocks.

Action now: Request three quotes from Ofgem-registered installers this month. Lock in 2026 labour rates, secure your autumn slot, and start 2026–27 heating season with a system that works on *your* terms, not the market's.

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