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Witten by Bernard Morgan (Engineer) & Adam Apperley (Marketing). Published: February 6, 2024. Updated: March 14, 2024

LPG vs Oil – Advantages, Disadvantages & Costs

When it comes to heating options for off-grid homes, the decision often boils down to oil or LPG systems. Oil boilers and LPG boilers offer effective heating solutions that rival natural gas’s efficiency.

Like natural gas, oil and LPG boilers come in the main types, combi, system and regular. For the best LPG combi boilers you can read our guide.

If your property is connected to the gas grid, a gas boiler will provide a more cost-effective heating solution. Our list of the best boilers will help you choose the right gas boiler for you.

Understanding the difference between Oil and LPG

Both LPG and oil are fossil fuels. They’re stored outside your home in tanks or bottles (LPG only). Oil is pumped into your home and LPG flows under pressure from the bottle or tank.

As they’re both off-grid fuels, they will be delivered by a supplier to your tanks. This means you must keep an eye on fuel levels and order more when required.

As with gas, your boiler then utilises the fuel to generate heat and hot water. Both LPG and heating oil come from crude oil. Heating oil is a type of kerosene similar to jet fuel. LPG (or liquefied petroleum gas) is a gas that is then pressurised into a liquid form.

LPG has two distinct types: butane and propane. Due to its higher boiling point, butane is typically used in indoor heating systems.

Advantages of oil boilers

  • 90% efficient.
  • Normally available in an indoor and outdoor/external version.
  • Generally more cost-effective per kilowatt-hour (kWh).
  • Modern oil combi boilers operate quietly, ensuring a comfortable heating experience for your home.

Disadvantages of oil boilers

  • Oil is often associated with a stronger odour.
  • Oil storage tanks tend to be bulkier than LPG.
  • Additional expenses will arise for installing and maintaining oil storage tanks.
  • You need to order oil and have it delivered.
  • Oil is less environmentally friendly than LPG.

Advantages of LPG Boilers

  • More affordable than oil.
  • Simpler installation vs oil.
  • Can be more compact. Option of LPG cylinders rather than a tank.
  • More environmentally friendly than oil.
  • Can be used with cookers.
  • Quiet operation.
  • Great for use in static caravans.

Disadvantages of LPG Boilers

  • Per kWh, more expansive to fuel vs oil.
  • In winter a 47kg cylinder of LPG could be used in 1 week.
  • Requires storage space for LPG cylinders.
  • Limited options in terms of suppliers.
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The best oil boiler

LCB700 Oil Boiler - LPG vs Oil | BoilerhutBrand: Navien
Model: LCB700 Blue Flame 28kW Combi Boiler

Our recommendation for the best oil combi boiler for 2024 is the Navien LCB700 Blue Flame Combi Internal Boiler. We have come to this conclusion based on the following:

  • Efficiency: The Navien LCB700 provides excellent efficiency of 93%.
  • Warranty: With a 10-year warranty, the Navien has the longest warranty period for an oil boiler.
  • Technology: For superior efficiency, the Navien boiler uses different technology. This includes Blue-flame technology and a stainless steel heat exchanger. It also has self-learning hot water usage monitoring. Plus an integration with Navien Smart Plus room thermostats.
  • Lighter: Making it easy to transport and install.
  • Modulation: 1:10. One of the only oil boilers on the market to modulate.

The best LPG boiler

Viessmann Vitodens 100-W 35kW Combi BoilerBrand: Viessmann
Model: Vitodens 100-W 35kW combi boiler

The best LPG combi boiler available is the Viessmann Vitodens 100-W combi boiler. We have come to this conclusion based on the following:

  • Efficiency: Up to 94% efficiency with LPG.
  • Conversion: This boiler can change from natural gas to LPG with a setting change, no conversion kit required.
  • Warranty: With a 12-year warranty, the Viessmann is industry-leading.
  • Technology: Stainless steel heat exchangers and brass and copper internal components ensure this boiler is made to last. Integrated WiFi allow Viessmann and Boilerhut to monitor this boiler for issues.
  • Modulation: 1:10 – saving you money be reducing the power used at any given time.

Oil vs LPG Combi Boiler Prices

Comparing the cost of an oil combi boiler to an LPG combi boiler reveals potential differences. But, prices can vary based on the manufacturer and model selected.

In addition to the boiler itself, a storage tank is necessary to hold the fuel. Typically, storage tanks are installed above ground on stands, although underground options are also available. Prices for oil storage tanks range between £1,200 and £3,500, depending on the size and installation method.

It’s important to factor in ongoing running costs. The prices provided are estimations only and corrects as of February 2024. To obtain accurate pricing, it’s advisable to obtain quotes from multiple heating engineers.

LPG costs

  • Boiler: £1,200 – £3,500
  • Storage tank: £375 – £1,200
  • Storage cylinder: £70
  • Service: £80 – £140

Oil

  • Boiler: £2,500 – £4,700
  • Storage tank: £1,100 – 3,600
  • Annual service: £100 – £200

If you are looking for a new oil or LPG boiler, we can instantly show up to 3 free, no-obligation quotes. This allows you to compare prices.

Fuel Prices – LPG vs Oil

Fuel costs are measured in pence per kilowatt-hour (kWh), representing the expense of heating your home for one hour. Oil is the more economical fuel option, but you will need to research fuel prices near your home to get the most accurate pricing.

By calculating the fuel price per kWh, you can estimate annual heating expenses based on average energy usage.

To estimate heating costs using oil or LPG, multiply the average fuel price per kilowatt-hour by your annual usage in kWh (available on your heating bill).

Alternatives

Viessmann Air Source Heat Pump - LPG vs Oil | BoilerhutRather than relying on fossil fuels, such as oil and LPG, renewable heating systems harness sustainable energy. These sources include:

  • Biomass
  • Air source heat pump
  • Ground source heat pump
  • Solar panels

Transitioning to renewable energy for heating reduces your heating bills. And it minimises your carbon footprint. You may qualify for government grants through initiatives like the Boiler Upgrade Scheme.

At Boilerhut we can help you with new oil or LPG boilers, solar panels, and air source heat pumps. So compare quotes today.

If you need a new or replacement LPG or oil boiler or are you looking for heat pumps or solar panels? Compare online quotes (it takes less than 1 minute), and you’ll get up to 3 instant prices. But why choose Boilerhut:

  • Quick central heating system installation. Next day boiler installation.
  • ‘Excellent’ 5* customer satisfaction on Trustpilot.
  • Finance options available for central heating or boiler installation.
  • 10 to 12-year warranty on boilers.
  • Fixed prices. No hidden extras.
  • Get up to three quotes for different-tier boilers.
  • Instant, no-obligation quote in less than 1 minute.

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