Natural Gas vs LPG: A Cost and Efficiency Comparison

LPG vs natural gas is an important comparison for UK homeowners choosing between mains and off-grid heating. For most homes connected to the gas grid, natural gas is generally cheaper and more convenient than LPG, while LPG can be a practical alternative for properties without access to mains gas.

The cost of LPG vs natural gas depends on current fuel prices, boiler efficiency, your property, storage arrangements and how much energy your household uses.

In this guide, we compare LPG vs natural gas prices, running costs, efficiency, installation, availability and environmental considerations to help you understand which option may be better suited to your home.

LPG vs Natural Gas: Quick Comparison

In short: if your home already has access to mains gas, natural gas is usually the more economical and convenient option. LPG is particularly useful for properties that cannot connect to the gas grid.

Is LPG Cheaper Than Natural Gas in the UK?

LPG is generally not cheaper than mains natural gas for heating a UK home. If your property already has a gas-grid connection, natural gas will usually be the more economical option.

However, the actual amount you pay depends on current fuel prices, your gas tariff or LPG supply agreement, boiler efficiency and how much heating and hot water your household uses.

For off-grid homes, the comparison is different because mains natural gas may not be available. In that situation, LPG can be compared with other heating options such as oil, electricity and heat pumps.

LPG vs Natural Gas Price and Running Costs

When comparing LPG vs natural gas prices, it is important not to rely on an old fixed pence-per-kWh figure. Gas tariffs and LPG supplier prices change over time, so historic prices may not accurately reflect what a household will pay today.

Natural gas is supplied through the mains gas network and billed according to your tariff and usage. LPG is purchased from a supplier and stored at your property, with pricing affected by your supply agreement and delivery arrangements.

LPG may also involve additional costs associated with the storage tank and supply arrangement.

For this reason, compare current gas tariffs and LPG supplier quotes when calculating the likely running cost for your property rather than making a decision based on historic fuel prices.

As of October 2026, the Ofgem price cap average for mains gas is 7.97p per kWh for Direct Debit customers in England, Scotland and Wales. The daily gas standing charge is 29.68p. Actual prices vary by region, tariff and payment method.

For example, a home using 12,000 kWh of gas per year would pay around £956 for the gas used at 7.97p per kWh, before standing charges. This is an example calculation rather than an average household bill.

LPG prices vary considerably between suppliers and contracts. Domestic bulk LPG customers may pay different rates depending on their supplier, contract and delivery arrangements. For this reason, homeowners should check their current supplier quote when estimating LPG heating costs.

What Is the Difference Between LPG and Natural Gas?

Both LPG and natural gas can be used to provide heating and hot water, but they differ significantly in how they are supplied and stored.

What Is LPG?

LPG stands for liquefied petroleum gas. It consists mainly of propane and butane and is stored under pressure as a liquid.

For domestic heating, LPG is normally stored in a tank at the property and replenished through fuel deliveries. This makes it a potential heating option for rural and other off-grid properties without access to mains gas.

What Is Natural Gas?

Natural gas used for domestic heating is supplied directly to properties through the mains gas network.

Unlike LPG, households connected to the gas grid do not normally need to store their heating fuel on-site or arrange regular fuel deliveries.

For homes already connected to the gas network, this generally makes natural gas a convenient option for central heating and hot water.

LPG vs Natural Gas Boiler Installation Costs

The cost of installing an LPG or natural gas boiler depends on much more than the fuel type.

Factors that can affect the installation price include:

• The boiler make, model and output
• The type of boiler
• The existing heating system
• Flue requirements
• Heating controls
• The location of the boiler
• The complexity of the installation
• Any work required to convert the existing system

An LPG heating system also requires suitable fuel storage arrangements at the property.

If your existing boiler needs replacing, it is worth comparing new boiler options and the overall cost of the heating system rather than looking only at the purchase price of the boiler.

LPG vs Natural Gas: Which Is More Efficient?

The different energy content of LPG and natural gas does not automatically mean that an LPG boiler is more efficient.

Boiler efficiency describes how effectively the appliance converts the energy in its fuel into useful heat. This depends on factors such as the boiler design, age, condition, controls and installation.

Modern condensing boilers improve efficiency by recovering heat from exhaust gases that would otherwise be lost through the flue. The Energy Saving Trust provides further guidance on boiler types, efficiency and choosing a heating system.

Regular boiler servicing can also help ensure your boiler is checked and properly maintained.

Therefore, when comparing LPG and natural gas, consider the efficiency of the specific boiler alongside the price of the fuel rather than assuming one fuel automatically produces a more efficient heating system.

LPG vs Natural Gas: Pros and Cons

Advantages of LPG

• Suitable for properties without access to mains gas
• Can provide central heating and hot water in off-grid locations
• Modern LPG boilers can use condensing technology
• Provides a boiler-based heating option where mains gas is unavailable

Disadvantages of LPG

• Generally more expensive to run than mains natural gas
• Requires suitable on-site fuel storage
• Fuel levels need to be monitored
• Deliveries need to be arranged
• Storage and supply arrangements may involve additional costs

Advantages of Natural Gas

• Generally cheaper to run than LPG where mains gas is available
• No on-site fuel storage tank is normally required
• No need to arrange regular fuel deliveries
• Fuel is supplied directly through the gas network
• Widely used for domestic heating in Great Britain

Disadvantages of Natural Gas

• Only available to properties with access to the gas network
• Natural gas is a fossil fuel
• Some rural and remote properties do not have a mains gas connection

Is Bottled Gas Cheaper Than Electricity?

Whether bottled gas is cheaper than electricity depends on the LPG price, electricity tariff, appliance efficiency and how the energy is being used.

It is also important to distinguish between bottled LPG used for individual appliances and bulk LPG stored in a tank for whole-home central heating. These are not necessarily like-for-like comparisons.

If you are comparing whole-home heating systems for an off-grid property, consider the expected annual running cost of the complete heating system rather than comparing only the advertised price of bottled gas with the electricity unit rate.

LPG vs Natural Gas: Environmental Impact

Both LPG and natural gas are fossil fuels, so both produce greenhouse gas emissions when burned.

A meaningful environmental comparison should consider factors such as the type and amount of fuel consumed, boiler efficiency and relevant supply-chain emissions rather than assuming that one fuel is automatically the more environmentally friendly option.

The UK Government publishes updated greenhouse gas conversion factors that can be used when calculating emissions associated with different fuels.

If reducing your home’s reliance on fossil-fuel heating is a priority, you may also want to investigate lower-carbon heating alternatives such as a  heat pump, depending on the property and its heating requirements.

Who Should Consider an LPG Boiler?

An LPG boiler may be worth considering if your property does not have access to mains gas and you want a boiler-based central heating system.

LPG may be suitable if:

• Your property is off the gas grid
• You have suitable space for LPG storage
• LPG deliveries are available to your property
• A boiler-based heating system suits your home
• You have compared LPG with other suitable off-grid heating options

If mains natural gas is already available at the property, natural gas will generally be the more economical and convenient of the two options.

LPG vs Natural Gas: Which Is Better for Your Home?

Natural gas is generally the more economical and convenient option for a UK home that already has access to the mains gas grid. LPG is primarily an alternative for properties where mains gas is unavailable.

Consider natural gas if your home already has a gas connection and you want a continuous fuel supply without having to store and order fuel.

Consider LPG if your property is off-grid, you have suitable space for fuel storage and a boiler-based central heating system suits your property.

If you are planning to replace your current heating system, our boiler installation guide explains more about choosing and installing a new boiler.

Before making a decision, compare current fuel prices, installation costs, expected running costs, boiler efficiency and other suitable heating technologies for your home.

LPG vs Natural Gas FAQs

Is LPG more expensive than natural gas?

LPG is generally more expensive to run than mains natural gas in the UK. Actual household costs depend on current fuel prices, your tariff or supply agreement, boiler efficiency and how much energy your home uses.

Is LPG the same as natural gas?

No. LPG and natural gas are different fuels. LPG consists mainly of propane and butane and is stored as a liquid under pressure, while natural gas for grid-connected homes is supplied through the mains gas network.

Do you need a storage tank for LPG?

A domestic LPG central heating system normally requires fuel to be stored in a suitable tank at the property, which is replenished through fuel deliveries.

Can LPG be used in an off-grid home?

Yes. LPG is one of the heating options available to properties that do not have access to the mains gas network.

Are LPG boilers efficient?

Modern LPG boilers can use condensing technology. However, the efficiency of an individual boiler depends on its specification, age, condition, controls and installation rather than simply whether the fuel is LPG or natural gas.

Does an LPG boiler need a Gas Safe registered engineer?

Gas and LPG boiler work should be carried out by an appropriately qualified Gas Safe registered engineer. Always check that the engineer is qualified for the specific type of gas work required.

How much does LPG heating cost compared with natural gas?

LPG heating is generally more expensive to run than mains natural gas, but the actual cost depends on the LPG supplier, contract, fuel price, boiler efficiency and household energy use. For an accurate comparison, compare your current LPG supplier quote with the latest gas tariff available for your property.