How much does it cost to install downlights? [2024]

Thinking of installing downlights? Downlights can add more light or change the mood of a space, and are a popular option if you have the right ceiling.

Downlights need to be installed by an electrician and the process involves drilling holes into the ceiling to house them, feeding wiring to a wall switch and connecting it. While you can change lightbulbs and purchase downlights yourself, an electrician has to install them.

In September 2020, Halogen downlights were banned due to poor energy efficiency but many older homes still have them. Replacing or retrofitting halogen downlights with LED downlights is an increasingly popular option, with energy savings and longevity being additional drawcards to the process. Read this guide to find out more about:

1. Why install LED lighting?
2. LED downlights vs other lights
3. How much do downlights cost?
4. How much does it cost to install downlights?
5. Downlight running costs
6. Downlight safety
7. Hiring an electrician

Why install LED lighting?

Most Australian homes will now have LED lights installed and in many cases, people are now replacing overhead lighting with downlights or replacing existing halogen downlights with more energy-efficient LEDs.

LED lighting has been widely adopted for several reasons, including:

• Being extremely energy efficient (up to 85% cheaper to run than an incandescent bulb)
• Producing relatively little heat compared to halogen bulbs, making it safer for use in ceiling cavities
• Having impressive longevity

LED downlights vs other lights 

Type of bulb	Cost per bulb	Lifespan	Cost per 50,000 hours of use
LED	$50 - $80	50,000	$50 - $80
CFL	$6	8,000	$37.5 (6+ replacements)
Fluorescent	$10 - $20	12,000	$40 - $80 (4 – 5 replacements)
Incandescent	$3	1,200	$125 (42 replacements)
Halogen	$5	2,000 hours or two years	$125 (25 replacement)

 

While CFL bulbs can be slightly cheaper to run, they are generally considered less efficient and will need to be replaced more often. LED bulbs are not only generally the cheapest option but they are also less hassle to maintain. 

How much do downlights cost?

When you're installing new downlights, the first step is to determine if your existing downlights are 240V (GU10) or 12V (MR16). This will determine what type of LED bulb you need to buy.

You can buy downlight kits that include the bulb, driver, fitting, lead and plug. It’s important to remember that changing a socket or bulb is ok but changing anything with the wiring is illegal, and incredibly dangerous, for anyone except a licensed electrician. 

 Some typical prices for kits are:

• $18 for a 12W downlight kit (single unit, low profile and dimmable)
• $25 for a 13W LED downlight kit (single unit, dimmable)

Expect LED lights to come with a 5-year warranty and last up to 50,000 hours.

How do electricians calculate the cost of downlight installation?

When electricians give you a quote to install downlights, they will generally base their quote on the number of downlights and the difficulty of the installation.

If you're planning to retrofit your downlights, factors that may affect the cost of your project include:

• Whether it's a straight swap of the bulb or an entire light fitting
• Number of fittings to be replaced
• Ease of access to your ceiling cavity
• Health of your wiring and electrical system

How much does it cost to install downlights?

Sparkies will charge a flat service fee and a per-hour rate. The service fee will often cover the first 30 minutes they are working on your job. Expect them to charge a service fee for the first 30 minutes and then an hourly rate thereafter. 

Costs may be:

• $110 - $150 for the first 30 minutes (service fee) 
• $80–$110 per hour after

Quotes for downlight installation can therefore vary dramatically. For a per downlight cost, electricians may charge as much as $110 per downlight, but the average range will be around $50–$70 per point for LED downlights.

Downlight running costs

One of the main incentives to replace halogen downlights with LEDs is to save on running costs, so it's useful to know how much you can save on your electricity bills. For each bill, expect to pay:

• $35 per Incandescent
• $25 per halogen downlight
• $9 per CFL downlight
• $4 per LED downlight 

10 LED downlights would use 75% less energy and save you in the region of $210 per bill if you replaced 10 x 60-watt halogens.

Downlight safety

One vital reason why your downlight installation needs to be done by a licensed electrician is to minimise the risk of electrical fires.

Improperly installed downlights have been implicated in several house fires in Australia. While LED bulbs run a lot cooler than halogens, they still generate some heat, which is why they often have a heat sink built in. If you are installing LED bulbs in an enclosed space, such as a ceiling cavity, you need to look for units that are approved for this purpose.

Incidents of fires caused by improperly installed downlights became such a problem, government authorities issued warnings, and Australian Standards for downlights were tightened. Authorities made these recommendations to all Australians considering installing downlights:

• Only use licensed electricians to install downlights
• Only buy downlights that meet or exceed Australian Standards
• Ensure that only non-combustible materials surround the downlights and/or a safety-tested mechanical barrier is included in the installation
• Consider replacing halogen downlights with LED downlights or installing LED lights instead of halogens

For these reasons, electricians are the only tradies qualified to install downlights.

Hiring an electrician

Unlicensed electrical work is not only unlawful in Australia; it could also pose a serious threat to the health and safety of your home. And even though each state and territory has slightly different regulations and classes for electricians, they all must be licence holders before they can undertake work in your home.

When it comes time to hire a sparkie, you must ensure they are right for your job. Some questions to ask them include:

• Are you licensed?
• Are you insured to work in my home?
• Can you provide a written quote?
• Do you have references I can follow up on?

Get quotes from at least 3 electricians in your local area so you can compare prices on supply and installation and choose a professional you trust with your downlight project.

If you're thinking about replacing more lighting in your home and you want some inspiration, also check out our pergola lighting ideas and more creative lighting ideas.