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Grants & Finance

Boiler Upgrade Scheme 2026: How to Claim Your Heat Pump Grant

Marcus Webb· 2 min read

The Boiler Upgrade Scheme (BUS) is the UK government's main incentive for switching from a gas or oil boiler to a heat pump. It's straightforward once you understand how it actually works — here's the plain-English version.

What the scheme actually is

The Boiler Upgrade Scheme provides a grant that's deducted directly from your heat pump installation quote — you never see or handle the money yourself. Your installer applies on your behalf and the grant reduces your invoice at the point of payment.

How much you can get

SystemCurrent grant
Air-to-water heat pumpUp to £7,500
Ground-source heat pumpUp to £7,500
Air-to-air heat pumpNot currently eligible
Biomass boiler (rural properties only)Up to £5,000

Confirm the current figure before you commit

Grant amounts and eligibility rules are set by government policy and can change. We confirm the exact current figure at quote stage — treat the numbers above as a general guide, not a guarantee.

Who qualifies

  • You own the property (owner-occupier or private landlord — different rules apply to social landlords)
  • The property is in England or Wales (Scotland has a separate scheme)
  • You're replacing a fossil fuel heating system (gas, oil, or electric storage heating), not adding a heat pump alongside one you're keeping
  • The installation is carried out by an MCS-certified installer
  • The property has, or will have as part of the install, adequate loft and cavity wall insulation where applicable

How the grant is actually applied — step by step

  1. Your installer surveys the property and confirms eligibility
  2. A quote is prepared showing the full installation cost and the grant amount, so you see your genuine net cost upfront
  3. Once you accept, the installer submits the grant application on your behalf through Ofgem's portal
  4. Installation goes ahead as normal — you don't wait for grant approval before scheduling
  5. The grant is deducted from your final invoice; you only ever pay the net amount

Common misconceptions

It's not a loan

The grant doesn't need to be repaid and doesn't affect your credit. It's a straightforward reduction in what you pay.

It's not means-tested

Eligibility isn't based on household income — it's based on the property and the system being installed, not your personal finances.

It doesn't currently cover air-to-air systems

If you're comparing air-to-air against air-to-water specifically because of the grant, that's worth knowing upfront — see our full air-to-air vs air-to-water comparison for the wider picture beyond just funding.

Check your Boiler Upgrade Scheme eligibility

We'll confirm your eligibility and show your exact net cost after the grant, before you commit to anything.

Explore heat pumps

Frequently asked questions

Can I get the Boiler Upgrade Scheme grant and also keep my old boiler?

No — the scheme is for replacing your primary fossil fuel heating system, not for adding a heat pump alongside one you intend to keep using as the main heat source.

Does the grant cover the full cost of a heat pump?

No, it offsets a portion of the cost. A typical air-to-water installation costs £9,000–£14,000 before the grant, leaving a net cost of roughly £4,000–£8,500 after a £7,500 grant is applied, depending on the specific job.

How long does the grant application take?

Your installer typically submits it once you've accepted your quote, and installation can usually proceed on your agreed schedule without waiting for a separate approval step.

Is the scheme available in Scotland?

Scotland runs its own separate heat pump funding scheme through Home Energy Scotland rather than the Boiler Upgrade Scheme — the rules and amounts differ, so check the Scotland-specific scheme if that applies to you.

MW

Marcus Webb

Head of Engineering at BrightGrid Energy

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