Heat pump grants — the Boiler Upgrade Scheme explained
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The Boiler Upgrade Scheme (BUS) provides a £7,500 grant towards the cost of an air source heat pump and £7,500 for a ground source heat pump. The grant is paid directly to your MCS-accredited installer, reducing your upfront cost.
To be eligible, your property must be in England or Wales, have a valid EPC (Energy Performance Certificate) less than 10 years old, and not have an outstanding recommendation for loft or cavity wall insulation (you must fix insulation first).
You do NOT need to be on a low income to qualify — the scheme is open to all homeowners. Social housing and most commercial properties are excluded.
Only an MCS-accredited installer can apply for the grant on your behalf — they submit the application as part of the installation paperwork. You cannot apply yourself.
The scheme runs until March 2028 (as of 2026). Budget is limited, so grants are allocated on a first-come, first-served basis. There is no waiting list — your installer applies at the time of installation.
You must not already have a heat pump installed. Properties with an existing heat pump do not qualify, but replacing a failed heat pump with a new one is eligible.
A typical air source heat pump installation costs £10,000–£18,000 before the grant. After the £7,500 grant, most homeowners pay £4,000–£10,000 depending on property size, existing heating system, and whether underfloor heating is included.
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