Heat Pump Grants: The Boiler Upgrade Scheme Guide

What Is the Boiler Upgrade Scheme?

The Boiler Upgrade Scheme (BUS) is a UK government grant programme designed to accelerate the adoption of low-carbon heating. It provides a £7,500 upfront grant towards the cost of an air source heat pump installation, and £7,500 towards a ground source heat pump.

The grant is applied by your installer directly to the cost of the installation — you do not need to claim it separately or wait for reimbursement. You simply pay the net cost after the grant has been deducted.

Who Is Eligible?

To qualify for the Boiler Upgrade Scheme:

The property must be in England or Wales

The property must have a valid Energy Performance Certificate (EPC) with no outstanding recommendations for loft or cavity wall insulation

The current heating system must use fossil fuels (gas, oil, or LPG) or direct electric heating

The installer must be MCS certified

Who Cannot Claim?

The grant is not available for new-build properties or social housing. Properties with a biomass boiler as their primary heating source are also excluded.

What Does the Process Look Like?

Your MCS-certified installer submits the BUS application on your behalf before the installation begins. Once approved, they proceed with the installation and apply the £7,500 grant to your invoice. The process adds a small amount of paperwork but does not typically delay installation significantly.

EPC Requirement

If your EPC recommends loft or cavity wall insulation, this must be installed before the grant can be claimed. Your installer can advise whether your EPC will cause any issues.

Is the Grant Enough?

Combined with the grant, many heat pump installations have a net cost comparable to a high-end gas boiler installation. Running cost savings over time can make a heat pump the more economical choice in the long run.

Halo Heating is MCS certified and handles all BUS grant applications. Call 01483 676108 to find out if you qualify.