2. What is the Boiler Upgrade Scheme

What is the Boiler Upgrade Scheme?

The Government Boiler Upgrade Scheme was launched in April 2022. It provides a boiler upgrade grant to help owners of domestic and small non-domestic properties in England or Wales with the upfront cost of installing low carbon heating systems, such as heat pumps. 

 

Your installer must be MCS certified for the work to be eligible for the BUS grant. Your installer will apply for the grant on your behalf and then take the value of the grant off the price you pay. We recommend you get quotes from more than one installer to make sure you're getting the best value for money. 

 

The scheme will provide:

 

  • £7,500 off the cost and installation of an air source heat pump. A temporary uplift of £1,500 for off-grid properties was introduced in July 2026 and is available until March 2027
  • £5,000 off the cost and installation of a biomass boiler
  • £6,000 off the cost and installation of a ground source heat pump

 

The grant will only cover biomass boilers in rural locations and in properties that are not connected to the gas grid.

 

Am I eligible for the Boiler Upgrade Scheme?

 

You may be eligible for the Boiler Upgrade Scheme if you:

 

  • Live in England or Wales
  • Own your property (whether this is a home or a small non-domestic property)

 

The property will need to have:

 

  • An installation capacity up to 45kWth (this covers most homes)
  • A valid Energy Performance Certificate (EPC) with no understanding recommendations for loft or cavity wall insulation (unless you have an insulation exemption).

 

New build properties will not normally be eligible. The only exception is if you're building your own home.

 

To be eligible for the scheme, the commissioning date of the heating system must be on or after 1st April 2022. Your installer will advise whether a low carbon heating system is suitable for your property.

 

You can still apply for BUS even if you have received separate funding for energy efficiency upgrades, such as insulation, doors or windows. 

 

You are not eligible for BUS to replace an existing low carbon heating system. Funding is only available if you are fully replacing an existing fossil fuel system such as oil, gas or direct electric.

 

Find out more about the scheme on the government website.

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