£7,500 Air Source Heat Pump Grant Under Boiler Upgrade Scheme UK

If you are willing to get rid of your old fossil fuel heating system, do it right by replacing it with the Boiler Upgrade Scheme. Homes & Businesses in England & Wales can achieve up to 300–400% efficiency (COP) with up to 7 years warranty compared to traditional boilers, along with £7,500 government-backed funding.
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What is the Government Boiler Upgrade Scheme?

The Boiler Upgrade Scheme (BUS) is a government-backed funding to help property owners upgrade to renewable energy heating systems like air source heat pumps with upto £7,500 subsidy. BUS is only available in England and Wales for those willing to upgrade their fossil fuel heating systems using gas, oil, LPG, or any other fossil fuel.

Scottish residents can apply for local schemes like Warm Home grants or other available schemes. They can also contact their local council for further information on available grants.

Boiler Upgrade Scheme Eligibility Criteria

The UK Boiler Upgrade Scheme is there to subsidise the heat pump installation for property owners with upto £7,500 funding. However, same as all other government grants, you do need to meet certain criteria first. But don’t worry, the BUS is the most straightforward scheme to apply for, as there are only 3 qualification requirements to meet the criteria for heat pump grant.

1. Eligible Property Types

  • Home
  • Business Place
  • Second Home
  • Property You Rent Out To Tenants
  • Holiday Home

2.Heating System Fuels That Can Be Replaced

Fossil Fuel Systems Includes:
  • Oil Boilers
  • Gas Boilers
  • Electric Heaters
  • LPG (liquefied petroleum gas) Boilers

3. Must Have A Valid Energy Performance Certificate

  • An EPC is valid for up to 10 years.

Properties That Do Not Qualify

  • Social Housing
  • Under Construction Self-Built Homes
  • Property With Already Availed Heating System Funding
Note: If someone has already availed funding for insulation only, they still qualify for a heat pump grant under the Boiler Upgrade Scheme Wales & England.

What Can You Get Under the Boiler Upgrade Scheme?

The BUS mainly focuses on upgrading fossil fuel heating systems to renewable/low-carbon energy heating systems. The funding caps at a maximum of £7,500, which mainly covers the heating system, might include controls, pipework, radiators, and other heat pump parts.
  • £7,500 Air Source Heat Pump Grant (Air-to-water heat pump)
  • £7,500 Ground Source Heat Pump Grant
  • £5,000 for Biomass Boilers (Biomass boilers are typically limited to rural properties.)
The rest of the funds come from owners, so whatever your home capacity is (small or large), the government funding is fixed.

Application Process for the Boiler Upgrade Scheme

The application process is very simple; you just need to contact ECO Energy Packs (your MCS-approved installer for BUS upgrades). It only takes approximately 60 seconds to confirm eligibility and fill out the application form for the Heat Pump Government Grant.

Step 1: Check Eligibility & Provide Contact Details

Enter your postcode in the eligibility checker provided at the top of this page. After confirming your qualification, provide the contact details so our heat pump grant application experts can contact you, and we can move forward with your application.

Step 2: Get Ready for Property Assessment

A survey team will visit your domestic or non-domestic property to confirm the eligibility, feasibility for the installation, required system capacity, and potential installation costs.

Step 3: Heat Pump Installation & Confirmation

After the assessment and verifying the eligibility, you will pay your share of the contribution, and ECO Energy Packs will install a heating system at your property as per your heating needs. Authorities will confirm the installation with you, then release the funds to us.
See If You’re Eligible for the Heat Pump £7,500 Grant

Benefits of the Boiler Upgrade Scheme Grant for Homeowners

Homeowners with tight budgets, who were saving so they can get a better heating system once and for all, can now get that system installed with the Government Grants for Air Source Heat Pumps.

Here are some benefits of upgrading to a heat pump under the Government Boiler Upgrade Scheme

Grant reduces upfront installation cost

Homeowners can receive up to £7,500 towards a low-carbon heating system, significantly lowering the upfront cost of replacing a fossil fuel boiler.

No Repayments or Interest

The BUS grant is non-repayable, it is not a loan, has no interest, and does not need to be paid back.

Lower energy bills

Heat pumps and biomass boilers are highly efficient, helping households reduce long-term heating costs, especially when replacing oil, LPG, or electric systems.

Estimated Annual Bill Savings When Switching to a Heat Pump

As per Energy Saving Trust, if you have a three-bedroom semi-detached home, with radiator upgrades as needed, using an Air Source Heat Pump, you can potentially save hundreds of pounds annually.

Here are the estimated cost savings for your home:
Current Heating System Replaced Estimated Annual Bill Savings (£/year)
Old (G-rated) Gas Boiler £260
Old Electric Storage Heaters £1,200
Old (G-rated) Oil Boiler £65
Old (G-rated) LPG Boiler £700
Coal Heating £700

Actual savings may vary depending on several factors, including property size, insulation, and energy tariffs.

Why Choose ECO Energy Packs?

ECO Energy Packs is an MCS-certified and BUS-compliant installer which specialises in installing heat pumps in UK domestic and non-domestic properties. Our UK-based installers ensure standard compliance in terms of noise levels, energy efficiency, and system performance.

  • Exceptional Post-Install Support
  • Handles the Entire BUS Application for You
  • UK Building & Grant Compliance
  • High Standard Installation

Just like thousands of other UK property owners, if you also value quality installation and long-term property gains, contact us, as approval is subject to annual government funding availability. Note that all installations meet MCS certification standards and EPC efficiency requirements.

Apply for the Boiler Upgrade Scheme

Heat Pump Brands We Install

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Frequently Asked Questions

Who is eligible for the Boiler Upgrade Scheme?
Home and business owners who are looking to replace their fossil fuel heating systems with renewable energy heating systems and live in England and Wales can apply for the scheme.
How much funding can I get for a new heating system?
Eligible homeowners can receive up to £5,000–£7,500, depending on the system type, applied directly as a grant through the BUS-compliant installer.
How do I apply for the grant?
Simply contact an Approved UK Installer like Eco Energy Packs. We will handle the application and claim the grant on your behalf, reducing paperwork and effort.
What heating systems are supported under BUS?
The scheme supports air source heat pumps, ground source heat pumps, and biomass boilers. The system must meet efficiency and installation requirements.
Can I combine the BUS grant with other government incentives?

No, BUS funding cannot be combined with other public grants for the same installation, but other incentives may apply for separate upgrades.

How long does it take to receive the funding?
The grant is applied directly at installation, so homeowners typically pay only the reduced cost. There’s no separate waiting period.
Will installing a low-carbon heating system increase my home’s value?
Yes, replacing an old boiler with a low-carbon system can improve your EPC rating and make your home more attractive to buyers.