The Boiler Upgrade Scheme pays £7,500 toward an air or ground source heat pump. But it’s not the only grant available. This guide covers every scheme open in 2026 and who qualifies.
Heat pump grants in the UK can cut thousands of pounds off the cost of switching from a gas or oil boiler. The headline figure is the £7,500 Boiler Upgrade Scheme grant, but there are several other schemes — some income-based, some region-specific — that can stack on top or apply where the BUS doesn’t. This guide covers every scheme open in 2026, explains who qualifies, and shows you exactly how to apply.
Boiler Upgrade Scheme (BUS): the £7,500 grant
The Boiler Upgrade Scheme is the main UK government grant for heat pumps. It pays £7,500 toward an air source or ground source heat pump, deducted directly from your installer’s invoice. You never see the money — your bill is simply £7,500 lower.
BUS eligibility at a glance
| Requirement | Detail |
|---|---|
| Location | England, Scotland, or Wales (NI has its own scheme) |
| Property type | Existing domestic property — new builds not eligible |
| Current heating | Must be replacing a fossil fuel system (gas, oil, LPG, electric storage) |
| EPC | Must have a valid EPC; no outstanding loft or cavity wall insulation recommendations |
| Installer | Must use an MCS-certified installer — they apply on your behalf |
| System type | Air source or ground source heat pump only (no hybrids) |
One point that catches people out: the EPC insulation condition. If your EPC recommends loft insulation or cavity wall insulation, you must have this done first. This doesn’t mean you need a perfect EPC rating — just that those specific recommendations have been addressed. In many cases loft insulation takes only a few days and may be free under ECO4 if you’re eligible.
How to apply for the BUS grant
You don’t apply yourself. The process is:
- Get quotes from MCS-certified installers (check mcscertified.com)
- Your chosen installer applies to Ofgem’s BUS portal before installation begins
- Ofgem approves the voucher (usually within a few days)
- Installation takes place
- Installer redeems the voucher — you pay the balance
The voucher is valid for three months after approval, so there’s no need to rush the install once it’s granted. The scheme has run without significant interruption since 2022; as of September 2026 it remains fully funded and Ofgem has confirmed no closure date.
ECO4: free heat pumps for lower-income households
The Energy Company Obligation (ECO4) scheme is delivered through energy suppliers and can fund a fully free heat pump installation for qualifying households. Unlike the BUS, ECO4 is means-tested.
You may qualify if you:
- Receive certain means-tested benefits (Universal Credit, Pension Credit, income-based JSA, ESA, or Income Support)
- Have a household income under £31,000/year and live in a property with an EPC rating of D, E, F, or G
- Are referred by your local council under the LA Flex route
ECO4 prioritises the least energy-efficient homes. Heat pumps are one of the eligible measures, but the scheme administrator decides what’s installed based on your property assessment. Apply through your energy supplier or via the Energy Saving Trust’s ECO4 eligibility checker.
Scotland: Home Energy Scotland grant and loan
Scottish homeowners can access the Home Energy Scotland Grant and Loan scheme, which provides up to £7,500 as a grant and an additional £7,500 as an interest-free loan for heat pump installation. This is separate from and can sometimes be stacked alongside the BUS — though the rules on combination are nuanced, so check with Energy Saving Trust Scotland directly.
Scotland also offers a Rural Uplift of an additional £1,000 grant for rural properties not connected to the gas grid. For off-gas homes replacing oil or LPG, the combined support available in Scotland is among the most generous in the UK.
Wales: Warm Homes programme
In Wales, the Warm Homes programme (formerly Nest and Arbed) provides funding for energy efficiency improvements including heat pumps, targeted at low-income households and those living in poor-quality housing. Contact the Warm Wales helpline or check the Welsh Government website for current eligibility. Grant levels and availability vary by local authority area.
Northern Ireland: Affordable Warmth and NISEP
Northern Ireland operates separately from the BUS. The Affordable Warmth scheme targets low-income owner-occupiers and private tenants, and can fund heat pump installation for eligible households. The Northern Ireland Sustainable Energy Programme (NISEP) also offers support for renewable heating. Contact the Northern Ireland Housing Executive for current details.
Can you combine grants?
In some cases, yes. The BUS can be used alongside energy efficiency grants (for insulation) as long as the insulation is installed first and the grants come from different schemes. For example:
- Get free loft insulation under ECO4, then apply for the BUS heat pump grant
- In Scotland, Home Energy Scotland grants and loans can sometimes complement BUS funding
- Local authority energy schemes can fund surveying and project management costs that sit outside the BUS scope
You cannot use two grants to fund the same single heat pump installation. If you receive ECO4 funding for a heat pump, you cannot also claim the BUS for the same unit.
Smart Export Guarantee: earn money back if you add solar
If you pair your heat pump with solar panels, the Smart Export Guarantee (SEG) pays you for surplus electricity exported to the grid. This isn’t a heat pump grant directly, but it improves the economics of the whole package — daytime solar generation offsets your heat pump’s electricity costs, and anything left over earns export payments.
What happened to the Renewable Heat Incentive?
The Renewable Heat Incentive (RHI) closed to new applications in 2022 and was replaced by the Boiler Upgrade Scheme. If you installed a heat pump before April 2022 and registered for RHI, your quarterly payments continue for the duration of your 7-year term. If you missed the RHI window, the BUS is the current equivalent — simpler and paid upfront rather than spread over seven years.
For a full breakdown of what heat pumps cost before and after grants, see our heat pump costs guide. If you’re ready to explore whether a heat pump makes financial sense for your home, try our savings calculator.