The Boiler Upgrade Scheme in 2026: grant, rules and eligibility

The Boiler Upgrade Scheme (BUS) gives you a government grant towards an air source or ground source heat pump in England and Wales. As checked on 18 May 2026, the grant is £7,500 now and rises to £9,000 for installations completed from July 2026. The EPC requirement was removed in April 2026, and the scheme is funded to 2030. Your MCS-certified installer applies the grant as an upfront discount, so you never pay it and claim it back.

That is the position today. Government schemes change, so the figures here carry a checked date and we confirm the live rules before any quote.

What the grant is

BUS is a government contribution towards replacing a fossil fuel heating system with a low-carbon heat pump. It is not a loan and you do not repay it. It is taken off the installed price before you pay, so your out-of-pocket cost is the install price minus the grant.

How much you get

• Now: £7,500 towards an air source or ground source heat pump.
• From July 2026: £9,000 for installations completed from that point.

If you are close to the July threshold, the timing of when the install completes, not when you enquire, is what determines the amount. We will be straight with you about which figure applies to your job.

Who is eligible

You can apply if:

• You own the property, or you are a private landlord
• It is an existing building (not a new build)
• You are replacing a fossil fuel system (gas, oil or LPG, or electric storage heaters in some cases) with a standalone heat pump
• The installation is by an MCS-certified installer

Hybrid systems that keep a gas boiler alongside a heat pump do not qualify. The grant is for a standalone heat pump.

The EPC rule was removed

This is the change that catches people out. Until April 2026 you needed a valid EPC with no outstanding loft or cavity wall insulation recommendations. That requirement, and the related insulation rule, were removed in April 2026. You no longer need an EPC to qualify, which has made the scheme accessible to a lot more homes.

How the money reaches you

You do not handle the Ofgem paperwork. Your MCS-certified installer applies for the grant on your behalf and discounts it from your bill, so the price you are quoted is already the net figure after the grant. We quote the net number clearly rather than the gross price with a grant to chase later.

Is a heat pump right for your home

A heat pump suits a reasonably well-insulated home and runs on electricity instead of gas. With the grant the upfront cost drops substantially, but it is not the right answer for every property. Some homes are better served by a modern condensing gas boiler, and we will tell you honestly if that is the case for yours rather than pushing the bigger job. If a boiler is the better fit, a new gas boiler installation may suit your home better and we will say so.

Next step

If you want to know what a heat pump would cost for your home after the grant, and whether your property is suited, book heat pump installation with the BUS grant and we will assess it properly, confirm the live grant figure on the day, and handle the Ofgem application for you.

Rules checked 18 May 2026. Government scheme figures change, so we reconfirm the current grant amount and eligibility before any quote.