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Grants

The Boiler Upgrade Scheme, explained

What the government grant is worth for a heat pump, who can claim it, and how it is actually paid.

Last reviewed 22 August 2026. Grant rules change — always check the government pages linked below before relying on anything here.

What it is

The Boiler Upgrade Scheme is a government grant that takes a chunk off the cost of replacing a fossil-fuel heating system with a heat pump. It applies in England and Wales only.

The grant is paid to your installer, who takes it off your quote. You do not pay the money out and claim it back.

What it is worth

System Grant
Air source heat pump £7,500
Ground source heat pump £7,500
Air-to-air heat pump £2,500

Air-to-air is the type most relevant if cooling matters to you: the same unit heats in winter and cools in summer. It attracts the smaller grant because it heats the air rather than water, so it does not replace a hot water cylinder.

Who can claim

You may be eligible if:

  • the property is in England or Wales
  • you own it — this includes landlords, but tenants cannot apply
  • you are replacing a fossil-fuel system such as gas, oil or LPG
  • the work is done by an MCS-certified installer

We cannot tell you whether you qualify, and neither can anyone but your installer. They apply on your behalf and confirm eligibility as part of that. Anybody promising you the grant before a survey is guessing.

How it works in practice

  1. You get a quote from an MCS-certified installer.
  2. They apply for the grant and it comes off the price you are quoted.
  3. The work is done and registered with MCS.

You do not fill in a government form yourself.

Things worth knowing

  • The requirement to have loft and cavity wall insulation first was removed in 2025. Older guidance still mentions it.
  • Funding runs to 2028, with an extension to 2030 announced.
  • One grant per property.
  • The grant is for the heat pump. Any other work — new radiators, electrical upgrades — is not covered.

If you rent

You cannot claim this yourself; it has to be your landlord. If they are interested, they can get an estimate in a couple of minutes and see what it would cost them.

Where this comes from