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The grant, explained

How the Boiler Upgrade Scheme works

Plain-English guide · Reviewed July 2026 · England & Wales

The Boiler Upgrade Scheme (BUS) is a UK Government grant that helps homeowners replace a fossil-fuel heating system with a low-carbon heat pump. It's administered by Ofgem and funded by the Department for Energy Security and Net Zero. This page explains, in plain terms, what you can get and how the money reaches you.

What you can get

The grant amounts are fixed by the scheme — they don't vary by installer or by how much you earn:

Heating system installedGrant
Air source heat pump (air-to-water)£7,500
Ground source or water source heat pump£7,500
Air-to-air heat pump (newly eligible in 2026; heats/cools but gives no hot water)£2,500
Biomass boiler (rural, off-gas-grid homes only)£5,000
New for off-gas oil & LPG homes — up to £9,000. From 21 July 2026 to 31 March 2027, homes off the gas grid that currently heat with oil or LPG can get an increased grant of £9,000 towards an air source or ground source heat pump — instead of the standard £7,500. It's a time-limited uplift, so the window matters if this is you.

You never touch the government's money

This is the part that surprises most people: the grant is paid directly to your installer, not to you. Your MCS-certified installer takes the grant amount off the price they quote, then claims it back from Ofgem afterwards. You simply pay the reduced figure. There are no government forms for you to fill in and nothing to claim back yourself.

The steps, start to finish

How long is it available?

The scheme is currently funded to run until 2030. Under the Government's Warm Homes Plan the Boiler Upgrade Scheme is backed by around £2.7 billion through to 2030, so there's no imminent cliff-edge. Funding is still released in annual budgets and a given year's pot can be used up before the year ends — it's not something to leave indefinitely, but you're not up against a hard deadline either. (The separate £9,000 oil/LPG uplift above is the one part with a fixed end date: 31 March 2027.)

See if you qualify in 2 minutes

Answer a few quick questions and we'll tell you where you stand — then connect you with a vetted MCS-certified installer for a no-obligation quote.

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Keep reading

Sources: Ofgem — Boiler Upgrade Scheme; gov.uk — Apply for the Boiler Upgrade Scheme; the £9,000 off-gas oil/LPG uplift (21 July 2026–31 March 2027) and 2026 scheme changes per Ofgem/DESNZ, and the 2030 funding commitment per the Government's Warm Homes Plan. Figures are accurate as of July 2026 but may change — always confirm via gov.uk or an MCS-certified installer before making decisions. UK Heat Pump Grant is a service of GrafterUK Ltd (Co. No. 17303977) and is not affiliated with the UK Government; this page is guidance only.