The main heat pump grant UK homeowners can access is the Boiler Upgrade Scheme (BUS), which pays £7,500 towards an air source or ground source heat pump in England and Wales — or £9,000 for eligible off-gas-grid properties until 31 March 2027. Scotland runs its own grant and loan scheme, and other local schemes may stack on top. You’ll need an MCS-certified installer to claim it.
Switching to a heat pump can feel like a big leap — new kit on the wall, a different way of heating, and a price tag that makes most of us wince a little. Here’s the good news: the government will chip in a hefty chunk of the cost, and it doesn’t come with a mountain of forms for you to fill in either.
We’re Lloyds Gas, an MCS-accredited and Heat Geek-certified installer covering Manchester and Greater Manchester. We spend a lot of time explaining these grants to homeowners, so we’ve put together a plain-English guide to what’s available, who qualifies, and how to actually get it sorted. No jargon soup, we promise.
Let’s dig in.
What is the Boiler Upgrade Scheme, and how much is the grant?
The Boiler Upgrade Scheme is the main heat pump grant UK homeowners use, offering up to £7,500 towards a heat pump in England and Wales. When someone asks us about a “heat pump grant UK” scheme, they’re almost always talking about the BUS. It’s the big one, and it’s the reason a heat pump has gone from “nice idea one day” to “actually affordable now” for a lot of households.
Here’s what the Boiler Upgrade Scheme ASHP UK grant currently offers, according to Ofgem:
- £7,500 towards an air source heat pump (also called an air-to-water heat pump)
- £7,500 towards a ground source heat pump or water source heat pump
- £5,000 towards a biomass boiler
- £2,500 towards an air-to-air heat pump (residential properties only)
There’s a bigger pot for some homes, too. Until 31 March 2027, eligible off-gas-grid properties — think homes on oil or LPG with no mains gas connection — can get £9,000 towards an air source or ground source heat pump instead of the standard £7,500. If that’s you, it’s well worth flagging early.
The scheme is administered by Ofgem and funded through to 31 March 2028 at current grant levels. For most homeowners we work with, an air source heat pump is the sensible choice — hence the £7,500 figure that gets thrown around most.
One thing to know: hybrid systems, where a gas boiler stays on as the main heat source, aren’t grant-funded. The heat pump has to be doing the heavy lifting.
Who’s eligible for the Boiler Upgrade Scheme?
The Boiler Upgrade Scheme is open to homeowners in England and Wales who are replacing a fossil fuel heating system with a qualifying heat pump, installed by an MCS-certified installer. Here are the headline rules:
- Your property must currently use fossil fuel heating. Mains gas, oil, LPG, coal, and electric heating all qualify. If you’re already on a low-carbon system like biomass, you can’t claim.
- The heat pump must fully replace your old system. Hybrid setups where a gas boiler stays as the main heat source don’t qualify.
- You must use an MCS-certified installer. Which, handily, we are.
- It’s not for new builds. Those go through a different route entirely.
One grant per property, and it isn’t means-tested — your income, council tax band, and house value don’t come into it.
Here’s a bit of good news that catches people out, in a nice way. The old rule requiring a valid EPC with no outstanding loft or cavity wall insulation recommendations has been scrapped. Since that requirement was removed, you no longer need to sort insulation upgrades or chase exemptions just to qualify. Your property still needs to be genuinely suitable for a heat pump, mind — that’s something an MCS installer assesses during a survey. So while insulation isn’t a formal barrier anymore, it still matters for performance (more on that later). If you’re not sure where your property stands, we can take a look.
How does the BUS application actually work?
You don’t apply for the Boiler Upgrade Scheme yourself — your MCS-certified installer does it for you and deducts the grant from your quote. Here’s the part people love: you don’t apply — we do.
The grant is paid directly to the MCS-certified installer, who takes it off your quote. So the figure you see from us is the net cost, after the £7,500 (or £9,000) has already come off. You never have to open an Ofgem account or wrestle with a single form.
The rough flow looks like this:
- We visit your home for a free survey and heat loss calculation.
- We send you a fixed-price quote showing the net cost after the grant.
- Once you’re happy, we submit the application to Ofgem on your behalf.
- Ofgem issues a voucher (usually within a few weeks).
- We install and certify the system, then handle the completion paperwork.
A word of warning: never start work before the voucher is issued. The grant is voucher-based, and you can’t claim it retrospectively. It’s one of those mistakes that stings, so choosing an installer who knows the process matters.
Worth remembering, too — the BUS runs on a set annual budget and works on a first-come, first-served basis. There’s no need to panic, but there’s little sense in dawdling either.
What other heat pump grants are available across the UK?
The BUS covers England and Wales, but the rest of the UK has its own arrangements. Here’s a quick tour.
Scotland
Scotland runs the Home Energy Scotland Grant and Loan, offering up to £7,500 towards a heat pump (with higher amounts for very rural postcodes) plus the option of an interest-free loan. There’s also Warmer Homes Scotland, which can fully fund upgrades for eligible households.
Wales
Wales is covered by the BUS, but there’s also the Welsh Government Warm Homes Nest scheme, aimed at lower-income households and those in deprived communities.
Northern Ireland
The old Boiler Replacement Scheme has now closed. If you’re in Northern Ireland, it’s worth checking NIDirect for local energy-saving grants in your area.
Can you combine heat pump grants with other funding?
Sometimes, yes — though it always depends on the specific scheme rules. Depending on your circumstances, the BUS can occasionally stack with support like:
- ECO4 (Energy Company Obligation) — for households on certain benefits
- Home Upgrade Grant (HUG) — for lower-income, off-gas-grid homes
- Warm Homes Local Grant — administered by individual local authorities
The rules here get fiddly, so we’d always recommend checking eligibility properly rather than assuming. It’s exactly the kind of thing we can help untangle.
The bit the grant won’t tell you: your install has to be designed right
A grant makes a heat pump affordable, but it won’t make a badly designed one work well. And there are plenty of cookie-cutter installs out there that leave homeowners cold — literally.
A heat pump isn’t a like-for-like boiler swap. To run efficiently and keep your home toasty, it needs proper design:
- A room-by-room heat loss survey, not a rough guess
- Correct radiator (emitter) sizing so the system can run at lower flow temperatures
- Sensible flow rates and pipework to match the property
This is where being Heat Geek certified matters to us. We design the system around your home, rather than shoehorning your home around a standard-sized unit. It’s the difference between a heat pump you love and one you moan about all winter.
Quick checklist for a smooth grant-funded install
Want the process to go without a hitch? Keep these in mind:
- Choose an MCS-certified installer — it’s non-negotiable for the grant
- Insist on a proper heat loss survey, not a back-of-a-napkin guess
- Be open to radiator upgrades, since heat pumps run cooler than boilers
- Think about cylinder space early, so there are no surprises on install day
- Keep your paperwork tidy — proof of ownership and property details help things move quickly
Frequently asked questions
What is the heat pump grant UK homeowners can get right now?
The main one is the Boiler Upgrade Scheme, offering £7,500 towards an air or ground source heat pump in England and Wales — or £9,000 for eligible off-gas-grid homes until 31 March 2027. Scotland has its own grant and loan scheme.
How much is the Boiler Upgrade Scheme ASHP UK grant?
Currently £7,500 towards an air source heat pump. Eligible off-gas-grid properties on oil or LPG can get £9,000 until 31 March 2027.
Do I need an MCS-certified installer to get the grant?
Yes. Only installs by an MCS-certified installer qualify for the BUS. We’re MCS accredited, so we can handle it end to end.
Can I get a grant if I’m replacing a combi boiler?
Yes. Replacing a gas boiler (combi or otherwise) with a qualifying heat pump is exactly what the scheme is designed for, as long as the heat pump fully replaces the old system.
Will I need new radiators for an air source heat pump?
Sometimes. Heat pumps run at lower temperatures than boilers, so certain radiators may need upsizing. We’ll flag any changes during the survey.
How long does the BUS process take from quote to installation?
It varies, but typically a few weeks for the voucher, then a few more weeks to install, depending on scheduling. The install itself usually takes one to three days.
Can landlords apply for heat pump grants?
In many cases, yes. The BUS is open to owners of domestic properties, which can include landlords, provided the property and installation meet the scheme’s rules. It’s worth checking your specific situation before you commit.
Is a heat pump still effective in cold weather?
Absolutely. A well-designed air source heat pump keeps working even when temperatures drop well below freezing — our customers report cosy homes in sub-zero conditions. The key word is “well-designed”, which comes back to a proper survey and system sizing.
Can I combine BUS with other funding?
In some cases, yes — with schemes like ECO4 or local authority grants. It depends on your eligibility, so it’s worth checking before you commit.
What areas do you cover for heat pump installations?
We cover Manchester and the whole of Greater Manchester, including Altrincham, Bolton, Bury, Cheadle, Rochdale, Salford, Oldham, Stockport, and Wigan.
Ready to see if your home qualifies?
If you’ve read this far, you’re clearly serious about making the switch — and the grants genuinely make it worthwhile. The tricky part is knowing whether your specific property qualifies and how the numbers stack up after the £7,500 (or £9,000) comes off.
That’s where we come in. We’re MCS accredited, Heat Geek certified, and members of APHC, RECC, and IWA, with 100+ five-star Trustpilot reviews from homeowners across Manchester and Greater Manchester.
Give us a shout for a free, no-obligation chat. We’ll check your eligibility, assess your home properly, and give you a straight answer — no hard sell, no jargon. Get in touch with the Lloyds Gas team and let’s work out whether a grant-funded heat pump is right for you.