The Boiler Upgrade Scheme is a government grant in England and Wales that takes £7,500 off the cost of an air source (air-to-water) or ground source heat pump. It is paid through the MCS-certified installer rather than to you, it is run by Ofgem, and it has been extended to 2030.
The scheme covers England and Wales only. If you live in Scotland or Northern Ireland, our heat pump grants by nation guide sets out the support that applies there. This guide explains the grant amounts, who qualifies, what is excluded, and how an application runs from quote to installation.
How much is the Boiler Upgrade Scheme grant?
The standard Boiler Upgrade Scheme grant is £7,500 for an air source (air-to-water) or ground source heat pump, with a higher rate when replacing oil or LPG and a separate rate for air-to-air systems.
| Type of installation | Grant | When it applies |
|---|---|---|
| Air source (air-to-water) or ground source heat pump | £7,500 | Standard rate |
| Heat pump replacing oil or LPG heating | £9,000 | Installations from 21 July 2026 to 31 March 2027 |
| Air-to-air heat pump in a home | £2,500 | From 28 April 2026 |
The grant is deducted from your quote, so you pay the installer the balance. Against a typical guide price of £12,000–£15,500 for a three-bedroom home, installed and including VAT, the standard grant brings the figure to about £4,500–£8,000. Your own price depends on your survey.
The oil and LPG rate is set for a fixed period. Whether an installation falls within it depends on the installation date, so your installer confirms the rate that applies when your quote is prepared.
Who is eligible for the Boiler Upgrade Scheme?
You are usually eligible if you own an existing home in England or Wales and are replacing fossil-fuel heating, such as gas, oil or LPG, or electric heating with an eligible heat pump.
- You own the property: owner-occupiers and landlords can both apply
- It is an existing home: most new builds are not eligible
- The heat pump replaces fossil-fuel or electric heating
- The system meets the home's full heating and hot water needs
- An MCS-certified installer designs and fits it, and applies for the grant
Air-to-air heat pumps warm rooms with air and do not heat hot water, so if you are considering one, your installer confirms how the scheme's rules apply to your home before you commit.
What does the Boiler Upgrade Scheme not cover?
The Boiler Upgrade Scheme does not fund most new builds, social housing, homes that have already had funding for a heat pump, or hybrid systems that pair a heat pump with a boiler.
- Most new-build homes
- Social housing
- Homes that have already received funding for a heat pump
- Hybrid systems, where a heat pump works alongside a gas, oil or LPG boiler
If a hybrid is the right fit for your home, for example where a full heat pump would need extensive changes, it can still be installed, but it is paid for without this grant. Our guide to hybrid vs full heat pumps compares the two.
How does a Boiler Upgrade Scheme application work?
The MCS-certified installer applies to Ofgem for the grant on your behalf, and Ofgem then contacts you directly to confirm the details and that you agree to the application.
- Survey: the installer carries out a heat loss calculation, sizes the system and checks the basics of eligibility
- Quote: the grant is shown as a deduction, and the quote names the MCS-certified installer for your job
- Application: once you accept, the installer applies to Ofgem with details of you, the property and the planned installation
- Consent check: Ofgem contacts you to confirm the details and your agreement
- Installation: the system is fitted, commissioned and registered, and an MCS certificate is issued
- Payment: the installer claims the grant from Ofgem, and you pay the balance under your quote
Reply to Ofgem's consent check promptly. The application cannot move forward until the owner confirms, and if any details are wrong it is easier to correct them early.
Because the grant is paid to the installer, you never need to claim money back yourself. Check that your quote shows the full price, the grant deduction and the balance you pay.
Do I still need an EPC for the Boiler Upgrade Scheme?
No. Since 28 April 2026 a valid Energy Performance Certificate (EPC) is no longer required for a Boiler Upgrade Scheme application in England and Wales.
Before that change, applicants needed a valid EPC for the property. Removing the requirement means one less document to arrange before the installer can apply.
It is still worth knowing how well your home is insulated. The heat loss calculation at survey uses the real construction of your home to size the heat pump, and simple improvements such as loft insulation or draught-proofing can reduce the size of unit needed.
How long will the Boiler Upgrade Scheme run?
The Boiler Upgrade Scheme has been extended to 2030, so it is a long-running scheme rather than a short window.
Grant amounts and rules can change during that time, as the changes from 28 April 2026 and the oil and LPG rate show. The figures on this page reflect the published scheme as of October 2026. Your installer confirms the grant that applies when your quote is issued, and GOV.UK and Ofgem publish the current rules.
What should I have ready for a Boiler Upgrade Scheme application?
Having a few details ready makes the survey and the application straightforward.
- Confirmation that you own the property, and who else owns it with you
- Your current heating fuel and system, such as a gas combi, an oil boiler or storage heaters
- Whether the home has had any previous funding for a heat pump
- Recent energy bills, which help estimate your annual heat use
- An email address and phone number you check, so you can reply to Ofgem's consent check
- For landlords: tenant contact details, to arrange access for the survey and installation
If you are not sure whether you qualify, ask at the free home survey for installation enquiries. We check the basics before preparing a quote, so you know where you stand before anything is ordered.
Questions
Can I get the Boiler Upgrade Scheme in Scotland or Northern Ireland?
No. The Boiler Upgrade Scheme covers England and Wales only. In Scotland, Home Energy Scotland offers a grant of up to £7,500, with more for eligible rural and island homes, and an optional interest-free loan. Northern Ireland has no dedicated heat pump grant for homeowners at present. Our grants by nation guide sets out each option.
Do I receive the grant money myself?
No. The grant is paid to the MCS-certified installer for your job, who applies to Ofgem for you and deducts it from your quote, so you pay the balance. Ofgem contacts you during the application to confirm that you agree, so watch for that message and reply promptly to keep things moving.
Can landlords use the Boiler Upgrade Scheme?
Yes. In England and Wales, owners of existing homes, including landlords, can apply through an MCS-certified installer when they replace fossil-fuel or electric heating with an eligible heat pump. Social housing is not eligible. Landlords should arrange survey access with tenants and keep their own contact details to hand for Ofgem's consent check.
Is a hybrid heat pump covered by the grant?
No. Hybrid systems, where a heat pump works alongside a boiler, are not eligible for the Boiler Upgrade Scheme. The scheme funds heat pumps that meet the home's full heating and hot water needs. A hybrid can still be installed and paid for without the grant if it suits your home, and the survey helps you compare the two.
Sources
- Apply for the Boiler Upgrade Scheme – GOV.UK
- Boiler Upgrade Scheme – Ofgem
- MCS (Microgeneration Certification Scheme)
- Home Energy Scotland
Scheme figures and price cap rates checked October 2026.