UK 2026 / Reviewed October 2026
Boiler Upgrade Scheme (BUS) £7,500 grant
The UK's headline heat pump grant. Important caveat: despite the name, BUS does NOT fund gas boiler replacements. It funds the switch FROM a gas / oil / LPG / electric boiler TO an air source heat pump, ground source heat pump, or (in rural off-grid contexts) a biomass boiler.
Grant amounts
| System type | Grant | Off-gas uplift |
|---|---|---|
| Air source heat pump (ASHP) | £7,500 | £9,000 in eligible off-gas homes until 31 March 2027 |
| Ground source heat pump (GSHP) | £7,500 | £9,000 in eligible off-gas homes until 31 March 2027 |
| Air-to-air heat pump | £2,500 | No uplift |
| Biomass boiler (rural, off gas grid) | £5,000 | No uplift |
Eligibility
- Property in England or Wales (Scotland, Northern Ireland have devolved equivalents)
- Property owner (owner-occupier, landlord, or small business). Tenants apply via the landlord.
- Most new builds and social housing are excluded, as are properties that already had government funding for a heat pump or biomass boiler
- The new system must be installed by an MCS certified installer using MCS certified equipment. Find installers at mcscertified.com
- Replacing a fossil-fuel heating system (gas, oil, LPG, electric direct heating). Not replacing an existing heat pump.
- For biomass boiler grants: property must be in a rural location (Ofgem defined), off the mains gas grid, and the boiler needs an emissions certificate; not available on self-builds
- No household income test. The grant is available regardless of income or benefit status.
How to apply
BUS is an installer-led grant - you don't apply directly. The flow is:
- Check you own the property and are replacing fossil fuel heating (gas, oil, LPG or electric).
- Search for MCS certified installers at mcscertified.com/find-an-installer. Get 2-3 quotes.
- The MCS installer applies for the BUS voucher on your behalf at gov.uk/apply-boiler-upgrade-scheme.
- Ofgem checks the application and issues a voucher.
- The MCS installer fits and commissions the system, within 120 days of applying.
- The installer redeems the voucher with Ofgem, and the grant comes off your final bill.
Common reasons applications are rejected
- Property is in Scotland or Northern Ireland (different schemes apply)
- Installer is not MCS certified at the time of voucher application
- Property is a new build or social housing (most are excluded)
- Not replacing a fossil fuel system (for example, replacing an existing heat pump)
- System not commissioned within 120 days of the application
Devolved equivalents
Scotland
Home Energy Scotland Grant and Loan: up to £7,500 grant towards a heat pump plus an optional interest-free loan, funded by the Scottish Government.
Northern Ireland
Affordable Warmth Scheme for low-income households, run by the Housing Executive. The NI Boiler Replacement Scheme closed in 2023. No direct BUS equivalent for heat pumps.
FAQ
What is the Boiler Upgrade Scheme?
A government grant of £7,500 towards an air or ground source heat pump, £2,500 towards an air-to-air heat pump, or £5,000 towards a biomass boiler in a rural off-gas property. England and Wales only. Administered by Ofgem.
Does BUS pay for gas boilers?
No. Despite the misleading name, BUS is for heat pumps and biomass only. Gas boiler replacements are funded via ECO4 for eligible low-income households or via household finance for everyone else.
Who is eligible?
Property owners in England or Wales replacing fossil fuel heating. No income test. Must use an MCS certified installer.
How do I apply?
Your MCS certified installer applies on your behalf via gov.uk/apply-boiler-upgrade-scheme. You don't apply directly.
How long does BUS last?
The Warm Homes Plan sets BUS funding for each year to 2029-30, about £2.7 billion in total. The £9,000 off-gas uplift runs until 31 March 2027.
Need a gas boiler instead? Try ECO4 free boiler if eligible, or 0% finance options. Modelling the switch to heat pump? gas vs heat pump cost.