VCSE

Thinking About a Heat Pump? You Can Get £7,500 Towards It

Heat pumps are far more efficient than traditional boilers and there’s generous funding to help with the upfront cost.

24 October 2025

At a glance

  • Grant available: £7,500 towards an air-source or ground-source heat pump in England and Wales (Boiler Upgrade Scheme).
  • Why heat pumps? They can be around 3× more energy efficient than a traditional boiler.
  • How it works: You choose a certified installer; they apply for the grant on your behalf and discount it from your quote.

What the government is offering

The UK government’s Boiler Upgrade Scheme (BUS) provides upfront grants worth £7,500 for heat pump installations in homes and small non-domestic properties across England and Wales. A £5,000 grant is also available for eligible biomass boilers. Current funding runs until 31 December 2027.

Why consider a heat pump?

  • High efficiency: Modern heat pumps can deliver about three units of heat for every unit of electricity used (roughly 3× the efficiency of a typical boiler).
  • Lower carbon: They cut your home’s carbon footprint by switching from burning gas or oil to electricity.
  • Potential bill savings: With smart off-peak tariffs and good home insulation, running costs can be competitive.

Who can apply (and where)?

BUS applies to properties in England and Wales. If you’re in Scotland, support is available via Home Energy Scotland (different grants/loans and rules). {index=7}

How the grant process works

Step-by-step

  1. Find an MCS-certified installer. They’ll assess your property and provide a quote.
  2. Your installer applies to the Boiler Upgrade Scheme for the grant.
  3. Grant is deducted from the price you pay once approved. {index=10}

What you could get

  • £7,500 towards an air-source heat pump.
  • £7,500 towards a ground-source (incl. water-source/shared loop) heat pump.
  • £5,000 towards a biomass boiler (in limited circumstances).{index=13}

Eligibility basics (quick check)

  • You’re replacing a fossil-fuel system (gas, oil, LPG, direct electric, etc.).
  • Hybrid systems (boiler + heat pump) are not funded by BUS. {index=15}
  • The scheme is scheduled to run through 2027; annual budgets are set and overseen by Ofgem.

Latest context

Government data show strong growth in uptake, with frequent statistical updates on installations and applications as the scheme expands.

Bottom line: If you live in England or Wales and your current boiler is due for replacement, a heat pump plus the £7,500 BUS grant is well worth exploring. It can cut emissions and, with the right tariff and insulation, keep running costs competitive. Explore the official Heat Pump guide Check BUS grant details See scheme dates & overview

Sources

  • Clean Energy (UK Government campaign) — Install a heat pump.
  • GOV.UK — Apply for the Boiler Upgrade Scheme: What you can get.
  • Find Government Grants — Boiler Upgrade Scheme (scheme window to 31 Dec 2027).
  • Ofgem — Boiler Upgrade Scheme (BUS) (scheme budget and oversight).
  • Clean Energy — Save energy in your home (Scotland support via Home Energy Scotland).
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