GOV.UK published pages on a new government-backed loan scheme in late October 2026. They list heat pumps and other technologies, and no gas boilers.
In this guide
The Warm Homes Loan Scheme is a government-backed scheme under which lenders offer loans for energy saving improvements. This guide reads the GOV.UK service page on the scheme (first published 28 October 2026), the DESNZ factsheet of 27 October 2026 and the GOV.UK page on applying for the Boiler Upgrade Scheme, all on 3 November 2026. The loan terms are set by lenders, so figures here are the ones GOV.UK prints. General information, not financial advice.
What the loan can pay for, and where a boiler appears
GOV.UK says the loan is provided by a lender, for example a bank, and that it could help pay for energy saving improvements such as heat pumps or solar panels. The service page says the loan must be used for one or more of these:
- air source and ground source heat pumps;
- solar photovoltaic (PV) panels;
- battery storage systems;
- heat network connections;
- domestic wind turbines;
- micro hydroelectric systems.
Gas, oil and LPG boilers are not on that list. The factsheet gives a longer list of supported technologies with maximum loan sizes, including an air-to-water heat pump up to £20,000, a ground source heat pump up to £35,000 and a biomass boiler up to £20,000. A biomass boiler is on the factsheet but not on the service page list, so the two pages differ, and a lender or the DESNZ scheme team can say which applies. Neither page lists a gas boiler.
Who can apply
The service page says an applicant must own the property, with or without a mortgage, the property must be in the UK and residential, and lenders may add eligibility rules. The factsheet says the loans are available across the UK, including Northern Ireland. For people on a low income, the service page points to the Warm Homes: Local Grant or other grants, which the page says might provide free energy saving improvements.
Alongside the Boiler Upgrade Scheme
The service page says a Warm Homes loan may be combined with other funding, including the Boiler Upgrade Scheme and Home Energy Scotland grants, but that a loan and other government funding cannot pay for the same improvement. The factsheet, by contrast, says homeowners will be able to combine a loan with a grant of up to £9,000 through the Boiler Upgrade Scheme (and Home Energy Scotland in Scotland), further reducing the cost of installing a heat pump. The two GOV.UK pages word this differently, so how a loan and a grant fit together on a given job is a question for the lender and installer.
The Boiler Upgrade Scheme page is open to people in England and Wales. It lists grants of £7,500 towards an air source heat pump, £7,500 for a ground source heat pump, £5,000 for a biomass boiler and £2,500 for an air-to-air heat pump, and until March 2027 an extra £1,500 for some oil or LPG homes without mains gas. It says no grant is available for a hybrid system such as a gas boiler combined with an air source heat pump.
How to apply, and who to complain to
- The application goes to a lender, not the government: directly, through an installer or retailer, or through a mortgage provider. The applicant must pass the lender’s credit and affordability assessments.
- The installer must usually be certified under the Microgeneration Certification Scheme (MCS), except for heat network connections, and the service page says the applicant cannot do the work themselves.
- The factsheet says some lenders partner only with specific installers, and advises weighing the total amount repayable, the repayment period and monthly fees.
- For a complaint, the service page says to speak to the lender or installer first, then the Financial Ombudsman Service for a lender or MCS for an installer.
FAQs
Is a Warm Homes loan a grant?
No. The service page describes a loan provided by a lender, and the factsheet describes no- and low-interest loans, some interest free, with up to thirty years to repay in some cases.
Can a tenant apply?
The service page says the applicant must own the property. It does not describe a route for tenants.
The bottom line
GOV.UK describes the Warm Homes Loan Scheme as lender-provided loans for heat pumps, solar panels, batteries and other technologies, and a gas boiler appears on neither of its lists. The service page and the factsheet differ on whether a biomass boiler is included and on how a loan combines with the Boiler Upgrade Scheme, so those points are for a lender or installer to confirm. The Boiler Upgrade Scheme page excludes hybrid systems that include a gas boiler. General information, not personalised advice.
Sources
This guide draws on the following primary sources, read on 3 November 2026:
- Warm Homes Loan Scheme (GOV.UK service page, first published 28 October 2026) (gov.uk)
- Warm Homes Loan Scheme: Factsheet (Department for Energy Security and Net Zero, GOV.UK, 27 October 2026) (gov.uk)
- Apply for the Boiler Upgrade Scheme (GOV.UK, page undated) (gov.uk)
Related guides
Boiler Upgrade Scheme
Warm Homes: Local Grant
Hybrid systems
Best Boiler Deals is an independent guide. We may earn a fee from some links; this never affects what we write. This article is general information, not regulated advice on any specific installation; always confirm the details with a Gas Safe registered engineer.