The Boiler Upgrade Scheme is a genuine government grant reducing the upfront cost of low-carbon heating — but despite the name, it specifically funds heat pumps and biomass boilers, and it doesn’t put a penny towards an ordinary gas boiler.

What the scheme actually funds

The Boiler Upgrade Scheme (BUS), administered by Ofgem, provides upfront grants to help reduce the cost of installing heat pumps and biomass boilers in homes and non-domestic buildings in England and Wales. It’s aimed squarely at supporting the switch to low-carbon heating technology, covering air source and ground source heat pumps, water source heat pumps, air-to-air heat pumps for residential properties, and biomass boilers. An ordinary gas, oil or LPG boiler replacement doesn’t fall within its scope at all, regardless of how efficient the new unit is or how the installation is funded otherwise.

Grant amounts, and why they vary

Grant values differ by technology and, in some cases, by whether the property is on the gas grid. Ofgem’s guidance sets out £7,500 for air-to-water, ground source and water source heat pumps, £9,000 for air-to-water or ground source heat pumps specifically in off-gas-grid properties (until 31 March 2027), £5,000 for biomass boilers, and £2,500 for air-to-air heat pumps in residential properties. These figures and the scheme’s closing date are set by government policy and can change, so treat any figure here as a starting point for a conversation with an MCS-certified installer rather than a guaranteed amount for your specific property.

Why gas boilers are excluded

The scheme’s entire purpose is to reduce the cost gap between a low-carbon heating system and a conventional gas boiler, on the basis that heat pumps and biomass systems typically cost more to install than a like-for-like gas boiler replacement. Funding gas boiler installations through the same scheme would work against that specific policy aim, since it would remove the incentive the grant is designed to create. This is worth understanding before assuming “boiler” in the scheme’s name means any boiler — in this context it specifically means biomass boilers, a renewable heating technology, not the gas boiler most UK homes currently have.

How you actually access it

The scheme is installer-led rather than something a homeowner applies for directly. Installers who are MCS certified can apply for and redeem Boiler Upgrade Scheme vouchers on behalf of property owners, meaning the grant is built into the quote you receive from an MCS-certified installer rather than claimed back separately after the work is done. This also means the grant is only accessible through installers holding the relevant MCS certification — a heat pump installation from a non-MCS-certified installer, however competent the actual work might be, simply can’t access this particular funding route.

What this means if you’re comparing a boiler against a heat pump

• If you’re weighing up a heat pump against a straight like-for-like gas boiler replacement, the Boiler Upgrade Scheme grant is a genuine factor narrowing the upfront cost gap between the two — it’s worth getting a heat pump quote with the grant applied before ruling it out on cost alone.
• If you’ve already decided a gas boiler is the right fit for your property, this scheme simply isn’t relevant to your project, and separate schemes such as ECO4 or the Great British Insulation Scheme are the ones worth checking instead.
• Because the scheme is installer-led, confirming a heat pump installer’s current MCS certification status is a necessary first step before assuming the grant will apply to a quote.
• Grant amounts and eligibility rules are set by government policy and reviewed periodically, so check the current position with Ofgem or an MCS-certified installer rather than relying on a figure you saw some time ago.

FAQs

Can I get any government grant towards a straightforward gas boiler replacement?

The Boiler Upgrade Scheme specifically won’t fund one, but other schemes such as ECO4 or the Great British Insulation Scheme may be relevant depending on your circumstances and property — these operate under different eligibility rules to the Boiler Upgrade Scheme.

Does the grant get paid to me, or to the installer?

The installer applies for and redeems the voucher, and the grant value is reflected in the price you’re quoted, rather than being paid to the homeowner directly or claimed back after the work.

Is the Boiler Upgrade Scheme available in Scotland or Northern Ireland?

No — it currently operates in England and Wales only. Scotland and Northern Ireland have their own separate heating support schemes, which operate under different rules.

Sources

This guide draws on the following primary sources, current as of 17 September 2026:

• Ofgem: Boiler Upgrade Scheme (BUS)

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