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UK Government Scheme · England & Wales

Boiler Upgrade Scheme: £7,500 Heat Pump Grant

The scheme contributes towards an eligible heat pump in England and Wales. There is no income test, and the installer submits the application.

Last checked: August 2026

InstantCost is not affiliated with, endorsed by or acting on behalf of HM Government, Ofgem or DESNZ. Final eligibility is decided by a registered installer or your local authority.

£7,500

Air source or ground source heat pump — the standard grant.

Time-limited uplift

£9,000

Off gas grid and heated by oil or LPG only. Applies to applications from 21 July 2026 until around 31 March 2027.

£5,000

Biomass boiler, rural off-gas-grid properties.

What you actually pay

A typical air source heat pump costs £10,000 to £14,000 fitted. Take off £7,500 and you're left with roughly £3,000 to £6,500. On the £9,000 rate, most oil and LPG homes pay £1,500 to £5,000.

The money never touches your bank account. Your installer claims it from Ofgem and shows it as a deduction on the quote, so you only ever pay the balance.

The scheme runs to 2028, is one grant per property, and covers existing homes and small non-domestic buildings in England and Wales. Funding is first come, first served.

Will a heat pump work in my house?

Usually, yes — including in older houses, as long as the insulation is reasonable and the radiators are the right size. Your installer does a heat loss calculation first and will tell you if some radiators need upsizing.

You need about a metre of clear space outdoors around the unit, and room indoors for a hot water cylinder.

Want the full price before the grant? Use the heat pump installation cost calculator.

Boiler Upgrade Scheme eligibility checker

Answer a few questions for an initial eligibility result.

Step 1 of 5 · Where is the property?20%

Where is the property?

InstantCost is not affiliated with, endorsed by or acting on behalf of HM Government, Ofgem or DESNZ. Final eligibility is decided by a registered installer or your local authority.

How to apply

  1. Find your EPC on the government register. It must be less than 10 years old.
  2. Get quotes from at least three MCS-certified heat pump installers.
  3. Your installer applies to Ofgem for the grant.
  4. Ofgem confirms the voucher and the installer takes the grant off your quote.
  5. You pay the balance once the system is running.

Frequently asked questions

£7,500 towards an air source or ground source heat pump. If your home is off the gas grid and heated by oil or LPG, applications submitted from 21 July 2026 get £9,000 — a time-limited uplift running to around 31 March 2027. Biomass boilers get £5,000 in rural off-gas-grid properties. The grant comes off your installer's quote.

No. The Boiler Upgrade Scheme is not means-tested. Any property owner in England or Wales with an eligible property can apply, whatever their income.

You still need a valid EPC, but since April 2026 outstanding loft and cavity wall insulation recommendations no longer block the grant. If you were turned down on those grounds before 2026, you can reapply.

Yes. The scheme funds replacing fossil fuel systems including gas, oil and electric heating. New builds and most social housing are excluded.

You don't apply yourself. Pick an MCS-certified installer — they apply to Ofgem for you, and the grant is taken off your quote before you pay.

An outdoor unit, about the size of a large washing machine, that pulls heat from the outside air and uses electricity to raise it to a useful temperature for your radiators and hot water. It keeps working down to around -15°C and typically gives 3 to 4 units of heat per unit of electricity.

On a low income or benefits?

You may get a boiler or insulation fully funded instead of paying a balance. Check the ECO4 route.

Check free boiler eligibility