Air-source heat pump installed at a UK home

Boiler Upgrade Scheme guide

£7,500 or £9,000 towards an eligible heat-pump project?

The current Boiler Upgrade Scheme has two main heat-pump grant routes. Most eligible air-to-water and ground-source heat-pump projects use a £7,500 grant. Eligible off-gas-grid properties replacing oil or LPG may qualify for £9,000 instead.

Start the HEG heat-pump guide Compare the grant routes

Current position checked 19 October 2026: the £9,000 rate is a temporary £1,500 increase for eligible oil- or LPG-heated homes and small businesses that meet Ofgem’s specific off-gas-grid definition. It applies where Ofgem receives a properly made application by 31 March 2027. Scheme rules, funding and eligibility can change, so HEG confirms the live position before any application.

Two current heat-pump grant routes

The £9,000 route is about the existing fuel and the gas-grid position.

It is not simply a larger grant for every property with oil or LPG. The current off-gas-grid test is more specific than not using gas today.

Standard eligible route

£7,500

air-to-water / ground source

The current standard grant for an eligible air-to-water or ground-source heat-pump installation. It can apply when replacing an eligible existing gas, oil, LPG or electric system, subject to the full scheme criteria.

What still needs checking

The property is in England or Wales and you own it (including an eligible second home, rental property or business property).
The project replaces an existing fossil-fuel or electric heating system with an eligible heat pump.
The proposed heat pump, property and installation route meet the scheme’s current requirements.
The work is installed and commissioned by an MCS-certified installer within the current scheme timescale.

Eligible off-gas-grid oil / LPG route

£9,000

£7,500 + £1,500

A current £1,500 addition to the £7,500 heat-pump grant. It is for eligible air-to-water or ground-source projects where the property meets Ofgem’s off-gas-grid definition and the existing heating is oil or LPG.

All of these points matter

The property is eligible for the Boiler Upgrade Scheme in its own right.
The existing heating system is oil or LPG (liquefied petroleum gas).
The property meets Ofgem’s off-gas-grid definition — it is not merely a home that does not use gas today.
There must be no mains-gas fuel, no record of a gas meter point and no heat-network connection at the property.
The property cannot be a new build for the £9,000 uplift, even where a qualifying self-build may have a standard £7,500 route.
The eligible air-to-water or ground-source heat-pump project is applied for during the current £9,000-rate period.

Grant categories, terms and availability are set by the government scheme. This page is an information guide, not a grant decision or an offer of funding.

Why the values are different

The £9,000 rate recognises the current off-gas-grid oil and LPG route.

The normal current grant value for an eligible air-to-water or ground-source heat pump is £7,500. The government has added £1,500 for qualifying off-gas-grid properties that currently use oil or LPG. That creates a £9,000 grant value during the current temporary period.

For a customer, the practical point is simple: HEG checks the actual fuel being replaced and the formal off-gas-grid conditions before showing the higher rate in a final proposal. An oil tank or LPG supply by itself does not replace that check. If the £9,000 uplift does not apply, an otherwise eligible air-to-water or ground-source project may still follow the current £7,500 route.

See heat-pump packages Read the live grant values

Formally off the mains gas grid

For the £9,000 route, the home must meet Ofgem’s definition: no mains-gas fuel, no recorded gas meter point and no heat-network connection. A capped or clamped gas meter point can still count as mains gas.

Oil or LPG heating now

The additional £1,500 is linked to replacing an existing oil or LPG heating system with an eligible heat pump.

The final scheme check comes before an application

A survey-led proposal allows the grant route, heat-loss design and installation scope to be checked together. The grant amount should then appear as an upfront deduction on the agreed quote where approved.

Eligibility in plain English

A heat-pump grant is not an automatic online discount.

The scheme has a number of property, system and process requirements. These are the sensible first questions, not a substitute for the current official rules.

The property and owner

The scheme is for eligible property owners in England and Wales, including qualifying business and landlord routes. Most new builds and social housing are excluded. A qualifying self-build can have a standard £7,500 route, but cannot receive the £9,000 uplift.

The heating system

The new heat pump must replace an eligible existing fossil-fuel or electric system and meet current technical rules. A hybrid arrangement that keeps a fossil-fuel boiler alongside an air-source heat pump is not eligible for BUS.

The installer and process

The heat pump must be installed and commissioned by an MCS-certified installer. HEG applies on the customer’s behalf, while Ofgem asks the customer to confirm their consent.

The application journey

A clear route from first discussion to a properly documented installation.

The Boiler Upgrade Scheme is installer-led. You do not receive the grant as a separate cash payment: where approved, its value is shown as an upfront deduction on the relevant installation quote.

Read Ofgem’s property-owner guidance

Discuss the home and heating

Start with what heats the home now, hot-water needs, radiators, insulation, outdoor space and any plans for the property.

Survey and heat-loss design

HEG checks the proposed heat pump and the wider system. This is where practical changes to emitters, pipework, controls or hot water are identified.

Confirm the grant route

Before an application, HEG checks the live scheme criteria and explains the proposed grant deduction and any remaining installation scope in writing.

Consent, installation and handover

The installer applies on your behalf. Ofgem asks you to confirm consent, then the agreed installation is completed, commissioned and handed over through the proper process.

What a proper heat-pump proposal should cover

The grant is one line of the conversation—not the whole heating design.

The right heat pump still depends on the home. Before confirming a final price, HEG considers the property’s heat loss, hot-water use, radiator output, pipework, controls, electrical arrangements, outdoor unit position and the work needed to complete the installation correctly.

Room-by-room heat-loss calculation
Radiator and emitter-output checks
Hot-water cylinder and household demand
Outdoor unit location, airflow and access
Pipework, controls and electrical scope
Grant route and MCS documentation

Air-source heat pump with neat pipework at a UK home — A final proposal follows the survey and design work. It should make clear what is included, what still needs agreement and the grant amount only where the current scheme route has been confirmed.

Useful external checks

Read the live rules alongside HEG’s practical help.

Government scheme guidance is the authority on funding eligibility. The sources below are included so you can check the current position directly.

GOV.UK — What you can get

The live grant values, the additional £1,500 for eligible oil/LPG off-gas-grid properties, technology limits and exclusions.

Ofgem — BUS guidance for property owners

The installer-led application journey, customer consent, property requirements and checks carried out under the scheme.

Energy Saving Trust — Boiler Upgrade Scheme

Independent homeowner guidance on the current scheme, heat pumps and practical questions to discuss with an installer.

MCS — Find an installer

The official directory for checking an installer’s current MCS certification and technology scope.

Start with your current heating, then let HEG check the right route.

Use the Heat Pump Tool for a practical starting conversation. We will confirm the property, heat-pump design, current BUS rules and any available grant route before a final proposal is agreed.

Start the heat-pump guide

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