How Much Is the Boiler Upgrade Scheme Grant?
The Boiler Upgrade Scheme offers grants towards low-carbon heating systems in England and Wales, with most heat pump installations eligible for £7,500. The fixed support can cover a substantial share of an air source heat pump’s cost, but the amount left for households varies with the system and the complexity of the work.
The rates are £9,000 for heat pumps replacing oil or LPG heating in off-grid homes, until 31 March 2027; £7,500 for other air or ground source heat pumps; £5,000 for biomass boilers; and £2,500 for air-to-air heat pumps. Government figures put the median air source installation at £12,908 in April to June 2026, leaving about £5,400 after the grant, while ground source systems average nearly £24,000. The scheme is not means-tested, is applied as an upfront discount by the installer, and can be claimed once per property.
- Most heat pumps qualify for £7,500.
- Off-grid oil and LPG homes can get £9,000 until March 2027.
- A typical air source installation costs about £5,400 after the grant.
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The Boiler Upgrade Scheme is a government programme for homes in England and Wales that helps pay for heating systems with lower carbon emissions. It is intended to support the move away from gas, oil and other fossil-fuel heating, but the grant covers only part of the installation cost.
The main options include air source and ground source heat pumps, which draw heat from the air or ground, as well as biomass boilers and air-to-air heat pumps. The grant depends on the system and, for some off-grid homes replacing oil or LPG heating, the fuel being replaced; the remaining cost varies with the equipment and work needed.
The support is not based on household income and is taken off the bill by the installer, with one claim allowed per property. This makes the upfront price easier to compare, while leaving households to consider how much the system and installation will cost after the grant.