Grant amounts

Boiler Upgrade Scheme £7,500 — and every other amount

The headline figure is £7,500, but the scheme has four technologies and, since July 2026, two bands for heat pumps. This page sets out every amount as published, the conditions attached to each, and the two traps that decide whether you get the higher one.

Figures checked 28 September 2026 Sources listed at the end Published by an independent guide, not an installer

The full table of Boiler Upgrade Scheme amounts

The government publishes the grant values in a formal notice of approved grant categories. The version in force was updated on 21 July 2026 and lists 27 combinations of technology and property. They collapse into this:

Source: GOV.UK notice of approved grant categories and values, updated 21 July 2026. England and Wales.
TechnologyProperty connected to gasOff-gas, replacing oilOff-gas, replacing LPGOff-gas, replacing electric, coal, hybrid or other fossil fuel
Air-to-water heat pump£7,500£9,000£9,000£7,500
Ground source heat pump£7,500£9,000£9,000£7,500
Air-to-air heat pump (residential only)£2,500£2,500£2,500£2,500
Biomass boiler (rural only)—£5,000£5,000£5,000

Ofgem’s scheme page also lists water source heat pumps at £7,500. The £9,000 cells apply to applications properly made from 21 July 2026 up to 31 March 2027.

Grid of Boiler Upgrade Scheme grants: air-to-water and ground source £7,500, or £9,000 off-gas replacing oil or LPG; air-to-air £2,500 everywhere; biomass £5,000 off-gas only.
The notice of grant categories as a grid. Source: GOV.UK, updated 21 July 2026.

Heat pumps: £7,500, or £9,000 off the gas grid

For the two technologies that make up almost all of the scheme — 98% of paid grants have been for air source heat pumps — there are now two bands.

The standard £7,500

Any eligible property replacing gas, oil, LPG, electric or other fossil fuel heating with an air-to-water or ground source heat pump gets £7,500. That includes homes connected to mains gas, which make up the majority of grants paid: 55% of redemptions replaced gas.

The higher £9,000

GOV.UK words it as an additional £1,500 until March 2027, where the property is heated by oil or LPG and has no mains gas connection. Ofgem’s guidance sets the tests: the property is not fuelled by mains gas (capped or clamped meters count as gas), has no record of a gas meter point, is not attached to a heat network, and is not a new build. Self-builds are excluded from the higher band. In the first two months, 5,351 applications — 34% of all applications in July and August 2026 — were for the higher amount. Full detail: the £9,000 off-gas grant.

Air-to-air heat pumps: £2,500

Air-to-air heat pumps — the reverse-cycle units most people know as air conditioning — were added to the scheme by the amendment regulations in force from 28 April 2026. They are funded at £2,500 in residential properties only; the regulations say an air-to-air heat pump is not eligible in a non-residential building. As with any grant-funded system, it has to replace the existing fossil fuel or electric heating rather than sit alongside it. It does not attract the off-gas uplift, and because an air-to-air system heats air rather than water, it does not provide hot water — the installer will explain how hot water would be handled.

If you have read elsewhere that air conditioning is never covered by the scheme, that was true before 28 April 2026 and is not now.

Biomass boilers: £5,000

Biomass is funded in limited circumstances: the property must be off the gas grid and in a rural location, and the boiler must have an emissions certificate showing polluting emissions are kept to a minimum. Biomass cannot be funded in a self-build. Take-up is small — DESNZ counts 421 biomass redemptions in the life of the scheme. See the biomass boiler grant rules.

What gets nothing

  • Hybrid heat pump systems (a heat pump working alongside a boiler).
  • Replacing an existing low-carbon system, such as a heat pump or biomass boiler.
  • A second grant at the same property — GOV.UK allows one grant per property.
  • Gas or oil boilers of any kind. The scheme is not a boiler grant, despite its name.
  • Heat batteries. The Energy Saving Trust lists a future £2,500 heat battery grant under “future funding updates”; it is not available yet.

The longer list, including solar panels and batteries, is on what the scheme does not cover.

How the amounts have changed

The scheme opened on 23 May 2022. The heat pump grant rose to £7,500 on 23 October 2023, from £5,000 for air source and £6,000 for ground source. Air-to-air arrived at £2,500 on 28 April 2026, and the £9,000 off-gas band started on 21 July 2026. The end date and budget page has the full timeline.

How the grant shows on your invoice

Since 28 April 2026 the installer must deduct the full value of the voucher from the amount quoted and must not ask you to pay it, unless the application is refused or the voucher revoked. So a correct quote shows three lines: the full price, the grant, and what you pay. If yours only shows one figure, ask for the breakdown.

To see what that leaves for your own job, try the calculator — or read our guides to the air source heat pump cost after the grant and ground source cost and grant. Running costs, including heat-pump tariffs, are covered in heat pump running costs.

What the grant leaves you to pay

No details needed. Change any figure to match your own quote or bills. Results are indicative — an MCS installer’s heat-loss survey and written quote are what count.

Quote before grant£12,908
Boiler Upgrade Scheme grant−£7,500

£5,408

Payable by you on this quote. The grant is deducted on the quote and invoice — you never receive it as cash.

Default quote = the official median installed cost for 2026 Q2 (DESNZ, published 24 September 2026), which includes the grant value. VAT on installing a heat pump in a home is 0% until 31 March 2027, then 5%.

Ask installers for a written quote

Paying the balance after the grant

The grant comes off the price before you pay anything, so the question is only how to fund what is left. These are the routes people use — this site does not arrange credit or recommend a lender.

RouteHow it worksWhat to check
SavingsPay the balance on the installer’s payment schedule. You own the system outright.How much deposit is asked for up front, and whether it is protected under the installer’s consumer code.
0% VATApplied by the installer on a supply-and-install job in a home until 31 March 2027; 5% after.That the quote shows no VAT on the installation. Equipment bought without installation is standard-rated.
Mortgage further advance or green home loanSome lenders offer borrowing earmarked for energy improvements, sometimes at reduced rates.The representative APR, the total amount repayable and any fees — compare against simply paying from savings.
Installer-arranged creditSome installers introduce a credit broker so the balance is paid monthly.The lender must be authorised by the Financial Conduct Authority. Ask for the APR and total repayable in writing before you sign anything.
Scotland onlyHome Energy Scotland offers an interest-free loan of up to £7,500 alongside its own grant (not the Boiler Upgrade Scheme).Apply to Home Energy Scotland before work starts.

Two things people get wrong about the amounts

“Installers just add the grant to the price.”

Compare with the official figure. DESNZ puts the median installed cost of a grant-funded air source heat pump at £12,908 in 2026 Q2 — 11% lower in real terms than in 2023 Q2 — and the Energy Saving Trust quotes around £12,000. A quote far above those needs an itemised explanation.

“I’m off-gas, so I must get the higher amount.”

Only if the old system runs on oil or LPG. Off-gas homes on electric heating, coal or other fuels get £7,500, as do new builds and self-builds.

The rule is narrower than most summaries make it sound, which is exactly why it catches people out.

Sources for the figures on this page

  1. GOV.UK — Notice of approved grant categories and values for the Boiler Upgrade Scheme (updated 21 July 2026)
  2. GOV.UK — Apply for the Boiler Upgrade Scheme: what you can get
  3. legislation.gov.uk — SI 2026/390
  4. Ofgem — property owner guidance v5.1
  5. Energy Saving Trust — Boiler Upgrade Scheme (updated 16 July 2026)
  6. DESNZ — Boiler Upgrade Scheme statistics, August 2026

Read on 28 September 2026 unless the source line says otherwise. Scheme rules change: if a figure here disagrees with GOV.UK or Ofgem, the official page is right — tell us through the form and we will correct it.

Ask heat pump installers for quotes

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