Heating · Grants

Boiler Upgrade Scheme: the £7,500 heat pump grant explained

If you own your home in England or Wales, you can get £7,500 off an air or ground source heat pump. Here's how it works.

Prices update automatically

How much you can get

What you installGrant
Air source heat pump£7,500
Ground source heat pump£7,500
Water source heat pump£7,500
Biomass boiler (rural, off the gas grid only)£5,000
Air-to-air heat pump£2,500

From 21 July 2026 to 31 March 2027, homes currently heated by oil or LPG can get £9,000 towards an air or ground source heat pump.

Who can apply

How to get it

  1. Find an MCS-certified installer and get a quote.
  2. Your installer applies for the grant on your behalf.
  3. You confirm the application when the scheme contacts you.
  4. The grant comes off the price you pay. You don't receive the money directly.

Will a heat pump save you money to run?

Usually a little. For a typical home it costs about £759 a year to run, compared with £865 for a gas boiler at today's prices. See the full heat pump vs gas boiler comparison, or try the heating cost calculator with your own gas use.

Grant rules can change. Always check the latest details on GOV.UK or with the Energy Saving Trust before you commit.

Sources: Energy Saving Trust, GOV.UK, Ofgem price cap via Uswitch, Octopus Energy tariff data.