Warm Homes Plan · BUS

Boiler Upgrade Scheme 2026 — The £7,500–£9,000 Heat Pump Grant

Every homeowner in England qualifies for £7,500 toward an air source heat pump — rising to £9,000 for homes on oil or LPG from July 2026. No income test, no EPC condition.

By Alliant Energy Team· reviewed by MCS Certified EngineerLast updated

Most people assume government energy grants are means-tested. The Boiler Upgrade Scheme is the exception. It gives any homeowner in England £7,500 toward the cost of an air source heat pump — regardless of income or EPC rating. From July 2026, that grant rises to £9,000 for homes currently heated by oil or LPG.

What is the Boiler Upgrade Scheme?

The Boiler Upgrade Scheme (BUS) is a government grant of £7,500 toward the installation of an air source heat pump in a domestic property in England — rising to £9,000 from July 2026 for homes currently on oil or LPG heating. It is funded by DESNZ and runs until March 2028.

Unlike the Warm Homes Local Grant, the BUS has no income condition and no EPC requirement. Those conditions were removed in 2025 to accelerate heat pump uptake.

Who qualifies?

  • You must own the property (freehold or leasehold) in England
  • The property must not have an existing heat pump
  • The property must not have had a BUS grant previously
  • Installation must be carried out by a registered BUS installer — Alliant Energy handles this

No income or EPC test

Whether you earn £20,000 or £200,000, if you own your home in England, you are eligible for the BUS grant: £7,500 standard, or £9,000 from July 2026 if you're replacing an oil or LPG system.

How the BUS works

You don't apply for the grant yourself — your MCS-certified installer claims it on your behalf:

  • You contact Alliant Energy for a heat pump assessment
  • We survey your property, design the system and issue a quote
  • The quote already reflects the £7,500 grant — you see the net price
  • You approve installation and Alliant claims the grant from the government
  • You pay only the balance after the grant is applied

What does a heat pump cost after the BUS grant?

Property typeTypical total costAfter £7,500 BUS grant
2–3 bed semi-detached£10,000–£13,000£2,500–£5,500
3–4 bed detached£12,000–£16,000£4,500–£8,500
4+ bed larger property£15,000–£22,000£7,500–£14,500

These are indicative ranges. An accurate quote from Alliant Energy depends on your property, heat demand and current system.

Claim your £7,500 heat pump grant

Alliant handles the BUS application for you. Call 0800 088 4286 or request a free quote.

BUS vs Warm Homes Local Grant — which is better?

Boiler Upgrade SchemeWarm Homes Local Grant
Who qualifiesAny homeowner in EnglandIncome ≤£36,000 + EPC D–G
Grant value£7,500Up to £30,000
What it coversHeat pump onlyHeat pump + solar + insulation + battery
EPC conditionNoneD–G required
Income conditionNone≤£36,000

If you qualify for the WH:LG, it covers more measures at higher value. The BUS is the route for everyone else — particularly higher-income homeowners.

Is an air source heat pump right for my home?

An ASHP extracts heat from outdoor air — even below freezing — and produces 3–4 units of heat per unit of electricity. They work best in well-insulated properties and heat at 40–55°C (vs 70–80°C for gas), so larger radiators or underfloor heating make the most of the system. A heat loss assessment, included free with Alliant surveys, confirms suitability.

Why the BUS won't last forever

The BUS is funded annually. While it runs to 2030, budget in any given year is finite. In previous years the scheme has had periods of reduced capacity. If you're considering a heat pump, claiming the grant sooner is the prudent approach.

Frequently asked questions

Do I need to be on a low income to get the Boiler Upgrade Scheme?

No. The Boiler Upgrade Scheme has no income test. Any homeowner in England can claim the £7,500 grant toward a heat pump installation, regardless of earnings.

What is the EPC requirement for the Boiler Upgrade Scheme?

There is no EPC requirement for the BUS. The EPC condition was removed in 2025 to broaden access to the scheme.

How do I apply for the Boiler Upgrade Scheme?

You don't apply directly. Your MCS-certified installer (Alliant Energy) claims the grant on your behalf. You simply pay the net price after the £7,500 deduction.

Can I get a BUS grant and a Warm Homes Local Grant?

Generally you cannot claim both for the same measure. If you qualify for the WH:LG, that will usually be the better route as the total value is higher.

Does the BUS cover ground source heat pumps?

The current BUS grant covers air source heat pumps. Ground source heat pump grants exist under a different mechanism — contact Alliant for details.

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