Insights ยท Updated May 2026

Is a Heat Pump Grant Still Available in 2026? (UK)

Yes โ€” the ยฃ7,500 Boiler Upgrade Scheme (BUS) is still open in 2026, and the government extended its budget to ยฃ1.5bn running through 2028. The grant covers air-source heat pumps (ยฃ7,500), ground-source heat pumps (ยฃ7,500) and biomass boilers in rural areas (ยฃ5,000). Scotland uses Home Energy Scotland (up to ยฃ7,500 grant + ยฃ7,500 interest-free loan); Wales uses Nest. Here is exactly what qualifies, the documents you need, average installer-to-payment timelines, and the three common reasons applications get refused.

ยฃ7,500 BUS extended to 2028 England, Scotland & Wales Updated May 2026
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The short answer

The Boiler Upgrade Scheme โ€” the main UK heat pump grant โ€” was extended in late 2024 and runs through 31 March 2028 with a ยฃ1.5bn budget. As of May 2026 applications are open and being approved on roughly an 8โ€“10 week timeline from MCS quote to payment-to-installer.

Who qualifies in 2026?

1. Property type

Owner-occupied or private rented homes in England and Wales. Social housing and new-build are excluded. The property must have a valid EPC less than 10 years old with no outstanding loft or cavity-wall insulation recommendations (or those must be exempt).

2. Heat pump type and capacity

Air-source up to 45kW or ground/water-source up to 45kW. Must be installed by an MCS-certified installer using MCS-listed equipment. Hybrid systems are not eligible from April 2025 onward.

3. Grant amount

  • ยฃ7,500 โ€” air-source heat pump (raised from ยฃ5,000 in October 2023)
  • ยฃ7,500 โ€” ground-source or water-source heat pump
  • ยฃ5,000 โ€” biomass boiler (rural, off-gas only)

Application steps

  1. Get a quote from an MCS-certified installer (typically ยฃ8,000โ€“ยฃ14,000 net after grant for an air-source system in a 3-bed semi).
  2. The installer applies for the grant on your behalf via the Ofgem portal.
  3. Ofgem issues a voucher (valid 3 months for ASHP, 6 months for GSHP).
  4. Installation goes ahead; the ยฃ7,500 is deducted directly from your invoice.

Scotland and Wales alternatives

Scotland: Home Energy Scotland Grant + Loan offers up to ยฃ7,500 grant plus ยฃ7,500 interest-free loan (rural uplifts +ยฃ1,500). Wales: Nest scheme offers fully-funded heat pumps for low-income households on benefits. Northern Ireland currently has no equivalent national scheme.

FAQs

No. The grant amount remains ยฃ7,500 for air-source and ground-source heat pumps, and the scheme was extended to March 2028 with an additional ยฃ1.5bn budget.
Not for the same heat pump. ECO4 funds insulation and a heating measure; if ECO4 funds the heat pump, BUS cannot also be claimed. Many households use ECO4 for insulation and BUS for the heat pump separately.
Most ASHPs fit within Permitted Development (Class G) from 29 May 2025 onward with relaxed siting rules. Conservation areas, listed buildings and any GSHP boreholes have stricter rules โ€” see our planning permission for heat pumps guide.
From quote to voucher: typically 2โ€“3 weeks. From voucher to installation: 4โ€“6 weeks depending on installer backlog. Total: 8โ€“10 weeks is the typical 2026 timeline.

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