Boiler Upgrade Scheme 2026: How to Claim the £9,000 Heat Pump Grant Before the March 2027 Cut Off
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Boiler Upgrade Scheme 2026: How to Claim the £9,000 Heat Pump Grant Before the March 2027 Cut Off

The short answer: if your home is off the mains gas grid and heated by oil or LPG, the Boiler Upgrade Scheme currently pays £9,000 towards an air source or ground source heat pump. That is £1,500 more than the standard £7,500 grant, and it only applies to applications made between 21 July 2026 and 31 March 2027. You do not apply yourself: an MCS-certified installer applies to Ofgem on your behalf, and the grant is deducted from your quote before you pay anything.

If your boiler runs on oil or LPG, this is the largest heat pump grant the scheme has ever offered for your home, and it has a hard expiry date. Here is exactly how much you can get, who qualifies, how the application works, what a heat pump costs after the grant, and what to do before the window closes.

What is the Boiler Upgrade Scheme?

The Boiler Upgrade Scheme (BUS) is the UK government’s grant for replacing fossil fuel heating with low-carbon heating. It is administered by Ofgem and open to property owners in England and Wales. You get one grant per property, and it covers part of the cost of installing an air source heat pump, a ground source heat pump, a biomass boiler or, since 2026, an air-to-air heat pump. The grant is never paid to you as cash: it is deducted from your installer’s quote, so your final bill is simply lower.

The scheme’s current grant levels, as set out on GOV.UK, are:

  • £7,500 towards an air source heat pump (sometimes called an air-to-water heat pump)
  • £7,500 towards a ground source heat pump, including water source heat pumps and shared ground loops
  • £5,000 towards a biomass boiler
  • £2,500 towards an air-to-air heat pump

Until March 2027, GOV.UK confirms, you can get an additional £1,500 towards an air source or ground source heat pump, taking the total to £9,000, if your property is heated by oil or LPG and has no mains gas connection. Air-to-air heat pumps and biomass boilers do not qualify for the uplift, even in off-gas-grid oil or LPG homes.

What changed in the Boiler Upgrade Scheme in 2026?

The scheme went through its biggest rewrite since it launched in April 2022, in two stages three months apart. A lot of the advice still circulating online predates both changes, so check anything you read against the dates.

28 April 2026. Amendment regulations removed the Energy Performance Certificate (EPC) requirement entirely. Under the old rules, an application failed without a valid EPC showing no outstanding loft or cavity wall insulation recommendations, which blocked many older properties and added weeks of delay. Installers can now use a recent utility bill and photographs of your existing heating system instead. The same changes added air-to-air heat pumps at £2,500, put MCS certification on a statutory footing, required the grant to be deducted from the quote upfront, and extended the scheme to 2030.

21 July 2026. Ofgem announced the £9,000 uplift for off-gas-grid homes heated by oil or LPG, running until 31 March 2027. Applications must be properly made on or after 21 July 2026; vouchers issued before that date keep the £7,500 value, though eligible households can cancel and reapply at the higher rate. The scheme’s 2026/27 budget is reported at £400 million, its largest annual allocation since launch.

Who qualifies for the £9,000 heat pump grant?

For the standard Boiler Upgrade Scheme grant, GOV.UK says you are eligible if you own the property you are applying for (including landlords, second homes and business premises) and you are replacing a fossil fuel heating system, such as oil, gas, electric or LPG. There is no income test and no minimum energy efficiency rating since the EPC requirement was dropped. The installation must be carried out by an MCS-certified installer, and the system must meet minimum efficiency standards, which your installer will confirm.

For the enhanced £9,000 rate, four further conditions all have to be true:

  • your property is not connected to the mains gas network
  • your existing heating runs on oil or LPG
  • you are installing an air-to-water or ground source heat pump (not air-to-air, not biomass)
  • the application is made on or after 21 July 2026 and before 31 March 2027

Your installer confirms each of these as part of the application to Ofgem.

Who cannot get the grant?

GOV.UK is clear about the exclusions. You cannot get a grant for most new-build properties still being built by a developer, for social housing, or for a property that has already received government funding or support for a heat pump or biomass boiler. You cannot use it to replace an existing low-carbon heating system, and hybrid heat pump systems (for example a gas boiler combined with an air source heat pump) are excluded. The scheme covers England and Wales only; Scotland and Northern Ireland have their own schemes.

How do you apply for the Boiler Upgrade Scheme?

You do not fill in the application. The scheme is installer-led: your chosen MCS-certified installer applies to Ofgem on your behalf. The steps, as described by Ofgem and the scheme guidance, are:

  1. Find an MCS-certified installer. Get a survey and a quote. Confirm the quote shows the grant deducted upfront.
  2. Agree the system and price. Your installer confirms which grant rate applies to your home and property type.
  3. Your installer applies to Ofgem. They submit the voucher application with evidence of your existing heating system.
  4. Ofgem contacts you. You receive an email asking you to confirm that the installer is acting on your behalf. This is a fraud check, so respond promptly.
  5. Installation within 120 days. GOV.UK states the installer must commission and install the heat pump within 120 days of applying, or the voucher is not eligible. Ground source projects typically get longer in practice; confirm the timeline in writing with your installer.

The grant is paid to the installer, not to you. If anything in the application is unclear, speak to your installer first: Ofgem’s guidance for installers is the definitive reference, and a good installer will have run the process dozens of times.

What does a heat pump cost after the grant?

Published market data from MCS-certified installers puts a typical air source heat pump installation at £10,000 to £15,000, a ground source system at £15,000 to £35,000, and a biomass boiler at £10,000 to £19,000. Your actual cost depends on property size, existing pipework and whether radiators or underfloor heating need upgrading. Against those ranges, the grants work out as follows:

SystemTypical costGrantYou pay
Air source, mains gas home£10,000 – £15,000£7,500£2,500 – £7,500
Air source, off-gas oil/LPG home£10,000 – £15,000£9,000 (to 31 Mar 2027)£1,000 – £6,000
Ground source£15,000 – £35,000£7,500£7,500 – £27,500
Biomass boiler£10,000 – £19,000£5,000£5,000 – £14,000

Heat pump installations also currently carry 0% VAT until 31 March 2027, so your quote should not add VAT on top. Check that any quote you receive itemises both the VAT relief and the grant deduction.

Why is the £9,000 rate only for oil and LPG homes?

The reasoning is economic, and the government has been open about it. Unlike mains gas and electricity, oil and LPG are not covered by the Ofgem energy price cap, and households cannot switch suppliers the way mains-connected homes can. When wholesale prices spike, off-grid households feel it in full and at short notice. The uplift is targeted at the homes with the least protection from fuel-price volatility and the strongest financial case for switching. Homes on mains gas remain on the standard £7,500 grant, which still covers roughly half to two thirds of a typical air source installation.

What should you do before the March 2027 deadline?

The uplift is tied to the application date, not the installation date, but the 120-day commissioning window means the two are linked. Three practical steps:

  1. Get surveys now, not in February. Installer diaries fill up in winter. A survey booked in autumn leaves room for the quote, the Ofgem application, the consent email and the installation inside the 120-day window.
  2. Get at least two itemised quotes. Both should show the grant deducted upfront and confirm 0% VAT. If a quote does not, ask why.
  3. Check your existing system evidence. Since the EPC requirement was removed, installers typically ask for a recent utility bill and photographs of your current heating. Having those ready keeps the application moving.

If your voucher was issued before 21 July 2026 and you are an eligible oil or LPG household, you keep the £7,500 value unless you cancel and reapply at the higher rate. Talk to your installer about whether that is worth doing before the March deadline.

Boiler Upgrade Scheme 2026: frequently asked questions

How much is the Boiler Upgrade Scheme grant in 2026? The standard grant is £7,500 for an air source or ground source heat pump, £5,000 for a biomass boiler and £2,500 for an air-to-air heat pump. Off-gas-grid homes heated by oil or LPG can get £9,000 for an air source or ground source heat pump on applications made between 21 July 2026 and 31 March 2027.

Who qualifies for the £9,000 Boiler Upgrade Scheme grant? Property owners in England and Wales whose home is off the mains gas grid, currently heated by oil or LPG, and replacing it with an air source or ground source heat pump, with the application made between 21 July 2026 and 31 March 2027.

Do I need an EPC to apply for the Boiler Upgrade Scheme? No. The EPC requirement was removed on 28 April 2026. Installers can use a recent utility bill and photographs of your existing heating system instead.

How do I apply for the Boiler Upgrade Scheme? You do not apply directly. An MCS-certified installer applies to Ofgem on your behalf, Ofgem emails you to confirm the installer is acting for you, and the grant is deducted from your quote. The heat pump must be commissioned and installed within 120 days of the application.

Can I get the grant if I have mains gas? Yes, at the standard rate: £7,500 towards an air source or ground source heat pump. The £9,000 rate is only for off-gas-grid homes on oil or LPG.

When does the £9,000 Boiler Upgrade Scheme uplift end? Applications must be made before 31 March 2027. Ofgem’s announcement says the uplift is time limited until the end of March 2027.

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