Boiler Upgrade Scheme: How to Apply Step by Step in 2026
What is the Boiler Upgrade Scheme?
The Boiler Upgrade Scheme (BUS) is a UK government scheme that helps homeowners in England and Wales replace fossil fuel heating with cleaner, low-carbon systems. If you may qualify, the scheme pays a grant directly to your installer, cutting thousands off the cost of a heat pump or biomass boiler.
The headline figures for 2026 are:
£7,500 towards an air source, ground source or water source heat pump
£5,000 towards a qualifying biomass boiler
£2,500 towards an air-to-air heat pump
A £9,000 uplift for eligible off-gas-grid oil or LPG homes in England and Wales, available until 31 March 2027
On top of that, qualifying domestic energy-saving installations benefit from 0% VAT until 31 March 2027. And since the EPC requirement was removed in April 2026, applying is simpler than it used to be.
Important: Fairway Energy is an independent eligibility-check service. We are not the government, an official grant administrator, or an installer.
Who can apply for the Boiler Upgrade Scheme?
You may qualify if all of the following apply:
Your property is in England or Wales (Scotland and Northern Ireland have separate schemes)
You own the property — this includes homeowners and self-builders, whether you live there or rent it out
The property has an existing fossil fuel heating system such as a gas, oil or LPG boiler, or electric storage heaters — or in some cases no heating system at all
The property has not already received BUS funding for the same technology
New-build properties are generally excluded, with the exception of certain self-builds. There is no longer an EPC requirement — that rule was scrapped in April 2026, which opened the scheme to many more homes.
If you live in a flat, you may still qualify, though shared heating systems and leasehold arrangements can complicate things — worth discussing with an installer.
How the Boiler Upgrade Scheme works
One thing that surprises many people: you don't apply for the grant yourself. Your chosen installer applies to Ofgem on your behalf. The grant is then paid directly to the installer, and you pay the remaining balance. Here's the full process, step by step.
Step 1: Check whether you may qualify
Before spending time getting quotes, run through the basics: Is your home in England or Wales? Do you own it? Is it heated by a fossil fuel system or electric storage heaters? Has the property had BUS funding before? If the answers are yes, yes, yes and no, you're in a good starting position — subject to eligibility and a property assessment.
A quick eligibility check now can save you a lot of time later. If you're unsure, that's exactly what we're here for.
Step 2: Get quotes from MCS-certified installers
This step is non-negotiable: your installer must be certified by the Microgeneration Certification Scheme (MCS). If they aren't, the grant can't be claimed — no exceptions.
Get at least two or three quotes. A good installer will:
Visit your property and carry out a proper heat loss assessment
Advise whether your radiators, pipework and hot water cylinder are suitable (heat pumps run at lower temperatures, so larger radiators are often needed)
Give you a written quote showing the full cost before the grant and the amount you'll actually pay
Explain the timeline and what disruption to expect
Be wary of anyone who quotes over the phone without visiting, pressures you to sign immediately, or can't show MCS certification.
Step 3: Your installer applies to Ofgem
Once you've chosen an installer and agreed a quote, they submit the BUS application to Ofgem on your behalf. You'll need to provide some basic information and give your consent — the installer handles the paperwork.
At this stage Ofgem checks that the property and the proposed installation meet the scheme rules. This is also when any additional uplift is confirmed — for example, the £9,000 uplift if your home is an eligible off-gas-grid oil or LPG property.
Step 4: Ofgem issues the voucher
If the application is approved, Ofgem issues a voucher. The voucher is valid for a set period (typically around three months), during which the installation must be completed. Your installer should manage this timeline and keep you informed.
Step 5: The installation goes ahead
A typical air source heat pump installation takes two to five days depending on the property and how much supporting work is needed — new radiators, a hot water cylinder, upgraded pipework and so on. Your installer should explain exactly what will happen and when.
Once the work is done and commissioned, the installer notifies Ofgem.
Step 6: The grant is paid to your installer
Ofgem pays the grant amount directly to the installer. You pay the balance — the quoted price minus the grant. With the £7,500 grant and 0% VAT in play, the amount you actually pay can be far lower than the headline installation cost.
How much will you actually pay?
This is the question everyone asks, and the honest answer is: it depends on your property. The grant is fixed (£7,500 for most heat pumps), but the total installation cost varies with the size of your home, the heat pump model, and how much supporting work your radiators and pipework need.
What you can say with confidence:
The £7,500 grant comes off the installer's price — it's not a discount code or a rebate you claim later
0% VAT applies to qualifying installations until 31 March 2027
Eligible off-gas-grid oil/LPG homes may benefit from the £9,000 uplift until 31 March 2027
Get written quotes and compare the after-grant price, not just the headline figure. That's the number that matters to your wallet.
Common mistakes to avoid
Choosing a non-MCS installer. No MCS certification means no grant. Check the MCS register before you commit.
Skipping the heat loss survey. A heat pump sized by guesswork will cost you in comfort and bills. Insist on a proper assessment.
Forgetting the supporting work. Radiators, cylinders and pipework upgrades add cost — make sure they're in the quote.
Assuming you'll qualify without checking. Previous BUS funding on the property, ineligible property types and installer issues can all derail an application. Check first.
Boiler Upgrade Scheme FAQs
Can landlords apply?
Yes. The scheme is open to homeowners whether they live in the property or let it out.
Do I need an EPC?
No — the EPC requirement was removed in April 2026.
Can I get BUS if I've already had a grant?
Not for the same technology on the same property. A property that already received BUS funding for a heat pump can't get it again.
What about the £9,000 uplift?
Homes in England and Wales that are off the gas grid and heated by oil or LPG may qualify for an uplifted grant of £9,000 for qualifying heat pumps. It's available until 31 March 2027 and is subject to eligibility and property assessment.
How long does the whole process take?
Typically several weeks from first quote to finished installation, depending on installer availability and Ofgem processing times. Start early rather than waiting for your old boiler to fail.
Can you combine BUS with other support?
A common question: can you stack the Boiler Upgrade Scheme with other grants? The short answer is that BUS generally can't be combined with other public funding for the same installation — you can't get BUS and ECO4 money for the same heat pump, for example.
But you can sequence different support sensibly:
Insulation first through ECO4 (if you're eligible), then a heat pump through BUS — different measures, different schemes
0% VAT applies alongside BUS automatically on qualifying installations until 31 March 2027
Smart tariffs: once your heat pump is in, a time-of-use electricity tariff designed for heat pumps can cut running costs — ask installers what they recommend
If you're on a low income, it's worth checking ECO4 before committing to BUS — ECO4 can fully fund measures, while BUS always leaves you a balance to pay.
What if your BUS application is refused?
Refusals happen, and they're not always the end of the story. Common reasons include:
The installer wasn't MCS-certified at the time of application
The property had already received BUS funding
Paperwork errors — wrong address details, missing consent forms
The proposed system didn't meet the scheme's technical requirements
If Ofgem refuses, your installer should explain why. Paperwork errors can usually be fixed and resubmitted. If the property itself is ineligible, ask about alternatives — ECO4, local authority schemes, or 0% finance options. And if your installer can't give you a straight answer about the refusal, that's a red flag about the installer, not the scheme.
Check if you qualify
The Boiler Upgrade Scheme could take £7,500 — or up to £9,000 for eligible off-gas-grid homes — off the cost of a heat pump, with 0% VAT on top until March 2027. But every property is different, and the only way to know where you stand is to check.
Fairway Energy offers a free 60-second eligibility check — no obligation, no pushy sales calls. We're an independent service, not the government and not an installer.
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