How to Apply to the Boiler Upgrade Scheme

The Boiler Upgrade Scheme is currently the largest heating grant available to homeowners in England and Wales, where up to £7,500 is offset from the cost of a biomass boiler or heat pump installation. The goal of this scheme is to reduce the amount of gas boilers in operation and help the UK reach net-zero targets.

But is upgrading to a heat pump worthwhile? Are there any factors to consider before applying? And how does one apply for it?

How the Boiler Upgrade Scheme Works

To qualify for the BUS, you must own your property, currently rely on an oil or gas boiler to heat your home, and have a valid EPC certificate issues in the last 10 years. Furthermore, the EPC certificate should not have a recommendation for a major form of insulation, such as cavity or loft insulation, unless you have a valid exemption.

To apply for the scheme, you have to gather quotes from MCS certified biomass or heat pump installation companies. Your chosen installer will apply to Ofgem and, when approved, will discount the grant money off your final invoice. For the full list of criteria, check the government website.

There is currently a limit to the number of households that can apply for the BUS, and there are an estimated 7,000 places left. That said, it is possible the scheme could be extended to serve more households.

The Advantages of the Boiler Upgrade Scheme

There are very valid reasons the government is focussing on the installation of heat pumps. They are highly efficient, able to produce over 2kWh of heat for every 1kWh of electricity used – making them much more efficient than electric water heaters. Provided your home is suitable for a heat pump installation, you will find many benefits from switching away from a gas boiler.

As they run only on electricity, there is potential to offset the cost of electricity if your property has a form of renewable energy generation. While the cost of national grid electricity is higher than gas at the time of writing (December 2024), as the UK moves towards renewable electricity generation, this price is expected to fall.

As well as heating, pumps can function as a source of cooling. Considering the hot summers the UK has been experiencing the past few years, this can be an essential feature to reducing the temperature of a property.

As for the scheme itself, the primary advantage is assistance in reducing or removing reliance on gas and switching to renewables. Getting a heat pump is the first step to switching to a more efficient and cost-effective heating system. Underfloor heating combined with a heat pump is up to 40% more efficient than radiators paired with a heat pump, and you can save between 15 to 40% on your heating bills compared to a gas boiler and radiant heating.

The Disadvantages of the Boiler Upgrade Scheme

Heat pumps at this point in time are more expensive to install than a boiler, which makes this scheme essential to offsetting the costs, but it doesn’t cover the full cost of installation. You may still have to pay a significant amount for the remaining part of the invoice. For low-income households, this may not be the most appropriate solution to cutting utility costs.

Heat pumps also work significantly differently to boilers, making it essential that you understand what you are getting into. They are most efficient when heating at lower temperatures than a gas boiler would. This is best with powering underfloor heating, which doesn’t need high flow temperatures to function efficiently. With radiant heating, however, you may notice a difference in how the property is heated than before.

Is the Boiler Upgrade Scheme Worthwhile?

If you are looking for an immediate solution to cut your bills, the Boiler Upgrade Scheme does not provide a quick fix. That said, it is a significant discount on the installation of a renewable heat source and paves the way for improvements with the potential to significantly cut costs in the long run.

At EasyFlow, we’re partnered with MCS certified heat pump installers who can apply for the scheme on your behalf. To find out more about your eligibility with the Boiler Upgrade Scheme, talk to us for a free consultation.