What is the boiler upgrade scheme and who is eligible?

From 2025, no gas boilers will be installed in new-build homes (Andrew Matthews/PA)
From 2025, no gas boilers will be installed in new-build homes (Andrew Matthews/PA)

A government scheme is encouraging households in England and Wales to upgrade their gas boilers to heat pumps and other low-carbon alternatives.

The Department for Business Energy and Industrial Strategy (BEIS) has found that 78 per cent of UK residents keep warm using gas central heating.

Yet from 2025, no gas boilers will be installed in new build homes.

Additionally, from 2035 all newly installed heating systems will have to be low carbon, for example, with heat pumps.

This effectively means that after 2035, gas boilers are banned.

Here’s what you need to know about the boiler upgrade scheme.

What is the boiler upgrade scheme?

Through the boiler upgrade scheme, you could get a grant to cover part of the cost of replacing fossil-fuel heating systems with a heat pump or biomass boiler.

Chris Delaney, managing director, Green BuildingRenewables, says: “Just like the shift that will happen over the next 10 years to electric cars as manufacturers phase out petrol cars, a similar change will take place in how we heat our homes with low-carbon technology.

“Unless you have a brand new gas boiler, which should last you for the next 10-15 years if regularly serviced and well-maintained, when your existing boiler comes to the end of its life, the next heating solution you should probably be considering for your home will not be a gas boiler.

“The boiler upgrade scheme is a government-backed initiative launched in May 2022 to support the decarbonisation of heat in buildings by providing an upfront grant of £5,000 for air source heat pumps (or £6,000 for ground source heat pumps) to help cover the costs of installing heat pumps and biomass boilers in homes and non-domestic buildings in England and Wales.”

Am I eligible for the Boiler Upgrade Scheme?

Eligibility for the scheme varies depending on specific criteria.

However, in general, homeowners and non-domestic building owners in England and Wales may be eligible for BUS if they install a heat pump or biomass boiler to replace an existing fossil fuel boiler.

The following are excluded from the scheme:

  • Homes outside England or Wales

  • New build developments

  • Social housing properties

  • Installation of hydrogen boilers and hybrid heat pumps

BUS offers the following upfront grants:

  • £5,000 to support the installation of heat pumps and biomass boilers.

  • £6.000 off the cost and installation of a ground source heat pump.

How do you apply?

To apply for the BUS, you must find an eligible installer registered with TrustMark or the Microgeneration Certification Scheme.

The installer will help you through the application process, including by applying on your behalf.

If you are not eligible for funding, other incentives can help reduce the cost of installing energy-efficient measures in your home.

These incentives come in various forms, such as tax credits, rebates, and discounts, and can help make energy efficiency improvements more accessible and affordable.