The Boiler Upgrade Scheme - Heat Pump Grants
The Boiler Upgrade Scheme (BUS) is part of more than £3.9bn of funding announced in the Heat and Buildings Strategy to help cut carbon emissions from homes.
Under the scheme, eligible homeowners in England and Wales will be able to receive government grants for the purchase of low-carbon heating systems such as heat pumps, which are more environmentally-friendly than fossil fuel boilers.
BUS is designed to provide a simple process for you to obtain the discount by minimising what you need to do to benefit from the £7,500 grant.
It is an ‘installer-led’ two stage application process, which means that your chosen installer will apply for and then redeem the voucher. The chosen installer will need to be certified by MCS. This demonstrates that they are technically competent, and that the installation will be compliant with this aspect of scheme requirements.
It will also ensure that you are covered by consumer protection schemes governing the products and their performance, as well as the quality of the installation and service you receive from the installer.
Click the button below to download further information about the BUS scheme.
Home Energy Scotland Grant
Property owners in Scotland can apply for heat pump grant funding without taking out a loan. A rural uplift is also available to provide extra support to rural and island homes which can face increased costs to install home improvements
Heat pump grant funding for energy efficiency improvements including air source heat pumps is up to 75% of the combined cost of the improvements, up to the maximum heat pump grant amount of £7,500, or £9,000 if the household qualifies for the rural uplift.
Click the button below to learn more.
Zero VAT for the Installation of Heat Pumps and other "energy saving materials"
Until 31st March 2027 a new heat pump system installation is subject to Zero VAT in England, Scotland and Wales - this is on top of the Boiler Upgrade Scheme heat pump grant.
Zero Rate VAT also applies to ancillary supplies to the installation. The zero rate applies to any necessary extra work that needs to be done as part of the heat pump installation including heat emitters. Because a heat pump installation generally provides heat at a lower temperature than a fossil fuel boiler there may be a need to increase the number or size of the radiators as part of the ancillary work or to install underfloor heating.