HeatPumpBUS Grant 2026 — Get £7,500 Towards Your Heat Pump
The Boiler Upgrade Scheme (BUS) is the UK government's main grant for heat pump installations. It provides £7,500 towards an air source or ground source heat pump in England and Wales. Your installer applies for you — the grant is deducted directly from your bill. Here's everything you need to know.
Grant amount: £7,500
Available for both air source and ground source heat pumps. Funded until March 2028. Your MCS-certified installer handles the entire application.
BUS Grant at a Glance
| Grant amount | £7,500 for air source and ground source heat pumps |
| Coverage | England and Wales (Scotland has separate scheme) |
| Runs until | March 2028 |
| Who applies | Your MCS-certified installer (not you) |
| Voucher validity | 3 months from date of issue |
| Administered by | Ofgem, on behalf of the Department for Energy Security and Net Zero |
Am I Eligible?
To qualify for the BUS grant, you must meet all of the following criteria:
- ✓ Existing property: The building must already exist. New builds are not eligible, even if they replace a demolished building.
- ✓ Valid EPC: You need an Energy Performance Certificate for the property. Any rating (A to G) is accepted — there is no minimum rating requirement.
- ✓ No previous grant: The property must not have previously received a BUS voucher or Renewable Heat Incentive (RHI) payment.
- ✓ MCS-certified installer: Your installation must be carried out by an installer certified under the Microgeneration Certification Scheme (MCS). This is non-negotiable — only MCS installers can apply for the grant.
- ✓ Property ownership: You must own the property (homeowner or private landlord). Social housing landlords are not eligible.
- ✓ England or Wales: The property must be in England or Wales. Scotland and Northern Ireland have separate schemes.
Note on EPC: While any EPC rating qualifies, the government recommends improving your insulation before installing a heat pump. Read our insulation first guide — better insulation means a smaller heat pump, lower running costs, and a more comfortable home.
How to Apply — Step by Step
The good news: you don't apply directly. Your installer handles everything. Here's how the process works:
Get quotes from MCS-certified installers
Find at least three MCS-certified installers and get written quotes. The quote should clearly show the BUS grant deducted from the total cost.
Choose your installer and confirm
Accept a quote. Your installer will arrange a survey, confirm the system design, and prepare the BUS application.
Installer applies to Ofgem
Your installer submits the grant application through the Ofgem portal. They upload your EPC, property details, and the proposed system specification. You will need to consent to the application — typically a signature on a form.
Voucher issued
Ofgem reviews the application and issues a voucher (typically 2-4 weeks). The voucher is valid for 3 months — the installation must be completed within this period.
Installation and payment
The heat pump is installed. Your installer submits the completion evidence to Ofgem. The £7,500 is paid to the installer, and you pay the remaining balance. You never handle the grant money directly.
Budget Status — Is Money Still Available?
The BUS scheme has a total budget of £3.14 billion and is funded until March 2028. As of early 2026, the scheme is well within budget — take-up has been slower than the government initially projected, meaning there is plenty of funding remaining.
However, installation rates are accelerating. In 2025, BUS voucher applications increased roughly 40% year-on-year. As public awareness grows and more installers enter the market, the pace will continue to increase. There is no indication the budget will run out before March 2028, but there is also no guarantee of extension.
What Happens When BUS Ends in March 2028?
The honest answer: nobody knows for certain. Here are the possible outcomes:
- Extension: The most likely scenario. The government has repeatedly extended heat pump support schemes. The Clean Heat Market Mechanism also creates manufacturer obligations that assume ongoing consumer support.
- Replacement scheme: The grant could be replaced with something different — potentially income-linked, or tied to specific property types. There has been discussion of targeted support for off-gas-grid properties.
- Phase-out: As heat pump costs fall and volumes increase, the government may decide grants are no longer needed. This is unlikely by 2028 but possible by 2030.
- Tax incentives: Some industry groups are lobbying for reduced VAT on heat pumps (currently 0% until 2027, potentially reverting to 5%) and other fiscal measures.
Our advice: If you're considering a heat pump, don't wait for a hypothetical better deal. The £7,500 grant is available now and the 3-month voucher window gives you time to plan. Waiting risks paying more if the grant is reduced or removed.
How Much Will You Actually Pay?
With the BUS grant, most homeowners pay significantly less than the headline installation cost. Here's what typical out-of-pocket costs look like:
| System | Typical Total Cost | BUS Grant | You Pay |
|---|---|---|---|
| Small ASHP (2-3 bed) | £8,000 – £11,000 | -£7,500 | £500 – £3,500 |
| Medium ASHP (3-4 bed) | £10,000 – £14,000 | -£7,500 | £2,500 – £6,500 |
| Large ASHP (4-5 bed) | £12,000 – £16,000 | -£7,500 | £4,500 – £8,500 |
| Ground source | £15,000 – £35,000 | -£7,500 | £7,500 – £27,500 |
For a full cost breakdown including radiator upgrades, hot water cylinders, and regional variation, see our heat pump costs guide.
Related Guides
Heat Pump Costs
Full installation price breakdown for 2026.
Choosing an Installer
How to find MCS-certified installers and compare quotes.
Running Costs
What a heat pump costs to run at different electricity tariffs.
Insulation First
Why insulating before installing saves money long-term.
Frequently Asked Questions
How much is the BUS grant in 2026?
The Boiler Upgrade Scheme provides £7,500 towards air source heat pumps and ground source heat pumps. This was increased from £5,000 (ASHP) and £6,000 (GSHP) in October 2023. The grant amount is the same for both technologies.
Who is eligible for the BUS grant?
You must own the property (or be a private landlord), the property must be an existing building (not a new build), you need a valid EPC (any rating), you must not have received a previous BUS or RHI grant at the property, and the installer must be MCS-certified. The scheme covers England and Wales only.
Do I apply for the BUS grant myself?
No. Your MCS-certified installer applies on your behalf through the Ofgem portal. They handle all the paperwork. The grant is paid directly to the installer, who deducts it from your invoice. You never handle the money — you simply pay the reduced amount.
How long does the BUS grant take to process?
Your installer submits the application after your installation is complete. Ofgem typically processes applications within 2-4 weeks. The voucher is valid for 3 months from the date of issue. In total, expect the full process from application to payment to take 4-8 weeks.
Can I get the BUS grant for a hybrid heat pump?
No. Hybrid systems that combine a heat pump with a gas boiler are not eligible for the BUS grant. Only standalone air source heat pumps and ground source heat pumps qualify. If you want the grant, you need to commit to a full heat pump system.
Is the BUS grant available in Scotland?
No. Scotland has its own scheme through Home Energy Scotland, which offers grants of up to £7,500 plus interest-free loans of up to £7,500 for heat pump installations. Additional support is available for rural and island communities. Visit homeenergyscotland.org for details.
What happens when the BUS grant ends in March 2028?
The scheme is currently funded until March 2028. After that, it may be extended, replaced with a new scheme, or ended entirely. The government has signalled ongoing support for heat pump adoption, but nothing is guaranteed beyond 2028. If you are considering a heat pump, applying while the grant exists is strongly recommended.
Can landlords claim the BUS grant?
Yes. Private landlords who own the property can claim the BUS grant. Social housing landlords are not eligible (they have separate funding programmes). The tenant does not need to be involved in the application — the landlord works directly with the MCS-certified installer.