Boiler Upgrade Scheme (BUS): Upgrade Your Heating and Cut Costs

If your home still runs on an old gas, oil, LPG, or electric heating system, you’re paying more than you need to — both in bills and carbon emissions. The Boiler Upgrade Scheme (BUS) helps you replace outdated heating with modern, eco-friendly options like heat pumps or biomass boilers. Plus, you’ll get a government grant to cover a big chunk of the cost.

What is the Boiler Upgrade Scheme?

The Boiler Upgrade Scheme is a government-backed initiative to help homeowners and small businesses in England and Wales switch to low-carbon heating. In 2025, the scheme got a serious boost, with bigger grants and more funding — making now the right time to act.

BUS Grant Amounts (2025)

You can claim one grant per property, depending on the system you install:

  • £7,500 towards an air-source heat pump

  • £7,500 towards a ground-source or water-source heat pump (including shared ground loops)

  • £5,000 towards a biomass boiler (available only for rural homes not connected to the gas grid)

Important:


Hybrid systems (gas boiler + heat pump combos) are not eligible. Your chosen system must meet minimum efficiency standards, and the maximum capacity is 45kWth for individual systems and 300kWth for shared loops.

Who Can Apply?

BUS is open to most homeowners, landlords, and self-builders in England and Wales. To qualify, you’ll need:

  • A valid Energy Performance Certificate (EPC) issued within the last 10 years.

  • No outstanding recommendations for loft or cavity wall insulation.

  • A property that isn’t a standard new build (self-builds are fine).

2025 Update: Easier Heat Pump Installations

You no longer need to meet the old “1-metre from boundary” rule when installing a heat pump. This change makes it much easier for homes with limited outdoor space to qualify.

How Does the Boiler Upgrade Scheme Work?

The process is simple and hassle-free:

  1. Choose an MCS-certified installer
    They will check your property and provide you with a quote.

  2. Installer applies on your behalf
    You don’t deal directly with Ofgem — your installer does.

  3. Consent & approval
    Ofgem will contact you to confirm the application.

  4. Installation completed
    Your new heating system is installed within 3-6 months.

Voucher redeemed
The installer claims the grant after installation, and you see the saving directly on your invoice.

Why Now? (2025 Scheme Improvements)

The government increased the BUS budget to £295 million for 2025/2026. Ofgem is also allowed to over-allocate vouchers to keep the scheme running smoothly. Heat pump planning rules have been relaxed, and the penalties on boiler manufacturers have been adjusted — all designed to boost heat pump uptake.

Benefits of Switching with BUS

✔ Slash your heating bills
✔ Lower your carbon footprint
✔ Increase your home’s value
✔ Get thousands towards your installation cost
✔ Enjoy a modern, efficient heating system
✔ Future-proof your home against rising energy prices

Ready to Upgrade Your Heating?

We help you through the full process — from selecting an installer to securing your BUS grant and completing the installation.

✅ Fast quotes
✅ Trusted MCS-certified installers
✅ Full grant application support




For advice or guidance get in touch today. Call Tel: 01473 798321 and we’ll do our very best to make the whole process as smooth and stress-free as possible.

Frequently Asked Questions

How much funding is available through the BUS?

For installations completed after October 23, 2023, the grants are:

  • Air Source Heat Pumps: £7,500
  • Ground Source Heat Pumps: £7,500
  • Biomass Boilers: £5,000

Homeowners in England and Wales with existing properties are eligible. New builds don’t qualify unless they’re self-built. A valid Energy Performance Certificate (EPC) without outstanding recommendations for loft or cavity wall insulation is required. 

Once approved, installations are typically completed within 3 to 6 months, depending on the project’s complexity and scheduling.

The BUS grant can be combined with other schemes, such as the Energy Company Obligation (ECO), which provides energy-saving measures like insulation or new boilers for eligible households.

Contact Clima-Tech at 01473 798321 for advice or guidance. Our team will assist you through the entire process, from application to installation, ensuring a smooth transition to an eco-friendly heating system.