The single most common thing we hear from homeowners after we complete a heat pump installation is: "I didn't know I could get £7,500 off." Most people assume grants like this don't apply to them, or involve months of paperwork. Neither is true.
The Boiler Upgrade Scheme is straightforward if you're working with the right installer, and 2026 is a good time to use it. Here's exactly how it works.
What the Scheme Is
The Boiler Upgrade Scheme (BUS) is a government grant of £7,500 toward the installed cost of an air source heat pump. It's funded by the Department for Energy Security and Net Zero and administered by Ofgem.
The grant is paid directly to your MCS certified installer, who deducts it from your invoice. You never see or handle the money. You pay the balance.
Who Qualifies
The eligibility criteria are simpler than most people expect:
- Property in England or Wales
- Your primary residence (not a rental property you don't live in)
- A valid EPC (Energy Performance Certificate) for the property — one issued within the last 10 years
- No outstanding EPC recommendations for loft or cavity wall insulation (if applicable to your property)
- Installation by an MCS certified installer — this is non-negotiable, and the reason you can't claim the grant if you use a non-certified company
There is no income limit. The grant is available regardless of what you earn.
What It Costs — Before and After the Grant
Before the grant, a typical air source heat pump installation in a Hertfordshire home costs £10,000–£18,000, depending on property size, system specification and whether radiator upgrades are needed. This covers everything: outdoor unit, hot water cylinder, pipework, controls and commissioning.
After the £7,500 BUS grant, the net cost falls to £2,500–£10,500.
Larger detached properties with older radiators that need upgrading sit at the higher end. A well-insulated semi-detached built in the last 20 years — common across Hertfordshire — often comes in toward the lower end of that range once the grant is applied.
When It's the Right Choice — and When It Isn't
Heat pumps work very well in well-insulated homes. If your property has adequate loft insulation, double glazing and reasonable wall insulation, a correctly sized heat pump will heat your home effectively and run at a lower cost per unit than a gas boiler.
They're not the right fit for every property. If your home is poorly insulated, has very small radiators, or has no space for a hot water cylinder, there are preparatory costs to account for. We'll tell you this honestly during the survey — we won't recommend a heat pump for a property it isn't suited to.
Running differently is not the same as running worse. Heat pumps operate at lower flow temperatures than gas boilers (typically 45–55°C versus 70–80°C) and run more continuously rather than firing on demand. This is more efficient, but it does mean the system feels different to live with. Radiators stay warm rather than getting very hot.
The Process
1. Home survey — We visit the property, assess insulation levels, current radiator sizing and hot water demand, and calculate the right heat pump size. We'll tell you at this stage whether any preparatory work is needed.
2. Fixed quote and grant confirmation — We provide a fixed-price quote covering everything. We confirm your BUS eligibility and handle the application to Ofgem on your behalf.
3. Installation — Most installations take 2–3 days. We remove the old boiler, install the outdoor unit, hot water cylinder, pipework and controls.
4. Commissioning and MCS certificate — We commission the system, test performance, and issue your MCS certificate. This document triggers the grant payment and proves the installation meets scheme standards.
What to Do About Your EPC
Your property needs a valid EPC to be eligible. If you don't have one — or yours has expired (they last 10 years) — you'll need one before we can apply. An EPC assessment typically costs £60–£120 and takes about an hour.
If your EPC shows recommendations for loft or cavity wall insulation that haven't been done, those need to be addressed first. In practice, many Hertfordshire homes built in the last 20–30 years already have both, and solid wall properties don't have a cavity wall recommendation at all. We check this at survey stage.
Why 2026 Is a Good Time to Act
The £7,500 grant was increased from £5,000 in 2023. There is no guarantee it stays at this level — government scheme terms change. Getting the installation done now also means you're ahead of the coming phase-out of gas boiler installations in new properties, rather than trying to act when the market is under pressure.
Get a Free Assessment
We carry out free home surveys across Hertfordshire — Watford, St Albans, Hemel Hempstead, Rickmansworth, Harpenden, Stevenage, Barnet and surrounding areas.
We'll tell you honestly whether a heat pump is right for your home, what it'll cost after the grant, and what the installation will involve. Call 0208 092 1359 or get in touch online.