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Yes, the Boiler Upgrade Scheme (BUS) in 2025 provides a realistic route for UK homeowners looking to replace a fossil fuel boiler with a cleaner and more efficient heating system. The grant of up to £7,500 helps with upfront costs, and the scheme now includes a wider range of systems. If your home is reasonably well insulated and you currently rely on gas, oil or LPG, switching to a heat pump or biomass boiler could lead to lower running costs, reduced carbon emissions and improved energy efficiency. It is especially relevant for properties with a poor EPC rating looking to improve long-term value and comfort.
The Boiler Upgrade Scheme was introduced in 2022 and has been revised in 2025 to cover a broader selection of heating systems and improve accessibility. It supports the installation of low carbon heating technologies by offering financial assistance for qualifying homes and small commercial properties in England and Wales.
The value is deducted directly from the quote provided by an MCS certified installer.
Pro Tip: Before applying, check your property’s EPC online and address any outstanding insulation recommendations to avoid application delays.
The 2025 update brings several important changes. These aim to increase take-up, reduce financial barriers and support a wider range of homes.
These changes are part of the UK government’s plan to decarbonise domestic heating while making upgrades achievable for more households.
You can apply for the Boiler Upgrade Scheme grant if:
It is important to confirm your EPC status before proceeding. If you need to upgrade your insulation first, consider options available through the Great British Insulation Scheme.
Pro Tip: If your home has limited outdoor space, ask your installer if a high wall-mounted air to air unit or compact unit may be suitable under 2025 BUS updates.
System Type | Net Cost After Grant | Seasonal Efficiency Ratio | Estimated Annual CO2 Output |
Modern Gas Boiler | £2,000 to £3,500 | 90 percent | Around 2.7 tonnes |
Air source heat pump | £5,000 to £8,000 | 250 to 300 percent | Roughly 1.0 tonne |
Ground Source Heat Pump | £10,000 to £15,000 | Up to 400 percent | Often below 1.0 tonne |
Heat pumps work by extracting heat from outside air or the ground and converting it into usable energy for space and water heating. While the installation cost is higher, their higher coefficient of performance means you get more heat output for every unit of electricity used. This leads to lower lifetime costs and reduced reliance on fossil fuels.
Feedback from the Great British Home Heating Survey reveals mixed views:
Despite these reservations, many expressed strong interest in reducing their carbon footprint and improving their home’s EPC rating. The introduction of more flexible payment options and technologies in 2025 aims to address the barriers raised in the survey.
Installing a heat pump depends on several technical factors. Not all homes are ideal candidates, but many can be made suitable with minor adjustments.
If you’re unsure, arranging a suitability assessment with an MCS certified installer is the best next step.
If you’re still deciding, you can read more about RightAir’s full air conditioning services including installation, maintenance and free system advice at RightAir’s Air Conditioning Services.
The process is managed by your installer, making it easier for you. Here is how it works:
To ensure eligibility and system performance, always choose an installer listed on the MCS official directory.
Larger systems benefit from energy audits. These can highlight wasted energy, suggest upgrades, and help businesses adopt smart zoning and timed controls that reduce unnecessary cooling.
At RightAir Solutions, we guide homeowners through system selection, installation, and optimisation to ensure cost savings and performance all year round.
MCS certification ensures the installer follows national standards for quality and performance.
Switching to a heat pump significantly reduces household greenhouse gas emissions. Gas boilers are responsible for a substantial share of domestic emissions in the UK.
Replacing an older boiler with a low carbon heating system can reduce your heating emissions by more than half.
Although installing a heat pump involves a higher upfront cost than replacing a gas boiler, the efficiency gains mean you can save over time.
These financial and energy improvements often appeal to homeowners planning to stay in their property long enough to realise the full return.
The Boiler Upgrade Scheme only covers properties in England and Wales. If you live in Scotland or Northern Ireland, there are different schemes available.
If you’re not sure the scheme is right for you, or if your budget is limited, there are still options worth considering:
Matthew Bell, OBE, used the scheme to install an air source heat pump in 2023. He reported lower energy bills, better home comfort and a smooth installation process handled by an experienced installer. His EPC rating improved significantly, and he highlighted the long term savings as a key reason for recommending the switch.
If you live in a property with reasonable insulation, are using a gas or oil boiler and plan to stay in your home for several more years, then the Boiler Upgrade Scheme is a sensible option. The upfront help reduces the cost of moving to low carbon heating, and the long term benefits include lower bills, fewer emissions and a better rated home.
If you would like advice or help finding a qualified installer, contact RightAir Solutions. We support homeowners across the UK to make the switch with confidence.
The Boiler Upgrade Scheme grant is also available to non-domestic buildings, including small businesses. If you own a commercial unit that uses fossil fuel heating, you could qualify for support to install a low carbon system.
The scheme specifically targets homes and businesses in England and Wales. In Scotland, residents may be eligible for grants and loans via Home Energy Scotland, while in Northern Ireland the Boiler Replacement Scheme is now closed. However, other energy saving support may be available through regional programmes.
Heating systems that qualify for replacement under BUS include:
Your installer must apply for the grant on your behalf. This is a key part of the scheme’s design, ensuring technical compliance and reducing the paperwork burden for property owners.
BUS forms part of the wider Help to Heat collection of UK government schemes, including ECO4 and the Warm Home Discount. Households can often benefit from more than one scheme to improve home energy efficiency.
Yes. Landlords can apply as long as the property meets the eligibility criteria, including being in England or Wales and having a qualifying heating system.
The scheme is open to both residential and non-domestic buildings, such as small business properties.
Your MCS certified installer must apply for the grant on your behalf. This ensures proper assessment and eligibility.
Yes. BUS can be combined with other initiatives such as the Great British Insulation Scheme and ECO4, but not with previous heat pump or biomass boiler funding.
Yes. Homes with direct electric systems (not heat pumps) are eligible to apply and switch to a more efficient heat pump system.
Yes. BUS is one of several initiatives under the UK Government’s Help to Heat programme aimed at improving energy efficiency and reducing fuel poverty.
Yes. Small business properties are eligible, as long as they meet technical and geographical criteria.
While BUS is not available in Northern Ireland, homeowners there can check for local grants via NI Energy Advice.
If you need help assessing your eligibility or finding a certified installer, contact RightAir Solutions for trusted guidance.
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