Can you get a grant for air conditioning now the Boiler Upgrade Scheme covers air to air heat pumps

Can you get a grant for air conditioning in your home?

Yes, you can get a grant for some air conditioning-style systems, but only where we install them as eligible air-to-air heat pumps that heat the home. The Boiler Upgrade Scheme is not a grant for cooling-only air conditioning, and the system must fit the scheme before you rely on it.

Residential Air Conditioning Outdoor Condenser Installation - Illustrative Image
Residential Air Conditioning Outdoor Condenser Installation – Illustrative Image
Table of Contents

    Get the short answer first

    Most confusion starts with the word “air conditioning”. The scheme focuses on eligible heat pump heating systems, so the right question is whether the proposed installation works as part of your home’s heating provision.

    GOV.UK now lists a £2,500 grant toward an air-to-air heat pump under the Boiler Upgrade Scheme, also known as BUS. Ofgem says the grant should be shown to the property owner as an upfront discount on the installer’s quote, so you should not plan on receiving the cash personally after the work is done.

    A quick comparison helps separate the promising ideas from the risky assumptions.

    System idea Grant position What matters
    Cooling-only air conditioning Do not treat it as qualifying It is not being installed as the home’s heating provision
    Air-to-air heat pump used for heating and cooling It can qualify if BUS conditions are met It must be an eligible heating system
    Hybrid setup with a gas boiler kept as part of the heating system Treat this as an exclusion risk Hybrid heat pump systems are not eligible

    That distinction matters before you choose equipment, because the grant follows the heating role of the system, not the familiar look of the indoor unit.

    Define the system properly

    An air-to-air heat pump is a heating-and-cooling system that moves heat between outside air and indoor air. Many people recognise it as split air conditioning, with an outdoor unit connected to one or more indoor units.

    Some split and multi-split systems look like the air conditioning you already know from homes, offices or hotels. In heating mode, though, the system is doing heat pump work. A multi-split system means one outdoor unit serves several indoor units, which can suit homes where different rooms need separate control.

    Air-to-air differs from an air-to-water heat pump because it heats rooms through indoor air units, instead of feeding hot water through radiators or underfloor heating in the same way. That difference is central to grant planning, because a neat wall unit in a bedroom tells you very little about whether the whole home heating arrangement fits BUS.

    When we look at a property, we start with the heating job the system has to do. Room coverage, controls, outdoor-unit position and pipe routes matter more than whether a unit happens to cool the room in summer. The label on the wall unit matters less than the role the system plays.

    Residential Air Conditioning Full Home Installation View - Illustrative Image
    Residential Air Conditioning Full Home Installation View – Illustrative Image

    Check the eligibility tests

    Eligibility is not decided by calling a system “air conditioning”. A Boiler Upgrade Scheme air-to-air heat pump has to sit inside a qualifying residential heating project, with the right installer route from the start.

    • Start with the property type. Air-to-air heat pump support under BUS is for residential buildings. That matters if you own or manage a mixed portfolio, because a commercial cooling project is a different conversation.
    • Look at what the new system replaces. The installation must replace an existing fossil fuel or electric heating system, and it must not replace an existing low-carbon heating system. We treat this as an early filter, because it shapes the whole grant position.
    • Test the space-heating role. A BUS-funded heat pump must be sized to meet the full space heating needs of the property. A system added to cool a few warm rooms will not answer the same question.
    • Handle the gas boiler point carefully. GOV.UK says hybrid heat pump systems, such as a gas boiler combined with an air source heat pump, are not eligible for a BUS grant. If your plan depends on keeping gas as part of the heating system, the grant case needs close scrutiny.
    • Use the right certified installer route. Ofgem says eligible BUS installations must be installed and commissioned by an installer certified by the Microgeneration Certification Scheme, usually shortened to MCS. Certification is part of the route into the grant, not an afterthought.

    Those checks are a useful filter, but one issue still catches people out: hot water.

    If a quote mentions a grant amount, check whether it also explains why the system qualifies as heating provision. The eligibility case should be visible in the specification, not left implied.

    Isabella Garcia
    Isabella Garcia HVAC Engineer

    Resolve the hot water question

    A wall-mounted unit can heat a room very well, but room heating is not the same as a complete heating-and-hot-water strategy. This is where many air conditioning heat pump grant plans need more care than the headline suggests.

    Separate room heating from hot water

    Air-to-air heat pumps heat spaces through indoor air units. They do not provide domestic hot water in the same way as an air-to-water heat pump, so the property’s hot water plan cannot be left hanging.

    Ofgem’s position is clear that the new heating system must be capable of meeting the full space heating and hot water requirements of the property. In practice, that means we look at the whole arrangement, including the air-to-air equipment. A supplementary non-fossil-fuel appliance may form part of the discussion, but the correct setup depends on the home.

    Avoid hybrid assumptions

    A retained gas boiler can look like a simple answer to the hot water problem, especially in a London home where the existing system already works. The grant risk is that a fossil-fuel boiler kept as part of the heating arrangement can move the project into hybrid territory, which BUS excludes.

    At RightAir Solutions, we want the grant position, system design and installation route to be clear before the specification is treated as settled. That means the hot water question belongs near the start of the design conversation, not after indoor units and locations have already been chosen.

    Residential Air Conditioning Bedroom Install - Illustrative Image
    Residential Air Conditioning Bedroom Install – Illustrative Image

    Plan the application route

    Some homeowners expect to pay for the installation, then claim back a separate rebate later. BUS does not work that way for a properly structured air-to-air heat pump grant.

    Ofgem describes the Boiler Upgrade Scheme as installer-led. The installer applies on the property owner’s behalf, deals with the scheme administrator, confirms the installation and claims the grant at the end of the project. You still need to be aware of what is being applied for, but you should not have to run the claim as a separate side project.

    For your quote, the practical test is simple. The grant treatment should be visible early, alongside the proposed system design and the certified installation route. If the quote talks about a £2,500 grant for air con but does not explain why the system is eligible as heating provision, the paperwork is ahead of the design.

    For flats and leasehold homes, assess consent and outdoor unit position at the same time as grant eligibility. Those issues often decide whether the project is workable, even when the system itself appears to qualify.

    Martin Nulty
    Martin Nulty HVAC Engineer

    Test the London property fit

    When we look at London properties, the grant is only one part of the decision. A home can look promising under BUS and still need proper checks around outdoor-unit placement, consent, planning and neighbour impact.

    Flats and leasehold homes in West and North West London need particular care. You may need freeholder consent, and external equipment can raise planning or building appearance issues, especially in conservation areas or visually sensitive buildings. Those checks do not disappear because a system has a possible grant route.

    Outdoor-unit position affects more than appearance. It affects sound, access for maintenance, pipe routes and how cleanly the installation sits within the property. A discreet system is planned from the outside in as well as from the rooms you want to heat and cool.

    The Planning Portal says an air source heat pump installation is permitted development only if it complies with Microgeneration Certification Scheme Planning Standards, MCS 020, or equivalent standards. It also says that from 28 May 2026, MCS 020 is the only permitted certification scheme for that permitted development route.

    For RightAir Solutions, we treat those property checks as part of system design, especially where older buildings, flats and shared boundaries are involved. Grant-eligible still has to mean workable on your building.

    Residential Air Conditioning Pipework Installation - Illustrative Image
    Residential Air Conditioning Pipework Installation – Illustrative Image

    Reframe the grant decision

    The better question is whether your home can support an eligible, well-designed air-to-air heat pump system that handles heating, hot water, property constraints and certification in one joined-up plan.

    Grant eligibility should never lead the design. A system that fits the scheme on paper still has to heat the right spaces, work with the hot water plan, keep external equipment in the right place and suit the finish of the property. In London homes, that is rarely a model-number decision.

    We see the strongest projects start with the property, then test the grant around that reality. The grant can reduce the cost of the right installation, but it cannot turn the wrong design into a good one.

    Not sure which option suits your property? We can talk it through with you, get in touch.

    Questions homeowners ask us about air-to-air heat pump grants

    Does cooling still work if the system is installed as a heat pump?

    Yes, an air-to-air heat pump can provide cooling as well as heating. The grant question turns on whether the installation is an eligible heating system, not whether cooling is available.

    Can a flat qualify for the Boiler Upgrade Scheme?

    A flat can be considered if the installation meets the scheme conditions, but permission, outdoor-unit placement and building constraints need careful checking. Leasehold and freeholder issues are separate from grant eligibility.

    Do I apply for the £2,500 grant myself?

    No, the Boiler Upgrade Scheme is installer-led. The grant should normally appear as an upfront discount in the quote rather than as cash paid to you after installation.

    Is every split air conditioning system an air-to-air heat pump?

    No, you should not assume that from appearance alone. The system specification, heating role and certified installation route decide whether it can be treated as an eligible air-to-air heat pump.

    Can the grant be used for a rental property?

    A residential rental property can be considered under the residential rules, provided the wider scheme conditions are met. Non-residential air-to-air heat pump installations are not eligible for this grant.

    This is general information, not professional advice.

    If you would like this looked at properly for your home, speak to our team.

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