What finance options exist for heat pumps besides the BUS grant?

Green home improvement loans, 0% interest finance from some installers, Scotland's HES interest-free loan, local authority top-up grants, and energy company schemes through ECO4.

Heat Pump Funding Options Beyond the BUS Grant

Q: Can I get 0% finance for a heat pump?

Some installers offer 0% interest finance deals on the remaining balance after the BUS grant. In Scotland, the HES interest-free loan provides up to £7,500 at 0% over 10 years.

By Home Heat Pump Guide Published 18 March 2026

UK homeowner reviewing heat pump funding options and finance plans beyond the BUS grant — The BUS grant covers £7,500 (£9,000 for off-gas oil and LPG homes) — but several other routes can help fund the remaining balance, from 0% loans to local top-ups.

The BUS grant takes £7,500 off the top (£9,000 if your home has no mains gas and you are replacing oil or LPG, until 31 March 2027), but what about the rest? The median air source installation in England and Wales costs £12,908 (DESNZ, 2026 Q2), so you still need to find around £5,400 after the standard grant. This guide covers every option for funding that balance — from interest-free loans and installer finance to local authority top-ups and green mortgages.

See what you would pay after the BUS grant

Calculate Your Balance

Then explore funding options for the remaining amount.

All Funding Options at a Glance

Option	Interest Rate	Availability
HES loan (Scotland)	0%	Scotland only
Installer 0% finance	0% (promotional)	Selected installers
Green home loans	3-7% typical	UK-wide
Local authority top-ups	Grant (free)	Varies by council
Green mortgage add-on	Mortgage rate	Selected lenders

Scotland's Interest-Free Loan

Home Energy Scotland offers an optional interest-free loan of up to £7,500 over 10 years. Combined with the HES grant of up to £7,500 (£9,000 for eligible rural and island homes), this can remove most or all of the upfront cost.

Installer Finance Deals

Homeowner and installer discussing heat pump finance options and payment plans — Ask your installer about 0% finance deals — many offer promotional rates on the balance after the BUS grant.

Some MCS-certified installers offer 0% interest finance on the remaining balance. Ask when getting quotes.

Green Home Improvement Loans

Several high-street and specialist lenders offer green home improvement loans specifically for energy efficiency projects. Rates are typically 3-7% and terms range from 3 to 10 years. The monthly repayments can often be offset by the energy bill savings from your heat pump.

Local Authority Top-Ups

Local council grants of £1,000 to £3,000+ can stack on top of the BUS grant, significantly reducing your out-of-pocket cost. Homeowners also adding solar panels may access separate local funding for both technologies.

UK homeowner comparing heat pump funding and loan options at the kitchen table — With the BUS grant plus a local top-up and 0% finance, many homeowners pay nothing upfront and under £100/month.

Ask about finance options when you request a quote

Request a heat pump quote

Check if a heat pump suits your home and request a quote. No obligation.

Work out what you need to fund after the grant

Calculate Your Costs

Shows the balance after the BUS grant — then explore your finance options.

Frequently Asked Questions

What finance options exist besides the BUS grant?

Scotland's HES loan (0%), installer finance, green loans, local authority top-ups, and green mortgages.

Can I get 0% finance for a heat pump?

Yes — Scotland's HES loan is 0%, and some installers offer promotional 0% deals.

About Heat Pump Funding in the UK

Beyond the Boiler Upgrade Scheme, the UK heat pump funding landscape includes interest-free loans, installer finance, local authority grants, and green mortgage products. Scotland's HES loan is the standout option at 0% interest. The complete grants guide covers all available support. Homeowners combining a heat pump with solar panels can often finance both through a single green loan, with combined energy savings covering the repayments.