How Much Is the Heat Pump Grant UK? Full Breakdown for 2026

The most common question we receive is simple: how much is the heat pump grant? The headline answer is £7,500 through the Boiler Upgrade Scheme in England and Wales. But the full picture is more nuanced — depending on where you live, your income, and your property type, you could receive significantly more.

This guide breaks down every heat pump grant amount available across the UK in 2026, shows you what you will actually pay out of pocket, and explains how to stack multiple funding sources to minimise your costs.

Quick Answer: Heat Pump Grant Amounts by Nation

Here is what you can get in each part of the UK:

England: £7,500 (BUS grant) — potentially more with local authority top-ups
Scotland: Up to £7,500 grant + £7,500 interest-free loan = £15,000 total support
Wales: £7,500 (BUS grant) or fully funded through Nest for eligible households
Northern Ireland: Smaller grants available through NISEP and local schemes

Now let us look at each scheme in detail.

England: The Boiler Upgrade Scheme — £7,500

The Boiler Upgrade Scheme (BUS) is the main heat pump grant for England and Wales. Here are the exact amounts:

Air source heat pump: £7,500
Ground source heat pump: £7,500
Biomass boiler (rural only): £5,000

History of BUS Grant Amounts

The BUS grant has increased over time:

April 2022 (launch): £5,000 for air source, £6,000 for ground source
October 2023: Increased to £7,500 for both air source and ground source
Current (2026): £7,500 — extended to March 2028

The increase from £5,000 to £7,500 in October 2023 made a substantial difference to uptake. At £7,500, the grant covers roughly half to two-thirds of a typical air source heat pump installation.

What You Actually Pay in England

Here are realistic examples of what you would pay after the BUS grant:

Small air source heat pump (2-3 bed terrace): Total cost £9,000 — BUS grant £7,500 — you pay £1,500
Medium air source heat pump (3-4 bed semi): Total cost £12,000 — BUS grant £7,500 — you pay £4,500
Large air source heat pump (4-5 bed detached): Total cost £15,000 — BUS grant £7,500 — you pay £7,500
Ground source heat pump: Total cost £20,000-£35,000 — BUS grant £7,500 — you pay £12,500-£27,500

For a more precise estimate based on your property, use our heat pump calculator. For a detailed breakdown of costs, see our heat pump cost guide.

England: Additional Funding on Top of BUS

The BUS grant is not the only money available. You may be able to access additional funding:

Local Authority Top-Up Grants

Some local councils offer additional grants of £1,000 to £5,000 on top of the BUS grant. These vary by area and are often means-tested. If your council offers a £3,000 top-up, your total grant becomes £10,500.

ECO4 — Fully Funded

If you are on a low income or receive means-tested benefits, the ECO4 scheme can cover the entire cost of a heat pump installation — meaning you pay nothing. ECO4 cannot be combined with the BUS grant, but for eligible households, it is the better option because it covers 100% of costs.

Home Upgrade Grant (HUG) — Up to £25,000

If your home is off the gas grid and you are on a low income, the Home Upgrade Grant can provide up to £25,000 for energy efficiency improvements including a heat pump. This is delivered through your local council.

Scotland: Up to £15,000 in Total Support

Scotland offers the most generous heat pump funding package in the UK through Home Energy Scotland (HES):

HES grant: Up to £7,500
HES interest-free loan: Up to £7,500 (repayable over up to 10 years)
Total support: Up to £15,000

What Scottish Homeowners Actually Pay

Typical £12,000 installation: £7,500 grant + £4,500 loan = £0 upfront (then repay the loan at roughly £37.50 per month over 10 years, interest-free)
Typical £15,000 installation: £7,500 grant + £7,500 loan = £0 upfront (then repay the loan at roughly £62.50 per month over 10 years, interest-free)

The combination of a substantial grant and an interest-free loan means many Scottish homeowners can install a heat pump with nothing to pay upfront. The loan repayments are often offset by energy bill savings, particularly if you are replacing oil or LPG heating.

Additional Scottish Support

Rural and island areas: Additional funding may be available for remote properties where installation costs are higher
Warmer Homes Scotland: Fully funded installations for eligible low-income households, including pensioners and those on means-tested benefits
Area-based schemes: Some Scottish councils offer additional local funding

Wales: £7,500 or Fully Funded

Welsh homeowners have two main routes:

BUS Grant — £7,500

Wales is included in the Boiler Upgrade Scheme alongside England. The same £7,500 grant is available for air source and ground source heat pumps, with the same eligibility criteria.

Nest Scheme — Fully Funded

The Nest scheme provides free energy efficiency improvements, including heat pumps, for low-income and vulnerable households in Wales. If you qualify for Nest, you pay nothing at all.

Nest eligibility is based on:

Receiving means-tested benefits
Living in a home with an EPC of E, F, or G
Having a low household income

Northern Ireland: What Is Available?

Northern Ireland is not covered by the BUS grant. Heat pump funding in Northern Ireland comes from different sources:

Northern Ireland Sustainable Energy Programme (NISEP): Grants for energy efficiency improvements, including heat pumps, targeted at low-income households
Boiler Replacement Allowance: Previously offered grants for replacing old boilers, though this has been paused and replaced by newer programmes
Council schemes: Some Northern Irish councils run their own energy efficiency programmes

Grants in Northern Ireland tend to be smaller than in the rest of the UK. Contact the Northern Ireland Energy Advice Service for the most current information on available funding.

Maximum Possible Funding: Best-Case Scenarios

Here are the best-case funding scenarios for each part of the UK:

England — Best Case

BUS grant: £7,500
Local authority top-up: £3,000 to £5,000
Total: £10,500 to £12,500

Or, if ECO4 eligible:

ECO4: Full cost covered (£10,000 to £15,000+)
You pay: £0

Scotland — Best Case

HES grant: £7,500
HES interest-free loan: £7,500
Total support: £15,000 (£7,500 free, £7,500 interest-free loan)

Or, if Warmer Homes Scotland eligible:

Full cost covered
You pay: £0

Wales — Best Case

Nest scheme: Full cost covered
You pay: £0

Or if not Nest eligible:

BUS grant: £7,500
You pay: Remainder of the installation cost

How the Grant Is Paid

An important detail: the BUS grant is not paid to you directly. It is paid to your MCS-certified installer through the Ofgem portal. The installer deducts the grant from your bill, so you only pay the difference.

For example, if your installation costs £12,000 and you receive the £7,500 BUS grant, your installer's invoice will show the full cost minus the grant, and you pay £4,500. You never need to find the full amount and wait to be reimbursed.

In Scotland, the HES grant and loan work similarly — funding is arranged before installation begins, and you only pay your share (if any) on completion.

Will the Grant Amount Increase?

There is no guarantee that grant amounts will increase, but the trend has been positive. The BUS grant increased from £5,000 to £7,500 in 2023, and there has been industry discussion about further increases. The government's target of 600,000 heat pump installations per year by 2028 may require additional incentives.

That said, waiting for a potential increase is risky. The current £7,500 grant is confirmed until March 2028, and heat pump prices are gradually falling as the market grows. Installing now with the current grant is likely to be a better financial decision than waiting for an uncertain future increase.

How to Maximise Your Grant

Check all available schemes. Do not assume the BUS grant is your only option. Check local authority grants, ECO4 eligibility, and nation-specific schemes
Get your EPC sorted. The BUS grant requires a valid EPC with no outstanding loft or cavity wall insulation recommendations
Get multiple quotes. Compare quotes from MCS-certified installers to ensure you are getting the best price, which maximises the impact of the grant
Ask your installer about local funding. Good installers know what local schemes are available
Check benefits entitlement. If you receive or qualify for means-tested benefits, you may be eligible for fully funded installation through ECO4 or equivalent

Frequently Asked Questions

How much is the heat pump grant in 2026?

The main grant is £7,500 through the Boiler Upgrade Scheme in England and Wales. In Scotland, you can get up to £7,500 as a grant plus £7,500 as an interest-free loan through Home Energy Scotland.

Is the £7,500 grant enough to cover the full cost?

For most installations, no. A typical air source heat pump costs £9,000 to £15,000. The grant covers a substantial portion, but you will usually need to pay some of the cost yourself — unless you qualify for a fully funded scheme like ECO4.

Do I have to pay the money back?

No. The BUS grant and HES grant are genuine grants, not loans. You do not repay them. The HES interest-free loan in Scotland does need to be repaid, but it carries no interest.

Can I get more than £7,500?

Yes. In Scotland, total support can reach £15,000. In England, some local councils offer top-up grants of £1,000 to £5,000 on top of the BUS grant. Low-income households may qualify for fully funded installation through ECO4.

Has the grant amount increased?

Yes. The BUS grant increased from £5,000 to £7,500 in October 2023. It could increase again, but there is no confirmed plan to do so.

When does the grant end?

The BUS grant is confirmed until March 2028. See our BUS grant timeline guide for details on the application process.

Ready to apply? Get free quotes from MCS-certified installers who will handle the grant application for you. Use our heat pump calculator for a personalised cost estimate, or read our complete grants guide for full details on every scheme.