What is the Boiler Upgrade Scheme (BUS)?

Samuel Roberts • January 24, 2026

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Available in England and Wales, the Boiler Upgrade Scheme is a government grant that can be paid to homeowners and business owners who want to upgrade their existing fossil fuel boiler to one that is considered to be more environmentally friendly.


Up to £7,500 is available for each installation of either a ground source heat pump, an air source heat pump, or a biomass boiler. There are some eligibility criteria that you must meet to be considered for the grant, but if successful, this could offset at least some of the cost of the installation.


This grant has been active for the last two years, and it represents the effort that the government are putting in to encourage homeowners (and small business owners) to make the change to a more environmentally friendly source of heating. This aim originally came from the Climate Change Act 2008, where the government pledged to reduce the greenhouse gases produced by the UK by at least 80% (compared to 1990 levels) by 2050.


Heating and other domestic energy use are responsible for almost 40% of the total emissions in the UK, according to data from the ONS in 2021, and this is something that definitely needs to change. The Boiler Upgrade Scheme, therefore, is designed to make upgrading and installing more cost-effective in the long run for normal, eligible households.


If you are interested in upgrading your central heating and hot water systems to something that is intended to not only reduce your carbon footprint but also save money on your energy bills, then you can speak to the Renewables team at GMS, who would be happy to discuss your options.

Who is Eligible for the Boiler Upgrade Scheme?

The BUS is available for homeowners and small business owners who match the following criteria:


  • Own the property where the upgrade is to take place.
  • Hold a valid EPC for the property.
  • The property has an installation capacity of up to 45kWTh.


Properties that are currently being built are not eligible, but completed new build properties are. The BUS grant cannot be used to replace existing low-carbon systems.


You can only access the BUS by using a Microgeneration Certification Scheme (MCS) accredited installer.

The MCS Certified logo featuring white dotted letters on a black background above the black text

How does the Boiler Upgrade Scheme Work?

If you are considering upgrading your system, then the first thing you need to do is discuss your options with an expert. Our Renewables team is a great place to start – we can visit your property and see which of the three options would be best for you.


For example, if you live in a large, detached property with acres of land, then you might want to consider a ground source heat pump. If you have a smaller rural property that is not on the gas grid, then a biomass boiler might be best. Without expert guidance, you might not understand all the options available to you.


Once you have made your decision, your installation team will agree on a quote for completing the work. This might include certain upgrades to your property, including improving the insulation or even installing underfloor heating to improve efficiency.


If you are happy with the quote, the MCS-certified installation team will apply for the grant on your behalf. The value will be taken off the final invoice amount.


The details above relate to the funding that is available for properties in England and Wales; other schemes are available in Scotland and Northern Ireland.

How much is available?

The grant amounts are below:


  • Ground Source and Air Source Heat Pumps – £7,500
  • Biomass Boilers – £5,000.


To find out more about the BUS and the options for reducing your carbon footprint while improving the efficiency of your heating system, contact us today.

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