UK Boiler Upgrade Grant: Financial Assistance for Green Heating

UK Boiler Upgrade Grant: Financial Assistance for Green Heating

Against the backdrop of global climate change, the UK government is committed to achieving a net zero target by 2050 to reduce greenhouse gas emissions. The Boiler Upgrade Scheme (BUS) was created to provide owners with tangible financial incentives.

Ⅰ. What is the Grant Scheme

The Boiler Upgrade Grant Scheme provides funding to owners of residential and small non-residential buildings in England and Wales to encourage them to replace existing fossil fuel heating systems. This grant is particularly suitable for the following types of low-carbon heating systems:

  • Air Source Heat Pump: As an efficient heating and hot water system, air source heat pumps can absorb heat from the outside air and provide a grant of up to £7,500.

  • Ground Source Heat Pump: This system circulates liquid through underground pipes, using the constant temperature of the ground to provide heating and cooling, providing a grant of up to £7,500.

  • Biomass Boiler: In certain circumstances, a grant of up to £5,000 is provided.

Ⅱ. Benefits of getting a grant

If you currently have an oil, LPG or electric boiler, electric heater or storage heater, you are likely to save money on your heating bills. This is because heat pumps use three to four times less energy than other heating systems. The government encourages the use of low-carbon energy technologies, which means that in the future it may be cheaper to run a heat pump than a gas boiler.

Ⅲ. How can I get a grant?

Almost all homeowners and landlords in England and Wales are eligible for a £7,500 grant from the UK government, provided that you have not already received a grant to install a heat pump or biomass boiler. The Scottish Home Energy Grant provides a grant of up to £7,500, with rural areas receiving up to £9,000.

Ⅳ. What if the grant is not enough?

In addition to the grant, some parts of the UK also offer interest-free loan schemes to help homeowners who cannot immediately afford to install a low-carbon heating system. The Scottish Home Energy Loan provides an additional interest-free loan of up to £7,500, provided by Home Energy Scotland, funded by the Scottish Government. In terms of commercial loans, many banks and building societies offer loans and mortgages at discounted rates to support homeowners in covering the costs of low-carbon and energy-efficient upgrades to their properties.

Ⅴ. How to apply for a grant?

Homeowners can submit an application by visiting the official website of the Boiler Upgrade Grant. The application process includes filling out an online application form, providing details of the property and current heating system, and selecting a new low-carbon heating system.

Ⅵ. Real case analysis

Helen lives in a 100-year-old detached stone farmhouse in Shropshire. She previously built a small house that was as environmentally friendly as possible, but did not install a heat pump because she did not know much about heat pumps. After learning about the boiler upgrade grant program, Helen decided to install an air source heat pump. She received a grant of £7,500, which almost covered most of the cost of installing the heat pump. Helen said that the heat pump not only reduced her energy bills, but also improved the comfort of her home. Now, her house is warmer in winter and more environmentally friendly.

Ⅶ. Conclusion

The boiler upgrade grant scheme is a key financial incentive for the UK to drive a green heating transition. Through this scheme, UK households and small businesses can enjoy cleaner and more affordable heating options while contributing to reducing carbon emissions. Now is the time to upgrade your heating system and take advantage of this government-backed grant scheme.