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What is Boiler Upgrade Scheme?

Last verified 31 October 2026

The Boiler Upgrade Scheme is a government grant that helps pay for replacing a fossil fuel heating system with a heat pump or biomass boiler. It is open in England and Wales, and Scotland and Northern Ireland have separate options.

Why it matters to landlords

Landlords can apply. GOV.UK says you must own the property, and it lists properties you rent out to tenants among those covered. The system you replace must run on oil, gas, electric or LPG. Social housing, most new builds and properties that already received government support for a heat pump or biomass boiler are not eligible.

The page lists grants of £7,500 for an air source or ground source heat pump, £5,000 for a biomass boiler and £2,500 for an air-to-air heat pump. It also describes an extra payment for some oil or LPG homes with no mains gas, so check the current figure before you plan. The heat pump must be commissioned and installed within 120 days of applying, and biomass boilers have extra conditions. The eligibility page sets no EPC condition.

Example

Karen lets an oil-heated bungalow in Wales and gets a quote of £11,000 for an air source heat pump. With the £7,500 grant she would pay £3,500 before any extra payment, provided the property meets the conditions and the work is finished within 120 days of her application.

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