Heat pump grant rises to £7,500


If you’ve been thinking about making the switch from a from a gas boiler, you might have been considering a heat pump an alternative way to heat your home.

In September 2023, the government announced additional help for home-owners looking to switch to a low-carbon heating system, confirming that heat pump grants in England and Wales would rise to £7,500 from, 23 October. In Scotland, home-owners were already able to claim up to £7,500 towards a installing a heat pump.

The Boiler Upgrade Scheme has been running since 2022, and home-owners installing heat pumps were able to claim £5,000 towards the cost of an air source heat pump, and £6,000 towards the cost of a ground source heat pump.

However, the grant amount has now increased to £7,500, which can be claimed against either an air source or a ground source heat pump.  You can read more about heat pumps here, and also find out the difference between air source and ground source versions.

How can I claim the heat pump grant?

The process of claiming the grant will be handled by your heat pump installer. When the installer visits to complete your heat pump assessment, the quote you’re provided with after this visit will factor in the £7,500 discount. Installers who are certified under a nationally recognised standards organisation – the Microgeneration Certification System – will be able to apply for the grant on behalf of home-owners. This is to give home-owners confidence in the quality of their new heating system.

You can read more about how to apply and eligibility criteria via the government website.

How much will I need to pay?

The government estimates that an air source heat pump will cost around £12,000 – that’s for the system itself, and the installation. So in practice, once the grant amount has been deducted, you can expect to pay around £4,500 towards the cost of a new heat pump for your home.

It’s worth noting that this is an average, and the final cost you’ll pay will be dependent on factors like the size of heat pump required to heat your home, and whether you have any outstanding energy efficiency improvements to make to your home. You can check whether your home has any required recommendations on your Energy Performance Certificate.

READ MORE: A beginners’ guide to heat pumps