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Grants Increase To £7500- The Heat Pump Revolution

A win-win for the environment and your wallet!

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Changes to the ‘Boiler Upgrade Scheme’

I am sure you have all heard of the ‘Boiler Upgrade Scheme‘ introduced by the british government in 2022, alongside the UK’s governments plan to meet their net-zero target by 2050. In the past month some major changes have been announced, the most important being the revised amount you can receive for a heat pump installation. This is great for UK property owners, as heat pumps aren’t just better for the environment, they’re most cost-effective to run!

The’Boiler Upgrade Scheme’ has now been adjusted to allow for grants of £7,500 to be given for air source heat pumps and ground source heat pumps. This is a giant increase of 50% in relation to air source heat pumps, which previously only received a £5,000 grant, and a slightly smaller increase for ground source heat pumps as these grants were previously £6,000.

The new grant amounts will be available from the 23rd of October, meaning if you have already redeemed a voucher under the ‘Boiler Upgrade Scheme’ you will not receive an uplift to the adjusted amount. Although, if you currently have a live voucher application you can still revoke your voucher and re-apply for the increased amount at the end of October.

2 older external heat pump units

Other considerations

Energy Performance Certificate

To be eligible for a heat pump grant, you need to ensure that you have had an EPC performed in your property within the last 10 years. This may be a given for most property owners if they lease their property or run a business from the premises, but for those who own a property for solely residential purposes this might not be the case.

If your EPC has detailed recommendations for loft or cavity wall insulation, these suggestions will need to be addressed before you are approved for a heat pump grant. This is because properly installed insulation is required, in order for your heat pump to function sufficiently.

Biomass boilers

Although the ‘Boiler Upgrade Scheme’ is to replace non-renewable systems with cleaner energy options, not all of these options have received the increased grant amounts.

Biomass boilers do receive a grant but this will remain at the original amount given in 2022, £5,000. Another thing to remember, is that biomass boilers are only available under the scheme, if you live in what is classed as a rural area. A rural area is deemed such, if the population is of 10,000 people or less.

Solar thermal systems are not included in this scheme either and there is no other scheme covering these appliances.

Time-limit

At this moment in time the ‘Boiler Upgrade Scheme’ is due to end in 2028, but as other parts of the net-zero plan have been pushed back, it is likely this will be extended or replaced with another similar scheme. An example of one of these pushbacks is the extension of the gas boiler ban, which will no longer be taking place by 2035.

Another time-limit related to the ‘Boiler Upgrade Scheme’ is when the grant vouchers need to be used by. Vouchers for air source heat pumps need to be used within 3 months of receiving and vouchers for ground source heat pumps need to be used within 6 months of receiving.