At Amco Renewables, we know it can be tough to keep up with specific updates to the Boiler Upgrade Scheme BUS). Thankfully, we have you covered, and are here to explain the latest update from the Department for Energy Security and Net Zero (DESNZ), made on January 30th, 2025.
The update to the BUS grant scheme comes directly from the BUS scheme administrator—DESNZ. The announcement follows on from the news shared in November 2024, that an additional £30 million of funding would be available in this financial year.
On January 30th, DESNZ announced a further £25 million of funding will be made available for the 2024/2025 financial year, increasing the total BUS budget to £205 million.
In addition to increasing this year’s budget, the Secretary of State for DESNZ has given Ofgem permission to over-allocate vouchers up to a total of £280 million, ensuring that vouchers will continue to be available for the remainder of the financial year.
Eager to learn how you can take advantage of the BUS scheme following this exciting update from Ofgem and DESNZ? Read on, as Amco Renewables Explains all things Boiler Upgrade Scheme (BUS).
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What Is The Boiler Upgrade Scheme?
The Boiler Upgrade Scheme is a government grant that offers property owners in England and Wales money off installing low-carbon heating technologies, replacing an existing fossil fuel system, to help decarbonise homes.
The government funding as part of this scheme is designed to make the transition to decarbonised home heating easier by reducing the upfront costs of heat pumps for homeowners, as well as promote better energy efficiency measures by cutting down on polluting emissions that occur when using old gas boilers.
The UK government scheme is open to property owners in England and Wales and will run until 2028.
Boiler Upgrade Scheme: Eligibility & Funding
The BUS scheme is open to homeowners and owners of small business properties in England and Wales only. The Boiler Replacement Scheme in Northern Ireland is now closed. If you live in Northern Ireland, you can find out about alternative funding in your area.
To be eligible, you’ll need to replace an existing fossil fuel boiler or fossil fuel heating systems with a low carbon heating system such as an air source heat pump or biomass boiler.
There may also be other eligibility criteria that prevent you from being able to apply for the boiler upgrade scheme, such as being part of a social housing scheme or other limited circumstances.
To be eligible for the Boiler Upgrade Scheme (BUS), a property must have a valid Energy Performance Certificate (EPC) issued within the last 10 years, to qualify for a grant under the scheme.
The scheme provides upfront capital grants of up to £7,500 to encourage property owners to replace existing fossil fuel heating with more efficient, low carbon heating systems, including air source heat pumps, ground source heat pumps, and biomass boilers.
- You can get the following grant amount:
- £7,500 off the cost and installation of an air source heat pump
- £7,500 off the cost and installation of a ground source heat pump
- £5,000 off the cost and installation of a biomass boiler
Not only does the BUS grant help with heat pump installation total cost, but also provides lower running costs and energy bills thanks to the increased energy efficiency that a new heat pump provides property owners and renters.
Choosing the Right Heating System
Want to apply for a BUS grant but are unsure whether a heat pump or biomass boiler is most suitable for your property? Your installer may recommend improving the energy efficiency of your property before fully replacing the current heating system.
Low-carbon heating alternatives include heat pumps and biomass boilers, which are more energy-efficient and environmentally friendly than traditional fossil fuel boilers.
Heat pumps use energy from natural resources and electricity to provide cleaner heating and hot water, and air source heat pumps are a popular choice for many properties with average to high hot water demands.
Boiler Upgrade Scheme: Application Process
Boiler Upgrade Scheme applications are largely done through an MSC-certified installer of your choice. The process involves requesting quotes from reputable heating engineers and applying for the grant.
The installer will apply for the BUS grant on your behalf via the Ofgem website as part of the consultation phase after inspecting the property to see its suitability for a heat pump.
At Amco Renewables, we offer a comprehensive range of renewable products, including heat pumps. Our extensive product portfolio has been created to meet the diverse needs of both residential and commercial customers.
Boiler Upgrade Scheme: Benefits and Case Studies
The Boiler Upgrade Scheme has reduced reliance on the gas grid considerably, and by taking advantage of the scheme and moving from a gas boiler to an air-source heat pump, you can save thousands of pounds over its lifespan.
Not only do heat pumps save money, but installing a heat pump is a vital part of future-proofing your home and reducing your carbon footprint and reliance on fossil fuels.
Boiler Upgrade Scheme: Apply Now
Start your application for a BUS grant voucher today, and start saving money by increasing energy efficiency in your own home with a biomass boiler, air source heat pump, or ground source heat pump.
Apply For The Boiler Upgrade Scheme
Boiler Upgrade Scheme (BUS) FAQs
Will I still be able to buy a gas boiler after 2025?
Yes, you will still be able to buy a gas boiler after 2025, but there will be tighter regulations and incentives to transition to low-carbon heating systems such as heat pumps.
Who is eligible for the boiler upgrade scheme in 2025?
Eligibility criteria for the Boiler Upgrade Scheme include the property being your own home and replacing fossil fuel heating systems.
Can I get help with a new boiler if I am not on benefits?
Yes, in fact you cannot apply for the boiler upgrade scheme if you live in social housing.
How long will the BUS grant last?
The Boiler Upgrade Scheme (BUS) grant is currently set to run until 2028, providing financial assistance for homeowners in England and Wales to install heat pumps and other low-carbon heating systems. The scheme offers grants of up to £7,500 to help with the upfront costs of transitioning from fossil fuel boilers to more sustainable alternatives.
Who is entitled to a free boiler replacement?
A free boiler replacement is different to the BUS grant, and is typically available to those who qualify under schemes like the Energy Company Obligation (ECO) scheme by receiving certain benefits.
Eligibility criteria includes receiving certain benefits, such as Universal Credit, Working Tax Credit, or Child Tax Credit.
