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Boiler Upgrade Scheme marks second anniversary with applications up 93% year-on-year

Applications to the Boiler Upgrade Scheme rose 93% in April 2024 compared with April 2023, as the scheme marked its second anniversary with more than £148 million paid out.

A newspaper on a kitchen table beside a model of grants and schemes

Applications to the Boiler Upgrade Scheme in April 2024 were 93% higher than in April 2023, the Department for Energy Security and Net Zero said on 23 May 2024, the second anniversary of the scheme1. The department said there were 2,380 applications in April, calculated by subtracting the total applications Ofgem had received to the end of March 2024 from the total received to the end of April 20241.

Ofgem data also shows more than 40,000 applications in total, with the scheme having paid out over 25,000 grants and more than £148 million issued for installations since it started1. The department said average monthly applications between November and April were up 49% to 2,136, compared with 1,435, the monthly average before grants were increased1. Grants for heat pumps rose by 50% in October 2023, taking the Boiler Upgrade Scheme grant amount to £7,5001.

Energy Security Secretary Claire Coutinho said:

"That's why we increased the support available through the scheme to £7,500, making it one of the most generous in Europe."
GOV.UK, Department for Energy Security and Net Zero1

The department attributed part of the rise to supplier offers and heat pump electricity tariffs. It said Octopus Energy and British Gas both offer complete heat pump installations from £500, that the Octopus Cozy electricity tariff can save heat pump users £96 compared with a standard flexible tariff, and that Ovo's Heat Pump Plus tariff gives customers a reduced electricity rate of 15p/kWh for electricity used by a heat pump1. It also said heat pumps are three times more efficient than gas boilers1.

On installer training, the government said the £5 million Heat Training Grant has funded training for around 3,000 heat pump installers since July 2023 and will provide around 10,000 opportunities before April 2025 for heat pump and heat network professionals1. The department restated a target of 600,000 heat pump installations a year by 20281.

MeasureFigure
Applications, April 20242,380
Year-on-year change in April applicationsup 93%
Average monthly applications, November to April2,136
Average monthly applications before grant increase1,435
Total applicationsmore than 40,000
Grants paidover 25,000
Total paid outmore than £148 million

Why it matters for households

The figures describe how many households in England and Wales have applied for and received a grant towards a heat pump, and how the £7,500 rate set in October 2023 has changed application volumes1. For a home weighing up a heat pump, the scheme's eligibility rules determine whether it qualifies, and the application process runs through Ofgem. Running costs depend on the electricity tariff a household is on; the department cites two supplier tariffs with rates or savings attached1. Households with an existing gas boiler, landlords and second home owners face separate conditions, covered in the site's guides on gas boiler eligibility and landlords and second homes. The scheme replaced the earlier Clean Heat Grant, and comparisons with ECO4 are set out in the guide to Boiler Upgrade Scheme vs ECO4.

What happens next

The Heat Training Grant is to provide around 10,000 training opportunities before April 20251. The stated target is 600,000 heat pump installations a year by 20281. No further changes to grant rates or scheme rules were announced in the 23 May 2024 statement1.

Sources1 cited
  1. Demand for heat pumps rises following increase in applications to the Boiler Upgrade Scheme - GOV.UK, gov.uk