The allocation of Boiler Upgrade Scheme funding for the period 2026 to 2030 was announced on 21 January 2026 as part of the Government's Warm Homes Plan1. Ofgem, which administers the scheme on behalf of the Gas and Electricity Markets Authority, has published installer guidance confirming that the scheme has been extended to 20301. The final date on which Ofgem can issue vouchers is 31 December 20291.
The Boiler Upgrade Scheme provides upfront capital grants towards heat pumps and biomass boilers in residential and non-residential properties, and is installer-led: installers must be MCS certified to install heat pumps or biomass boilers1. Grant values are unchanged at £7,500 for air-to-water heat pumps and ground source heat pumps, £2,500 for air-to-air heat pumps in residential properties only, and £5,000 for biomass boilers in limited circumstances1. Only properties in England and Wales are eligible1. Vouchers for air-to-water heat pumps, air-to-air heat pumps and biomass boilers are valid for three months1.
A set of rule changes came into force on 28 April 2026, applying to applications "properly made" on or after that date1. Properties are no longer required to have a valid Energy Performance Certificate to apply, heat pumps can be installed alongside supplementary heating appliances, and exhaust air-to-water heat pumps became eligible for the £7,500 grant1. Ofgem also notes that MCS has redeveloped its installer scheme, to be rolled out throughout 2026 and into early 20271.
"These changes have come into force on 28 April 2026. This guidance applies to applications that have been \"properly made\" on or after this date."
| Technology | Grant | Notes |
|---|---|---|
| Air-to-water heat pump | £7,500 | England and Wales only |
| Ground source heat pump | £7,500 | England and Wales only |
| Air-to-air heat pump | £2,500 | Residential properties only |
| Biomass boiler | £5,000 | Limited circumstances |
Why it matters for households
The extension to 2030 gives the scheme a defined funding horizon, which matters for anyone weighing a heat pump against a replacement fossil fuel boiler, because the grant reduces the upfront capital cost rather than running costs. The removal of the Energy Performance Certificate requirement from 28 April 2026 changes the position for homes that would previously have needed to act on loft insulation or other EPC recommendations before applying. Allowing heat pumps alongside supplementary heating appliances widens the range of homes that can be served without removing an existing system entirely, which is relevant to households wanting to keep a backup source of heat. The three-month voucher validity remains a timing constraint: work must be completed and redeemed within that window. Eligibility still turns on the property, the technology and the installer, and the scheme remains limited to England and Wales, so households in Scotland and Northern Ireland are outside it. Whether a particular home qualifies depends on the eligibility rules, including the position on gas boilers, biomass requirements, landlords and second homes and social housing.
What happens next
The amended rules apply to applications properly made on or after 28 April 2026; applications made before that date fall under version 4.2 of the guidance1. The MCS installer scheme redevelopment is to be rolled out throughout 2026 and into early 20271. The final date for Ofgem to issue vouchers is 31 December 20291. No further funding allocations beyond the 2026 to 2030 period have been reported.
Sources1 cited
- Boiler Upgrade Scheme Installer Guidance, ofgem.gov.uk
