The Secretary of State published a grant change notice on 28 May 2026 confirming a new set of grant categories and grant values for the Boiler Upgrade Scheme, effective from 21 July 20261. The notice is recorded in Ofgem's installer guidance for the scheme, which sets out the values that will apply to applications properly made on or after that date1.
Under the confirmed values, air-to-water heat pumps and ground source heat pumps attract £7,500, air-to-air heat pumps attract £2,500 in residential properties only, and biomass boilers attract £5,000 in limited circumstances1. For eligible off-gas grid properties replacing a heating system fuelled by oil or liquefied petroleum gas, an uplifted grant of £9,000 is available for air-to-water or ground source heat pumps1. The uplifted value applies from 21 July 2026 until 31 March 20271.
| Grant category | Value from 21 July 2026 |
|---|---|
| Air-to-water heat pumps (AWHP) and ground source heat pumps (GSHP) | £7,500 |
| Air-to-air heat pumps (AAHP), residential properties only | £2,500 |
| Biomass boilers, limited circumstances | £5,000 |
| Air-to-water or ground source heat pumps in off-gas grid properties replacing oil or LPG heating | £9,000 |
The guidance states that the scheme has been extended to 2030, and that the final date on which Ofgem can issue vouchers is 31 December 20291. It also records changes that came into force on 28 April 2026: properties are no longer required to have a valid EPC to apply, heat pumps can be installed alongside supplementary heating appliances provided those appliances are not fossil fuel based, and exhaust air-to-water heat pumps became eligible for the £7,500 grant1. Only properties in England and Wales are eligible1.
"On 28 May 2026, the Secretary of State published a grant change notice confirming the new set of grant categories and grant values that will be effective from 21 July 2026"
Installers must be MCS certified and certified to install heat pumps and/or biomass boilers, and are required to pass on the full value of the grant as an upfront discount to the property owner1. Vouchers for ground source heat pumps are valid for six months1.
Why it matters for households
The grant values determine how much of a heat pump or biomass boiler installation is covered by public money, and the uplifted £9,000 rate is aimed at homes off the gas grid that currently heat with oil or LPG. For those households, the higher figure applies only to air-to-water or ground source heat pumps and only where the replaced system is fuelled by oil or LPG1. Homes on the gas grid remain on the £7,500 rate for those technologies1.
The removal of the EPC requirement from 28 April 2026 changes who can apply, since a valid certificate is no longer a condition of an application1. The rules on supplementary heating also widen what can be installed alongside a heat pump, provided the additional appliance is not fossil fuel based1. Whether a home qualifies still depends on the property and system requirements set out in the guidance, including the Boiler Upgrade Scheme eligibility rules and the separate requirements for biomass boilers.
What happens next
The uplifted off-gas grid grant of £9,000 runs from 21 July 2026 to 31 March 20271. The scheme itself has been extended to 2030, with 31 December 2029 given as the final date on which Ofgem can issue vouchers1. The guidance does not state what happens to grant values after 31 March 2027; that has not been reported1.
Sources1 cited
- Boiler Upgrade Scheme Installer Guidance V5.1, ofgem.gov.uk