Government Expands Green Heating Grants, Slashing Costs for Households
A significant expansion of a key government scheme is set to make it far more affordable for households across the UK to install modern heating and cooling systems. The Boiler Upgrade Scheme has been updated to include air-to-air heat pumps, a versatile technology that provides warmth in the winter and can cool homes during summer heatwaves.
For the first time, households can claim a £2,500 grant towards the installation of these systems. With the average cost for a system in a flat or small house around £4,500, this new grant covers more than half of the upfront expense. This move is specifically targeted at properties where installing traditional central heating retrofits is often difficult or prohibitively expensive.
More Choice and Lower Bills for Smaller Homes
This update positions air-to-air heat pumps alongside the existing grants of £7,500 for air-source and ground-source heat pumps that completely replace boilers. Officials state that the newer, smaller option will be particularly appealing for residents in flats and smaller homes.
In a parallel development, the scheme now also offers £2,500 grants for heat batteries. These devices store heat generated using cheaper, off-peak electricity overnight, allowing households to shift their energy use and reduce their bills even further.
Martin McCluskey, the minister for energy consumers, described the technology as offering "the best of both worlds", providing year-round comfort and greater choice for homeowners looking to upgrade their heating. The government is also consulting on how other innovations like thermal storage and infrared panels could fit into the UK's future energy strategy.
A Step Towards Energy Independence and Future-Proofing
Energy analysts have welcomed the expansion, noting it goes beyond immediate comfort and cost savings. Jess Ralston of the Energy and Climate Intelligence Unit highlighted the strategic importance, warning that without a large-scale shift to electric heating, the UK risks growing more dependent on foreign gas as North Sea production declines.
The announcement comes as heat pump installations hit record highs in the UK, signalling a move towards mainstream adoption. It also alleviates concerns that green subsidies might be narrowed in the upcoming Budget, suggesting a continued commitment to the transition to electric heating.
How to Get a Heat Pump or Heat Battery Installed
If you are considering this upgrade, here is how the process works:
- The Boiler Upgrade Scheme is run by Ofgem, and full details are on the GOV.UK website.
- Installation must be done by a Microgeneration Certification Scheme (MCS) certified installer.
- The grant is typically installer-led, meaning the certified professional applies for the discount on your behalf and deducts it from your upfront cost.
- Before contacting an installer, check your property’s Energy Performance Certificate (EPC) and know what type of heating you are replacing.
- It is recommended to get multiple quotes to ensure you get the right system and the best value.
By following these steps, households can take full advantage of the new grants, potentially cutting their energy bills while future-proofing their homes for both winter chills and summer heat.
