£7,500 Heat Pump Grant: Boiler Upgrade Scheme 2026
The UK government provides £7,500 toward air source heat pump installation through the Boiler Upgrade Scheme. YEERS applies the grant directly to your quote—you never wait for reimbursement.
Grant Summary
Who Qualifies?
The Boiler Upgrade Scheme is available to all homeowners in England and Wales. There are no income or property energy rating restrictions.
- Property ownership: You must own the property (includes landlords)
- Replacing fossil fuels: You must be replacing a gas, oil, or electric heating system
- MCS installer required: Installation must be completed by an MCS-certified company like YEERS
- Valid EPC: Property must have an EPC certificate (recommendations do not need to be implemented)
- Location: England and Wales only (Scotland has separate Home Energy Scotland scheme)
How YEERS Applies Your Grant
Unlike previous schemes requiring upfront payment and reimbursement, the BUS grant is applied directly to your installation quote. Here's how it works:
Free Survey & Quote
We assess your property, design your heat pump system, and provide a full quote including the £7,500 BUS grant deduction.
We Apply for the Grant
Before installation, we submit your BUS application to Ofgem. This typically takes 5-7 working days for approval.
Installation & Commissioning
Once approved, we install your heat pump system. Installation typically takes 2-3 days depending on system complexity.
You Pay Reduced Price
You only pay the quote amount minus £7,500. If your system costs £12,000, you pay £4,500. No reimbursement waiting period.
Real Cost Example
- 8kW Air Source Heat Pump
- 300L Hot Water Cylinder
- Full Installation & Commissioning
- 7-Year Warranty
- Grant applied directly to quote
- No upfront payment required
- 0% VAT included until 2027
- Finance options available
Combining Grants
You can often combine the Boiler Upgrade Scheme with other government support:
- BUS + 0% VAT: All residential installations receive 0% VAT until March 2027
- BUS + Local Grants: Some local authorities offer additional support through the Warm Homes Plan
YEERS checks your eligibility for all available grants and maximizes your funding. Contact us for a free eligibility assessment.
Ready to Apply?
Get your free heat pump survey and quote with the £7,500 BUS grant already applied. Our MCS-certified team handles your entire application.
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Office 4, Blanket Row, Hull, HU1 1TB
Serving the Hull & East Yorkshire area
Air source heat pump installation across our 30-mile radius
ASHP grants in Yorkshire: what you can claim, and who applies
ASHP grants in Yorkshire run through one national scheme — the Boiler Upgrade Scheme — which pays £7,500 towards an air source heat pump in England and Wales. There is no separate Yorkshire pot and no regional variation in the amount: the figure is the same in Hull as it is in Grimsby, Scunthorpe or Selby. What changes locally is which council administers the separate, means-tested help that sits alongside it.
Do you qualify?
Three conditions decide it, and all three must hold:
- You own the property the heat pump is being installed in.
- You hold a valid EPC with no outstanding insulation recommendations. If the certificate still recommends loft or cavity wall insulation, that work is completed and the EPC updated first — otherwise the application is blocked.
- You are replacing fossil-fuel heating. The heat pump takes over from a gas, oil or LPG system.
Batteries are not eligible for the Boiler Upgrade Scheme. The grant covers the heat pump only, so if a quote implies a battery is being grant-funded under this scheme, it is wrong.
What the £7,500 does to your price
The grant is not a rebate you chase afterwards. Your MCS-certified installer applies on your behalf, and the £7,500 is deducted from the quoted total before you pay anything. On top of that, domestic heat pump installations carry 0% VAT until 31 March 2027, rising to 5% from 1 April 2027 (HMRC VAT Notice 708/6).
| If your quoted total is | Boiler Upgrade Scheme | VAT before 31 Mar 2027 | You pay |
|---|---|---|---|
| £12,000 | −£7,500 | 0% | £4,500 |
| £14,000 | −£7,500 | 0% | £6,500 |
| £16,000 | −£7,500 | 0% | £8,500 |
The Yorkshire council picture
The £7,500 is identical across every authority below. Councils matter for the separate, means-tested route: Warm Homes: Local Grant is the council-administered route. Criteria vary by authority, so check with yours directly. Your electricity distribution network operator across the whole of this area is Northern Powergrid, which is who your installer notifies about the new load.
| Where you live | Administering council | BUS amount |
|---|---|---|
| Hull | Hull City Council | £7,500 |
| Beverley, Bridlington, Driffield, Hornsea, Goole | East Riding of Yorkshire Council | £7,500 |
| Grimsby, Cleethorpes, Immingham | North East Lincolnshire Council | £7,500 |
| Scunthorpe | North Lincolnshire Council | £7,500 |
| Selby | North Yorkshire Council | £7,500 |
How the application actually runs
Every step below that touches the grant itself is ours, not yours. You consent; we claim.
| Step | What happens | Who does it |
|---|---|---|
| 1 | Survey and heat loss calculation | Your installer |
| 2 | EPC checked for outstanding insulation recommendations | Your installer |
| 3 | Quote issued with the £7,500 already deducted | Your installer |
| 4 | Grant application submitted | Installer applies; you consent |
| 5 | Installation and MCS certification | Your installer |
| 6 | Grant redeemed; you pay only the balance | Your installer |
YEERS is a Hull-based, MCS-certified installer covering Hull, East Yorkshire, North Yorkshire, Lincolnshire and Teesside, and every installation carries a 10-year workmanship warranty. See our air source heat pump installers page for system detail, or, if you are on the south bank of the Humber, the team fitting air source heat pumps Grimsby. Send us your details through the quote form and we will confirm your eligibility before we price anything.
Frequently asked questions
How much is the ASHP grant in Yorkshire?
£7,500 towards an air source heat pump, through the Boiler Upgrade Scheme. The amount is the same whether you are in Hull, Beverley, Grimsby, Scunthorpe or Selby — it is a national England and Wales figure, not a regional one, so no council in Yorkshire pays more or less than another.
Do I apply for the Boiler Upgrade Scheme myself?
No. Your MCS-certified installer applies for the grant on your behalf and deducts the £7,500 from your quoted price, so you never handle the claim or wait for reimbursement. If a company asks you to apply yourself and pay the full amount up front, that is not how the scheme works.
Why is my EPC blocking the grant?
The Boiler Upgrade Scheme requires a valid EPC with no outstanding insulation recommendations. If your certificate still recommends loft or cavity wall insulation, that work has to be completed and the EPC brought up to date before the heat pump application can proceed.
Can I get the grant for a battery as well?
No. Batteries are not eligible for the Boiler Upgrade Scheme — the grant covers the heat pump only. Battery storage does, however, currently carry 0% VAT on domestic installations until 31 March 2027, after which the rate becomes 5% (HMRC VAT Notice 708/6).
Does my council in Yorkshire offer anything on top?
The £7,500 is national and identical across Hull City, East Riding of Yorkshire, North East Lincolnshire, North Lincolnshire and North Yorkshire councils. The council-administered route is separate and means-tested: Warm Homes: Local Grant is administered locally. Check directly with your own council for its current criteria.
Last updated August 2026.