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BUS Grants Increased to £7,500 for All Heat Pump Types (2026)

The UK government increased Boiler Upgrade Scheme (BUS) grants to £7,500 for all heat pump types—up from £5,000 for air-source and £6,000 for ground-source. This makes heat pump installation cheaper than many gas boilers after grant support, significantly improving affordability for homeowners.

Published: January 2026

What Changed

The UK government increased Boiler Upgrade Scheme (BUS) grants to £7,500 for all heat pump types (up from £5,000 for air-source and £6,000 for ground-source). This single change has reshaped the UK heat pump market—and it's driving record demand for installers.

  • Air-source heat pumps: increased from £5,000 to £7,500 (50% increase)
  • Ground-source heat pumps: increased from £6,000 to £7,500 (25% increase)

Why this matters: With £7,500 grants, heat pump installation is now cheaper than many gas boilers after grant support. Homeowners who couldn't afford heat pumps before can now access them, and early indicators suggest significantly higher enquiry volumes across the industry.

Market Impact

The grant increase has reshaped the UK heat pump market. Higher grants mean more homeowners can afford heat pumps, driving increased demand. BUS applications require specific survey evidence, and MCS sign-off depends on having the right documentation from day one.

What MCS requires for BUS approval:

  • EPC (Energy Performance Certificate): required for grant eligibility
  • RdSAP evidence: documentary evidence of insulation, windows, heating systems (when applicable)
  • Heat loss calculation: if required for system sizing
  • Survey documentation: site measurements, photos, and technical assessments

Evidence Requirements

For BUS applications, installers need evidence that supports MCS compliance. Relevant documents that may be required include:

  • EPC report (if available)
  • Building regs sign-offs (where relevant)
  • Window/door specs or certificates (FENSA, etc.)
  • Insulation evidence (photos or paperwork)
  • Heating/hot water system details (model, age, efficiency)

If homeowners have these documents ready on the survey day, they can be photographed during the site visit to reduce follow-ups and keep projects moving toward MCS sign-off.

Future Grant Categories

From 2026, BUS will offer £2,500 grants for air-to-air heat pumps and heat batteries, expanding the range of technologies eligible for grant support. This creates new opportunities for homeowners and installers working with these technologies.

Industry Response

The grant increase has been welcomed by industry bodies and environmental groups as a significant step toward making heat pumps more accessible. The policy is expected to drive sustained growth in heat pump installations, supporting the UK's net zero targets.