In a Nutshell
If you're considering a heat pump or solar panels, 2026 is a good time to look into it. Here's what's changed:
- £7,500 grant toward a heat pump (Boiler Upgrade Scheme)—your installer applies; you don't pay it back.
- Loans and free upgrades from the Warm Homes Plan—low-interest loans for most, free upgrades for eligible households.
- Simpler planning rules in England—many homes no longer need full planning permission for a heat pump.
- More options on the way—air-to-air heat pumps may soon qualify for grants too.
Below we explain each of these in plain language and suggest simple next steps.
£7,500 Toward a Heat Pump (Boiler Upgrade Scheme)
The Boiler Upgrade Scheme (often called BUS) is a government grant that knocks £7,500 off the cost of replacing your gas or oil boiler with a heat pump.
You don't get the cash yourself—your installer applies for the grant and the amount is taken off your quote. You don't pay the grant back. For many homes, that makes a heat pump cheaper than a like-for-like gas boiler once the grant is included.
Who can get it? You need a valid Energy Performance Certificate (EPC) and you must be replacing a fossil-fuel heating system. Your installer will check eligibility and handle the application. More detail: BUS grants at £7,500.
Warm Homes Plan: Loans and Free Upgrades
The government's Warm Homes Plan is a £15 billion programme to help households pay for heat pumps, solar panels, batteries, and insulation.
If you're on a low income: You may qualify for free upgrades—heat pumps, solar, insulation—depending on your situation. Contact your local authority or your energy supplier to see if you're eligible.
If you're not eligible for free upgrades: You can still access zero- or low-interest government-backed loans to spread the cost of a heat pump, solar panels, or battery storage. That can make the monthly cost much more manageable.
Together with the £7,500 BUS grant, the upfront cost of a heat pump is lower than it's ever been. Full picture: Warm Homes Plan 2026.
Easier Planning for Heat Pumps (England)
Planning rules for air-source heat pumps in England were relaxed in 2025. Previously, many homes had to keep the outdoor unit at least 1 metre from the boundary—which ruled out a lot of smaller gardens and terraces.
That rule has been removed. So many more homes can now install a heat pump under "permitted development"—meaning no full planning application, fewer delays, and less paperwork.
Exceptions: Listed buildings and some properties in conservation areas usually still need permission. If in doubt, your installer or local authority can advise. More: planning permission simplified.
More Choice Coming: Air-to-Air Heat Pumps
Most grant-backed heat pumps today are "air-to-water"—they heat your radiators or underfloor heating. Air-to-air heat pumps work differently: they blow warm air into your rooms (a bit like reverse air conditioning).
Air-to-air systems are on track to become eligible for official certification and grant support too. That could give you another option—especially useful if your home isn't suited to wet radiators. We've written more here: air-to-air heat pumps and MCS.
What to Do Next: Three Simple Steps
If you're interested in a heat pump or solar panels, this is a straightforward way to get started:
- Check what support you can get. For free upgrades, contact your local authority or energy supplier. For the £7,500 grant and loans, an MCS-certified installer can tell you what you're likely to qualify for.
- Get quotes from MCS installers. MCS (Microgeneration Certification Scheme) means the installer is certified to do the work to the standard required for grants. They'll explain what surveys are needed (for example, a heat loss calculation or a site assessment) and book them for you.
- If your installer books a survey—read our guide. We've put together a short guide for homeowners: what to expect on the day, how to prepare, and which documents (like your EPC or insulation details) help. No sales pitch—just practical tips.
What we do. We don't sell or install equipment. We provide the technical surveys that installers use—heat loss calculations, site assessments, and the like. If your installer has booked a survey with us, you'll receive a clear pack of information that supports your project and any grant applications.
Summary
2026 brings higher grants (£7,500 for heat pumps), simpler planning in England, and the Warm Homes Plan (loans and free upgrades for many). Getting a heat pump or solar is more affordable and easier to arrange than in the past.
Talk to an MCS-certified installer to see what's possible for your home. If they book a survey, our homeowners page will help you know what to expect on the day.