Big News: UK Government Extends Boiler Upgrade Scheme to Air-to-Air Heat Pumps

Big News: UK Government Extends Boiler Upgrade Scheme to Air-to-Air Heat Pumps

To help the homes get cleaner heating and cooling systems, the UK Government has decided to expand the boiler upgrade scheme. This scheme now includes air-to-air heat pumps that can make low-carbon heating more flexible and workable alongside free boiler insulation support under ECO4.

What Actually the Boiler Upgrade Scheme?

As we all know, the Boiler Upgrade Scheme (BUS) is one of the government grants that is offered to help needy property owners in the UK. This aid is especially designed for Wales and England residents so they can easily switch from fossil fuel boilers to low carbon heating systems. The primary goal is to replace old oil, LPG, gas, and electric heating with a heat pump or biomass boiler. 

If the households are eligible, which involves a detailed evaluation process that you can check here to match your eligibility. The Government will give you the grant in which you can get off the upfront cost of installing and other processing.  

What Has Changed | Air-to-Air Heat Pumps Added?

As we know that the UK government has announced that the boiler upgrade scheme (BUS) is being extended in late 2025. This expansion is now covering air-to-air heat pumps and heat batteries. These changes help the existing air source and ground source heat pumps, which can already get grants of up to £7,500.

The new grant level for air-to-air heat pumps is almost £2,500 off the installation cost. This amount can cover a large part of a flat or a small home. The government and the top industries have welcomed this move because it can help the needy families, and of course, the small homeowners, to get the perfect comfort and warmth of home, despite wet central heating systems. 

What is an Air-to-Air Heat Pump and How Does It Work?

As its name implies, an air-to-air heat pump can blow warm and cool air into your home. These pumps can easily take heat from the outside and work like an air conditioning system. You can get the heat and warm feel in winters and a soft, light, and cool vibe in summers. It can work as your all-in-one solution system. 

The traditional air-to-water heat pumps that feed the radiators and underfloor heating with hot water, the trendy air-to-air pumps mainly rely on electric heaters, and they do not use any gas central heating.

How Much Support Can A Household Get?

The current grant levels for the typical boiler upgrade scheme in the UK include: 

  • As far as £7,500 off, whether you choose an air-to-air-source pump or a ground-pump system.
  • £2,500 off the cost of an air‑to‑air heat pump, newly added in 2025.​
  • £2,500 for heat batteries, once standards are in place, to help store heat and use it when needed.​

All of these grants are designed to make homes warmer and cleaner with low energy costs and the best control of energy usage.  

Who Can Qualify for the Boiler Upgrade Scheme?

The boiler upgrade scheme is explicitly announced for those households in Wales and England who are planning to replace their existing heating systems. But the main qualifier for this scheme is to have an eligibility certification. You must meet the basic insulation and technical rules set by Ofgem and accredited installers. 

Remember, this scheme is mostly beneficial for those people who live in a flat, small homes without an existing wet central heating system, who previously had fewer options.  

How Does This Link to ECO4 and Free Boiler Schemes?

Free Boiler Scheme UK aims to help deserving netizens with heavily funded boiler upgrades and insulation services that depend on their income, benefits, and the Energy Ratings of their homes. 

Although the boiler upgrade scheme is a completely separate government grant but they are quite similar in these particular ways. 

Key Takeaways

Boiler Upgrade Scheme

ECO4 Scheme

Warm and Efficient Homes Yes Yes
Low Carbon Emissions Yes  Yes
Main Purpose Support heat pumps & other low-carbon technologies Help with free boiler replacements, first-time central heating & insulation

 

By understanding both schemes, homeowners and eligible candidates can get an idea to see the clear path to choose the specific scheme according to their requirements. 

When Might An Air-to-Air Heat Pump Be a Good Option?

The heat pump extension would be your best choice if:

  • You live in a small home or a flat without a gas central heating and rely only on electric heaters.  
  • You want both systems, cooling and heating in one unit, to live according to the weather conditions. 
  • You don’t have enough space for an air-to-water system, and you just want a simple, ready-to-work installation. 

Although an air-to-air heat pump cannot replace every type of boiler upgrade but to some extent, it’s a more flexible process to switch from fossil fuel and direct electric heating. So, it can combine the energy-saving measures too. 

Things You Must Know About Being a Qualified Homeowner

Being a qualified homeowner, you must identify these options to check which option is best for you and what you have done so far. It may include the following:

  • Check your EPC ratings first to see whether you are eligible for the grant or not.
  • Analyze your current heating system and select the program accordingly.
  • Talk to the trusted professional and approved installers who can tell you accurately which scheme and heating system would be best for your property. 

We recommend that you check the official government site and authentic sources to confirm the latest grants, eligibility, rules and regulations, grant amounts, and deadlines before making the final decision. 

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