Following the Government’s pledge to reach net zero by 2050, the Department for Business, Energy & Industrial Strategy (BEIS) will be launching a new grant scheme to provide financial support for homeowners looking to install renewable heating systems to their property.
From Spring 2022 the Boiler Upgrade Scheme will be launched to help homeowners reduce their carbon emissions, providing grants of £5,000 towards installation costs of ASHPs and £6,000 for GSHPs.
These grants are available when replacing existing fossil fuel heating systems but also available to custom-build properties.
To ensure installations made through this new scheme are of the highest standard, only projects completed by MCS certified installers and members of a Consumer Code will be eligible.
Unlike previous Government grant schemes, the application process for the BUS will fall with the installer, instead of the homeowner, however, there are certain requirements that must be met to ensure eligibility to this new scheme.
To be eligible
- The system commissioning date must be after 1st April 2022
- Full space and water heating requirements must be provided for by the heat pump
- Qualifying systems include gas, oil, LPG, electric (non-renewable), coal and wood
- Domestic and non-domestic buildings are eligible
- New self / custom builds are eligible
- The property must meet insulation requirements or be exempt based on exceptional circumstances
- The property must have an up-to-date EPC
- Properties that used the Green Homes grant are eligible providing the grant was not to install a heat pump
Not eligible
- Properties using heating for industrial processes
- Social landlords and new builds by developers
- Buildings owned by organisations
- Solar or thermal renewable systems
EPC eligibility
- There cannot be any recommendations to install cavity wall insulation (unless exempt)
- Insulation must be installed before the BUS voucher is redeemed
- Newbuild properties will not be required to provide a valid EPC
- Ofgem intends to check the property details against the EPC register to verify the content
EPC Exemptions
Listed Buildings: A governing body must confirm the exemption with Ofgem (the planning department of the local authority, English Heritage, CADW, or a chartered surveyor). Evidence required (a letter from the governing body stating that it is not possible to install cavity/loft insulation).
Conservation Area: A governing body must confirm the exemption with Ofgem (the planning department of the local authority, English Heritage, CADW, or a chartered surveyor). Evidence required (a letter from the governing body stating that it is not possible to install cavity/loft insulation).
Property Structure: A governing body must confirm the exemption with Ofgem (chartered surveyor). Evidence required (a chartered surveyor’s report stating the structural features).
Unlawful: A governing body must confirm with Ofgem (the planning department of the local authority, English Heritage, CADW, Natural England, a chartered surveyor, or an ecologist). Evidence required (a letter from the governing body stating which law prevents the install of the cavity/loft insulation, and why the law prevents it).
