Boiler Upgrade Scheme

Claim £7,500 from the government for upgrading your gas boiler to a heat pump!

Get a £7,500 contribution from the Government to install a Heat Pump in your home.  

 

What  is the boiler upgrade scheme?

With climate change and carbon emissions at the fore front of everyone’s mind, the government has recognised that we need to change the way our homes are heated.

By announcing their target to cut carbon emissions to net zero by 2050 and mandating the end of fossil fuel heating systems in new homes from 2030, in favour of low carbon alternatives, like heat pumps, the UK is making big, bold moves for a cleaner, greener future.

However, switching to a heat pump can be expensive, with a higher upfront cost in comparison to installing a boiler. This is where the Boiler Upgrade Scheme comes in!

 

The boiler upgrade scheme offers: 

 

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A £7,500 upfront voucher towards the purchase and installation of an air source  or ground source heat pump.

Previously £5,000 towards an Air Source Heat Pump and £6,000 towards a ground source heat pump)

Any remaining costs towards the installation are then paid by the homeowner.

 

The idea is that this new upfront incentive will encourage homeowners to make the switch to renewable energy, rather than simply replace their current fossil fuel boiler with a new one.  The Boiler Upgrade Scheme is just one of the ways in which the UK government is hoping to meet the net-zero emissions target by 2050.

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Who will be eligible for the boiler upgrade scheme?

Under the new Boiler Upgrade Scheme, the government aim to see around 90,000 households benefit over 5 years from a £450 million pot that has been assigned to the project.  As the name suggests, the scheme is focused on encouraging existing properties to upgrade to a heat pump, instead of just replacing an exciting boiler with another fossil fuel boiler.

Whether you’re renovating or building your own home, or living in a non-commercial property, you could apply for the Boiler Upgrade Scheme grant.  However, the emphasis is on upgrading exciting properties requirements.

Here’s some more info on eligibility taken from a government document on the Boiler Upgrade Scheme:

“With the exception of custom-build properties, heat pumps will only be eligible where they replace existing fossil fuel systems or direct electric systems and must have a minimum SCOP of 2.5. This scheme will not support fossil fuel hybrid systems or systems used for process heating.”

In addition to this, the Boiler Upgrade Scheme will only support systems where the heat pump provides all heating, as well as domestic hot water.

Can I claim the additional funds, if I have already received my BUS Voucher?

If you have already received a BUS grant, you will not be eligible for an uplift to the new amount.

What if I currently have a live voucher?

If you currently have a live voucher, it remains worth the original value – £5,000 for air source heat pumps or £6,000 for ground/water source heat pumps. However, you may speak to your installer to see if it is possible to revoke your live voucher now and re-apply for a new voucher at the higher value once the changes take effect after the 23rd October 2023. This will however be subject to voucher available.

Will the whole cost be covered by the boiler upgrade scheme?

The Boiler Upgrade Scheme has been designed to save you £7,500 to help reduce the total cost of installing a low carbon, renewable heating system but will not cover the complete cost. System installation costs vary significantly between different homes, please contact us and we can assist you with a besoke design and proposal.

What renewable technologies are covered by the boiler upgrade scheme?

As it stands, the renewable heat sources available on the Boiler Upgrade Scheme are air source heat pumps, ground source heat pumps and biomass boilers. Biomass boilers will only be supported in rural areas and where they replace existing fossil fuel systems, where that system is not fuelled by mains gas, or direct electric systems.

How does the boiler upgrade scheme compare to the renewable heat incentive?

The Boiler Upgrade Scheme is different to its predecessor, the Renewable Heat Incentive, as it offers an upfront voucher to lower the cost of installing a heat pump rather than smaller quarterly payments over seven years based on the energy the system produces.

For many average sized homes looking to install an air source heat pump, the Boiler Upgrade Scheme is a strong incentive, as you benefit from an upfront saving of £5000, rather than receiving a similar amount spread out over a seven-year period. It’s an instant saving that you benefit from immediately, which makes renewable heating more accessible.

For larger properties, and those looking to install a ground source heat pump, the return is likely to have been better with the RHI over time, but for many, the idea of an upfront lump sum offered by the Boiler Upgrade Scheme is more appealing.

 

How thermal earth can help?

If you’re considering making the switch to a renewable energy system, then we can help. From ground to air source heat pumps, to underfloor heating and solar thermal – we specialise in low carbon heating and are an MCS accredited company.

If you’d like to learn more about one of our renewable heating systems, then please get in touch with us today, and one of our friendly experts will be more than happy to help.

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