UK Guide to Air Source Heat Pump Government Grant
Thinking about switching to an energy-efficient heating system? Good news—there’s help available. The UK government is offering financial support to homeowners ready to make the switch to greener alternatives. This guide breaks down everything you need to know about the air source heat pump government grant, how to apply, who qualifies, and how much you could save.
Let’s get straight to it.
What Is the Air Source Heat Pump Government Grant?
The air source heat pump government grant is part of the UK’s wider plan to cut carbon emissions and help households upgrade to energy-efficient heating systems. It’s part of the Boiler Upgrade Scheme (BUS) and replaces older grants for boilers with more eco-friendly support.
Through this scheme, you can get £7,500 towards the fitting cost of an air source heat pump in your home. The government gives this grant to your installer, so it is hassle-free for homeowners.
Why Choose an Air Source Heat Pump?
Air source heat pumps do their work by collecting heat from outside air and employing it to warm up your house and water. Despite cold months, they can deliver good results and save your bills in the longer term.
Real Example:
Manchester homeowner Sophie replaced her 20-year-old gas boiler with an air source heat pump in 2024. With the £7,500 grant accounting for much of the installation expense, she only had to pay about £3,000 upfront. Her energy bills fell by 30% annually, and she’s noticing better air quality within her house too.
Who Can Apply?
You may be eligible for the air source heat pump government grant if:
- You own the property (homeowners and landlords can apply)
- The property is in England or Wales
- You’re replacing an oil, LPG, electric, or gas boiler
- You have a valid Energy Performance Certificate (EPC), usually within the last 10 years
Important: New builds and social housing do not qualify.
How Much Does It Really Cost?
The typical price of having an air source heat pump installed in the UK is between £10,000 and £14,000. With the government grant reducing the cost to £7,500, the rest is a much more affordable price. Further assistance can be provided by local councils or energy providers.
Case Study:
James, a landlord in Birmingham, installed air source heat pumps in two rental properties. After using the BUS scheme, his net cost per property was around £3,500. His tenants reported better heating performance, and he used the energy efficiency as a selling point for higher rental value.
Step-by-Step Guide to Applying
Getting the grant is easier than you might think. Here’s how the process works:
- Find an MCS-certified installer
They will assess your property and confirm eligibility. - Get a Quote
The installer will give you a quote and apply for the grant on your behalf. - Grant Confirmation
Once approved, the government sets the grant aside for your project. - Installation
The heat pump is installed, and the grant is paid directly to the installer.
You won’t need to deal with much paperwork—the installer handles most of it.
Grants for Boilers vs. Heat Pump Grants
Previously, grants for boilers were common among many UK households, particularly through programs such as ECO (Energy Company Obligation). Although there are still some boiler grants available for low-income families, the government is moving away from them.
Air source heat pump grants offer higher financial support and longer-term savings. Plus, they align with the UK’s 2050 net-zero target.
Benefits Beyond the Grant
Here’s what you gain by switching to an air source heat pump:
- Lower energy bills
- Reduced carbon footprint
- Longer lifespan (up to 20 years)
- Eligibility for further energy savings schemes
- Increased home value
Real-Life Outcome:
The Smith family in Leeds installed a heat pump and saw an 80% drop in their home’s carbon emissions. When they sold their property in 2025, the green upgrades added £10,000 to the sale price, based on buyer feedback.
Common Questions About the Air Source Heat Pump Grant
Do I need planning permission?
Not usually. Most installations fall under permitted development. However, check with your local council for confirmation.
Can I still get grants for boilers if I don’t want a heat pump?
Yes, but they’re limited. Most boiler grants are targeted at vulnerable or low-income households under the ECO4 scheme.
Will I need to change my radiators or insulation?
Possibly. Heat pumps work best in well-insulated homes. Your installer will assess and recommend upgrades if needed.
How to Choose the Right Installer
Make sure your installer is:
- MCS certified
- Experienced with similar projects
- Transparent with quotes and timelines
You can find approved installers on the Ofgem or MCS websites.
Final Thoughts
Yes—if you’re looking to future-proof your home, save on energy bills, and take advantage of generous government funding, this is the time to act. With £7,500 on the table, the air source heat pump government grant offers a clear path to greener, more affordable home heating.
Whether you’re a homeowner looking to upgrade or a landlord investing in property improvements, now’s the time to explore your options.
