The government has extended the Boiler Upgrade Scheme (BUS) for an additional three years, to help households and small non-domestic property owners across England and Wales invest in low carbon, energy efficient heating.
The scheme, which launched in May 2022, offers grant funding of £5000 off the cost of an air source heat pump or £6000 off the cost of a ground source heat pump or biomass boiler. With this extension, people will now be able to access funding until 2028.
The announcement was made as part of the government’s energy security strategy, released under the banner of Powering Up Britain, to support the growth of the heat pump market to around 600,000 installation per year by 2028.
Energy Secretary Grant Shapps also unveiled The Great British Insulation Scheme, a policy designed to step-up insulation installation in the least energy efficient homes in Council Tax bands A to D.
A spokesperson for the Department for Energy Security and Net Zero says: “We recognise that industry would like to have more certainty on future funding for heat pumps post-2025. The recent review into Net Zero also recommended that the BUS should be extended. Therefore, the Department of Energy Security and Net Zero is announcing that we intend to extend the scheme until 2028.”
Carl Arntzen, CEO of Worcester Bosch, says: “At Worcester Bosch we are passionate about creating and rolling out greener home heating solutions to help businesses, homeowners, residents, and our industry reduce our carbon footprint – and hit important net zero targets set by this government.
“With this in mind, it is positive to see the government announce The Great British Insulation Scheme, which brings new grants that could help approximately 80% of homes in low efficiency bands improve their property’s EPC rating. This is a welcome step towards preparing the UK’s housing stock for future greener heating solutions.
“It is also good to see the government taking an agnostic approach when it comes to natural gas alternatives. The Boiler Upgrade Scheme’s two-year extension plus the confirmed investment into both UK manufacturing of heat pumps and green hydrogen production are all very welcome. It alludes to key decision makers now appreciating that to solve the tricky challenge of decarbonisation, there is no one silver bullet.”
For further information on the BUS scheme or to find an installer, visit gov.uk/boilerupgrade.
