Government Statement 20.09.23 - Q&A's

We’ve put together some FAQs following the government’s statement on 21st September to help you better understand what it means for home heating.

What is the Boiler Upgrade Scheme?

The Boiler Upgrade Scheme is a financial contribution from the government to encourage the take up of heat pumps as a replacement for a gas or oil-fired boiler. The scheme was launched in 2022 and allows households to claim either £5000 for an air-to-water heat pump or £6,000 for a ground-source heat pump. Following the government's announcement on 20.09.23 the value of this grant had now increased to £7,500 for either technology.

Who is eligible for the Boiler Upgrade Scheme?

It's open to those with homes or small non-domestic buildings in England and Wales.

How do I apply for the Boiler Upgrade Scheme?

To obtain the increased Boiler Upgrade Scheme Grant of £7,5000 you need to make contact with an MCS Registered Installer. They will be able to visit your home and assess it before making an application on your behalf if your home is applicable.

When will the new Boiler Upgrade Scheme grant come into effect?

The increased grants will become available to all applicants from October 23rd, 2023.

Are gas and oil boilers still going to be banned?

There was a proposal from the government within their heat and building strategy that oil, LPG and coal-fired boilers would be banned from 2026. The government has now extended this timeline to 2035 where a ban on gas-fired boiler replacements will also be expected.

Is it worth getting another gas/oil boiler in the next 3-5 years if I will have to switch by 2035?

Yes. There is no plan to prevent you from purchasing a new boiler, in fact you will still be able to purchase in 2035.

How do I know if my home is suitable for a heat pump?

There are very few homes that are unsuitable for a heat pump, although, some are more suitable than others. However, an MCS registered installer will make this assessment on your behalf.

How do I know which heat pump is suitable for my home?

An installer will undertake a heat loss calculation and ascertain what size heat pump you require, following which they will recommend either an air or ground source heat pump or perhaps even a hybrid system. However, an installer will make this assessment on your behalf. 

What is the price difference between a new gas boiler compared to a subsidised heat pump?

The average price of boiler replacement is around £2,500 while the average price of a heat pump installation is £13,000 (according to statistics from the Boler Upgrade Scheme). If the £7,500 Boiler Upgrade Scheme grant is considered, then households would be paying around £5,000 - £6,000 for a heat pump installation for an average sized UK home.

Where can I find more information on the Boiler Upgrade Scheme?

More information is available here.