Old gas and oil boilers have a habit of failing at the worst possible moment. Usually mid-winter. Usually on a weekend. And usually right when you need heating the most. When that happens, most homeowners end up rushing into whatever their usual engineer can fit fastest, rather than what actually suits the property.
Getting ahead of it changes that. It means:
The grant and the 0% finance are available whether your boiler is working or not, so there’s no reason to wait until it breaks down. If anything, waiting just means less choice and more pressure when the time comes.
Upgrade to an A-rated energy efficient combi boiler under the ECO4 scheme — installed at no cost to qualifying homes.
Replace old heating with a modern low-carbon heat pump. Save up to £7,500 with the Boiler Upgrade Scheme.
Cut your electricity bills with government-supported solar PV and battery storage installations for UK homes.
The Boiler Upgrade Scheme, known as BUS, puts £7,500 towards the cost of an air source or ground source heat pump. If your home runs on oil or LPG and isn’t connected to the mains gas grid, that rises to £9,000 for applications made between July 2026 and March 2027.
A few things make this scheme worth taking seriously:
Once the grant comes off, most homeowners are left paying £1,500 to £6,000, and the 0% VAT saves a further £1,800 to £2,600 on top of that. For a lot of households, that brings a heat pump installation down close to what a decent boiler replacement would have cost a few years ago.
You don’t need to apply for the grant yourself, which tends to surprise people. Your installer handles the whole process. They survey the property, work out exactly what you’re eligible for, and deduct the grant from your quote before you ever see a final price. It’s still worth getting quotes from two or three MCS-certified installers rather than settling for the first one, since prices for broadly similar systems can vary a fair amount depending on who you ask.
If you’ve already got solar panels fitted, that works in your favour rather than complicating things. Existing solar generation can cut a heat pump’s running costs by 30% to 40% over a year, simply because the system is drawing on electricity you’re already generating for free during the day, instead of buying it all from the grid at whatever rate happens to be in place.
Solar isn’t part of the Boiler Upgrade Scheme, and it doesn’t need to be for the numbers to make sense on their own.
Right now, that looks like:
A fully installed 4kW solar system typically costs between £5,500 and £7,500 once VAT relief is factored in. Add a battery for storage and the combined cost tends to land somewhere around £11,000 to £13,000. Spread that over a 0% finance agreement and the monthly repayment is often matched, or close to matched, by the reduction in your electricity bill from the very first month.
It’s worth reading the finance details properly before signing anything, rather than taking the headline figure at face value. Under the Renewable Energy Consumer Code, any installer offering finance has to give you the total amount repayable, the monthly cost, and the interest rate in writing. Ask for it even if they don’t offer it upfront, and use the finance total, not the cash price on the brochure, as the real number to judge the deal against.
A government-backed 0% loan scheme for solar is also planned under the Warm Homes Plan. It isn’t fully up and running yet, so for the time being, installer finance remains the main way most households are spreading the cost.
Once a system’s in and generating, the effect on your bills tends to be noticeable fairly quickly:
People often ask whether they should choose a heat pump or solar panels, as though it’s one or the other. In practice, pairing the two tends to be the stronger financial move, since the heat pump can run on electricity your panels are already generating, rather than buying it back from a supplier during the more expensive parts of the day.
Put together, here’s roughly how it breaks down:
Between the two routes, most homeowners can move away from a fossil fuel heating system and start generating their own electricity, without the financial pressure that used to come with tackling both at the same time. It’s rarely all or nothing either. Plenty of people start with whichever upgrade suits their situation first and add the other later.
It takes about 60 seconds, and it doesn’t commit you to anything.
There’s no obligation and no cost involved in checking. The only thing that actually costs you money is leaving your current system running while you put it off.
ECO Boiler Grants UK is a Ltd company registered in England and Wales (Company Number 15234817). We works closely with Manchester Energy Grants Ltd, that company has acquired
PAS 2035 and is also Gas Safe & Trustmark registered company.
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