As the UK moves towards a low-carbon future, air source heat pumps (ASHPs) are becoming a popular alternative to traditional gas and oil boilers. To encourage the transition to renewable energy heating systems, the UK government offers financial support through the Air Source Heat Pump Grant.
This guide provides detailed insights into air source heat pump grants in the UK, eligibility criteria, available schemes, and the benefits of switching to renewable heating. If you’re looking for an eco-friendly and cost-effective heating solution, read on to discover how you can access government funding for air source heat pumps.
What is an Air Source Heat Pump?
An air source heat pump (ASHP) is a renewable heating system that extracts heat from the outside air to warm your home and provide hot water. Unlike gas boilers, ASHPs do not rely on fossil fuels, making them an energy-efficient and environmentally friendly alternative.
Types of Air Source Heat Pumps:
Air-to-water heat pumps – Transfer heat to your home's central heating and hot water system.
Air-to-air heat pumps – Circulate warm air directly into living spaces (not compatible with radiators).
Benefits of Installing an Air Source Heat Pump:
Lower energy bills – Reduce heating costs by up to 40% compared to gas or oil boilers.
Government grants available – Receive financial support through Boiler Upgrade Scheme (BUS) and other funding options.
Reduced carbon footprint – A renewable solution that helps the UK achieve net-zero emissions.
Efficient heating and cooling – Works effectively in various climates, providing year-round comfort.
Long lifespan – Can last 20+ years with minimal maintenance.
Government Grants for Air Source Heat Pumps
Several UK government grants help homeowners install an air source heat pump to replace outdated heating systems. These include:
1. Boiler Upgrade Scheme (BUS)
The Boiler Upgrade Scheme (BUS) provides grants to help homeowners replace their fossil fuel heating systems with renewable alternatives.
Grant amount: £7,500 towards the cost of installing an air source heat pump.
Eligibility:
Available to homeowners in England and Wales.
Homes must have a valid Energy Performance Certificate (EPC).
Not applicable for new-build homes (unless self-built).
2. Home Energy Scotland Grant (Scotland Residents)
For homeowners in Scotland, the Home Energy Scotland Grant provides funding for renewable energy installations.
Grant amount: Up to £7,500 for an air source heat pump.
Additional support: Interest-free loans for energy-efficient home improvements.
Eligibility:
Available to Scottish homeowners with low EPC ratings.
Additional funding for rural properties.
3. ECO4 Scheme (Energy Company Obligation)
The ECO4 scheme is a government initiative requiring energy companies to support low-income households in improving home energy efficiency.
Grant amount: Can cover up to 100% of installation costs.
Eligibility:
Homeowners or tenants must receive qualifying benefits (e.g., Universal Credit, Pension Credit, Income Support).
Homes must have a low EPC rating (D, E, F, or G).
Private tenants must obtain landlord approval.
4. Local Authority Grants & Renewable Heat Incentives
Many local councils provide additional funding for air source heat pumps as part of their energy efficiency and carbon reduction programs.
Grant amount: Varies by council; may cover part of installation costs.
Eligibility:
Households in fuel poverty or with low incomes.
Homes in rural or off-gas grid areas may qualify for additional support.
How to Apply for an Air Source Heat Pump Grant
Step 1: Check Your Eligibility
Use an online eligibility checker or contact a government-approved grant provider to see if you qualify for an air source heat pump grant.
Step 2: Arrange a Home Energy Assessment
A certified assessor will evaluate your home’s insulation, heating system, and EPC rating to determine grant eligibility.
Step 3: Choose a Government-Approved Installer
To qualify for the grant, you must use an MCS-certified installer who meets government standards.
Step 4: Grant Approval & Heat Pump Installation
Once approved, installation can proceed, helping you reduce heating costs and improve energy efficiency.
Cost of Installing an Air Source Heat Pump
If you do not qualify for full funding, it's important to understand the cost of installing an air source heat pump.
Average installation cost: £8,000 - £14,000 (before grants)
Potential savings: With a £7,500 Boiler Upgrade Scheme grant, homeowners can significantly reduce out-of-pocket costs.
Operating costs: Typically lower than gas and oil heating, especially when combined with solar panels or smart heating controls.
Frequently Asked Questions (FAQs)
1. Can I get a free air source heat pump in the UK?
Under the ECO4 scheme, some households may qualify for a fully funded air source heat pump, while BUS grants provide significant discounts.
2. How much money will an air source heat pump save me?
You could save £500-£1,000 per year on heating bills, depending on your current system and energy tariffs.
3. How long does the grant application process take?
The process usually takes 4-8 weeks, from assessment to approval and installation.
4. Can landlords apply for an air source heat pump grant?
Yes, but grants such as ECO4 require tenant eligibility, and landlord permission is necessary.
5. Are air source heat pumps noisy?
Modern air source heat pumps operate quietly, typically around 40-50 decibels, similar to a refrigerator.
6. Do air source heat pumps work in winter?
Yes! They can extract heat from the air even at temperatures as low as -15°C.
Conclusion
The Air Source Heat Pump Grant UK offers homeowners an affordable way to upgrade their heating system, reduce energy bills, and contribute to the UK’s carbon reduction goals. With Boiler Upgrade Scheme (BUS), ECO4, and local council grants, switching to an air source heat pump has never been easier.
If you qualify, applying for a heat pump grant could be a cost-effective solution to improve your home’s energy efficiency, comfort, and sustainability. Check your eligibility today and take the first step toward a greener future!
