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  • Underfloor Heating

Boiler Upgrade Scheme

Boiler upgrade scheme Understanding Government incentives for generating renewable energy


The boiler upgrade scheme  formally the Renewable Heat Incentive (RHI) is a UK Government scheme to incentivise renewable heat. By providing financial benefits to those who participate, the amount of heat coming from renewable sources has increased drastically and provides great benefits for the environment. To be able to apply, your installation needs to be an MSC certified.

HOW DOES IT WORK

As installation of renewable energy sources can be costly, this scheme aims to give back by off-setting those costs, making it an extremely competitive alternative to Gas, Oil or LPG heating.

HOW MUCH WILL I GET PAID

Grant Amounts and Coverage

  • Standard Grant: £7,500 for air-to-water heat pumps replacing fossil fuel systems.
  • Rural/Off-Gas Uplift: £9,000 for properties using oil or liquefied petroleum gas (LPG), running until March 31, 2027.
  • Air-to-Air Systems: Up to £2,500 where applicable under MCS scope.
  • Application Method: The certified installer applies for the grant on your behalf, and the amount is deducted directly from your quote upfront. 


Eligibility Requirements


  • Location: Property must be in England or Wales (Scotland uses the Home Energy Scotland scheme).
  • Installer: The work must be done by an MCS-certified installer.
  • Property Status: Must replace an existing fossil fuel system (such as gas, oil, or LPG) and have a valid Energy Performance Certificate (EPC) with no outstanding recommendations for loft or cavity wall insulation.

What you can get

You can get one grant per property. Current grants are available for:

  • £7,500 towards an air source heat pump (sometimes called an air-to-water heat pump)
  • £2,500 towards an air-to-air heat pump

Until March 2027, you can get an additional £1,500 towards an air source heat pump if both:

  • your property is heated by oil or LPG
  • you do not have a mains gas connection at the property

You cannot get a grant for a hybrid heat pump system (for example a combination of gas boiler and air source heat pump).

The system you install must meet certain standards, such as minimum efficiency levels (your installer can advise you on these).

The maximum capacity is:

  • 45kWth for individual systems
  • 70kWth if a heat pump is installed with one or more additional heat pumps.

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