What is the Boiler Upgrade Scheme?
The Boiler Upgrade Scheme (BUS) provides a one-off capital grant of up to �7,500 toward installation of an air source or ground source heat pump in a residential property, including rental properties. The grant is paid directly to the MCS-certified installer and deducted from your invoice. Unlike the predecessor Renewable Heat Incentive (RHI), there is no ongoing tariff � the benefit is immediate at installation.
Grant amounts and eligibility
Current BUS grant rates (2026):
- Air source heat pump: �7,500 per property
- Ground source or water source heat pump: �7,500 per property
- Biomass boiler: �5,000 (limited rural quota)
- Property must have an EPC of D or above
- Existing heating must be a fossil fuel boiler or direct electric � no replacements of existing heat pumps
- No previous BUS grant at the same address
- Installer must be MCS-certified and must apply for the voucher before works begin
The EPC D requirement and MEES interaction
Properties rated EPC E, F, or G cannot receive BUS until upgraded to EPC D. The correct sequencing for MEES compliance: first use GBIS or ECO4 to fund insulation to EPC D, then apply BUS for the heat pump to reach EPC C. For landlords with D-rated properties, BUS-funded heat pump installation is the single most cost-effective route to MEES C compliance.
How to apply
BUS is installer-led. The process: obtain quotes from MCS-certified installers; chosen installer submits voucher application to Ofgem before works begin; works completed within the 3-month voucher window; installer redeems voucher from Ofgem; your invoice is reduced by the grant amount. Landlords cannot apply directly � only MCS-certified installers can submit BUS voucher applications.