Grants · Complete comparison
UK Heat Pump Grants 2025: BUS, ECO4, Scotland and Wales Compared
Every UK heat pump grant compared side by side — BUS, ECO4, Home Energy Scotland and Warm Homes Wales — so you know exactly which route applies to you.
There are four main ways a UK homeowner can get financial help for a heat pump, and the right one depends on where you live and how much you earn. This guide sets out the Boiler Upgrade Scheme, ECO4, Home Energy Scotland and Warm Homes Wales side by side so you can see which route applies to you.
The four UK heat pump grants at a glance
| Scheme | Where it applies | Typical amount | Who qualifies |
|---|---|---|---|
| Boiler Upgrade Scheme (BUS) | England and Wales | £7,500 for air-source or ground-source heat pumps; £5,000 for biomass boilers in eligible off-grid homes | Owner-occupiers or private landlords with an EPC rating D or above (or valid loft/cavity insulation), replacing a fossil-fuel or electric system, no previous BUS grant, MCS-certified installer |
| ECO4 (Energy Company Obligation) | UK-wide | Free or heavily subsidised heat pump install (value varies) | Means-tested households, broadly income under £31,000 (varies by circumstance); funded by energy suppliers |
| Home Energy Scotland (HES) | Scotland only | Up to £7,500 cashback plus up to £38,500 interest-free loan | Scottish residents; administered by Energy Saving Trust; replaces BUS for Scotland |
| Warm Homes Wales (Nest) | Wales only | Free or subsidised home energy improvements, which may include a heat pump | Low-income households in Wales meeting specific qualifying criteria; separate from BUS |
Boiler Upgrade Scheme (BUS) — the main scheme for England and Wales
The Boiler Upgrade Scheme is a government-backed grant administered by Ofgem and funded by the Department for Energy Security and Net Zero. It runs until 31 December 2027 and pays the installer directly, so the homeowner never receives cash. The installer must be MCS-certified and applies on your behalf after you sign a redemption statement; approval usually takes two to four weeks and the voucher is valid for three months.
Key eligibility rules:
- Property located in England or Wales.
- Owner-occupier or private landlord.
- EPC rating D or above, or valid loft/cavity insulation in place (or an exemption).
- Replacing a fossil-fuel or direct-electric heating system.
- No previous BUS grant on the same property.
- Installer holds current MCS certification.
- New-build properties are excluded.
Full detail, including the step-by-step application process and common rejection reasons, is in our Boiler Upgrade Scheme guide. You can also check your own eligibility in 60 seconds.
ECO4 — for low-income households, UK-wide
ECO4 is funded by the large energy suppliers rather than central government. It targets households on low incomes — our published threshold is a household income under £31,000, though exact limits vary with circumstances. Qualifying homes can receive a free or heavily subsidised heat pump installation, and the scheme can also pay for insulation upgrades that bring a property up to the EPC standard required for BUS. Because ECO4 is supplier-driven, the application route is through your energy company or an approved ECO installer, not through Ofgem. See our ECO4 page for the full eligibility criteria.
Home Energy Scotland — the Scotland-only route
Scottish residents cannot access the Boiler Upgrade Scheme; instead they use Home Energy Scotland, run by the Energy Saving Trust. The programme offers up to £7,500 cashback toward a heat pump plus an interest-free loan of up to £38,500, allowing the cost to be spread over many years. The cashback is paid after installation, and the loan is repaid through your energy bill. Because HES replaces BUS for Scotland, you should not apply for both — choose the Scottish route if you live north of the border. Full detail on our Home Energy Scotland page.
Warm Homes Wales (Nest) — and why Wales homeowners often overlook BUS
Warm Homes Wales, known as Nest, is a Welsh Government scheme that delivers free home energy improvements — including heat pumps — to low-income households that meet specific qualifying conditions. The support is means-tested and the exact package varies case by case. Crucially, Nest is in addition to the Boiler Upgrade Scheme, because BUS covers “England and Wales” as a single jurisdiction. Many Welsh homeowners assume a Wales-only programme is their only option and miss out on the full £7,500 BUS grant. If you live in Wales and are not eligible for Nest, you can still claim the standard BUS amount provided you meet the BUS criteria. We cover this in full in our Wales grants guide.
Can you combine grants?
You cannot receive two grants for the same heat pump installation — the installer can only claim one voucher per system. However, grants can layer in sequence. A common pattern is using ECO4 to fund loft or cavity insulation first; once the property meets the EPC D threshold, the homeowner becomes eligible for the £7,500 BUS grant for the heat pump itself. This stepwise approach is permitted because each grant addresses a different measure.
Which route is right for you?
- Low income anywhere in the UK — start with ECO4; it can cover both insulation and the heat pump.
- England or Wales, not low-income — the Boiler Upgrade Scheme is the primary option; check your EPC and find an MCS-certified installer.
- Scotland — use Home Energy Scotland; it provides cashback and a loan and is the only route for Scottish residents.
- Wales, low income — explore Nest first, but remember you may also qualify for the full BUS grant if you meet its criteria.
Next steps
Check your EPC rating and household income, then contact an MCS-certified installer (for BUS) or your energy supplier (for ECO4) to confirm eligibility. The Boiler Upgrade Scheme remains open until 31 December 2027, giving a clear window to plan any installation. The fastest starting point is our 60-second eligibility checker — it runs the BUS rules against your property and tells you where you stand.