Grants · Wales
Heat Pump Grants in Wales 2025: What You Can Actually Get
Wales has two heat pump grant routes, not one. Here's how the £7,500 Boiler Upgrade Scheme and Warm Homes Wales (Nest) actually fit together.
If you are searching for a “heat pump grant Wales”, the single most important thing to know is this: the UK Government’s Boiler Upgrade Scheme (BUS) is not England-only. It explicitly covers Wales on exactly the same terms — a £7,500 grant for air source or ground source heat pumps, administered by Ofgem and funded by DESNZ. Most homeowners miss this because they assume a “UK scheme” stops at the border, or they only find the Wales-specific Warm Homes Nest programme. In reality, Welsh households have access to both routes, and which one fits depends entirely on your income and property circumstances.
Yes — the £7,500 Boiler Upgrade Scheme applies in Wales
The Boiler Upgrade Scheme (BUS) is the primary financial support for heat pump installations across England and Wales. The grant value was raised from £5,000 to £7,500 in October 2023 and the scheme runs until 31 December 2027. The money is paid directly to your MCS-certified installer as a deduction from your invoice — you never receive cash, and you do not apply to Ofgem yourself.
Eligibility is identical whether your property is in Cardiff, Wrexham or anywhere else in England or Wales:
- Ownership: You must be an owner-occupier or a private landlord.
- Location: Property must be in England or Wales.
- Existing heating: You are replacing a fossil-fuel system (gas, oil, LPG) or a direct electric system (storage heaters, panel heaters).
- Energy performance: The property must have a valid EPC rating of D or above, or have the recommended loft and cavity wall insulation installed (or hold a valid exemption).
- Prior grants: The property must not have received a previous BUS grant.
- Installer: The installation must be commissioned by an MCS-certified installer who handles the Ofgem application via the online portal.
- New builds: New-build properties are not eligible for BUS.
Approval typically takes two to four weeks once the installer submits the redemption statement you have signed. Full detail on the process is in our Boiler Upgrade Scheme guide — or check your eligibility directly in 60 seconds.
Warm Homes Wales (Nest) — the Wales-specific route
Warm Homes Wales, delivered through the Nest scheme, is the Welsh Government’s dedicated fuel-poverty programme. It is separate from BUS and targets low-income households who may not be able to afford the upfront contribution a BUS installation requires. Nest provides a package of free home energy improvements — which can include a heat pump — subject to strict qualifying criteria based on means-tested benefits, household income thresholds, and health vulnerabilities.
Unlike BUS, Nest is not a fixed cash grant you claim against a quote. It is a fully funded assessment and installation service managed by the scheme’s appointed contractors. If you qualify, the survey, insulation upgrades, and heating system replacement are arranged for you at no cost. Because it is means-tested, a homeowner on a moderate income with a gas boiler will not qualify for Nest, but they remain fully eligible for the £7,500 BUS grant.
BUS or Nest — which applies to you?
| Your situation | Likely route | Key detail |
|---|---|---|
| Owner-occupier or private landlord; household income above means-tested thresholds; property has EPC D+ (or can reach it with insulation). | Boiler Upgrade Scheme (BUS) | £7,500 off an ASHP/GSHP via MCS installer. You pay the balance. |
| Low income, receiving qualifying means-tested benefits, or living with a cold-related health condition; home is hard to heat. | Warm Homes Nest | Free survey and potential full-cost installation (heat pump + insulation) if eligible. |
| Social housing tenant. | Neither directly | Social landlords typically access separate landlord-side funding routes. Speak to your landlord or housing association. |
If you are unsure whether you meet Nest’s criteria, the scheme offers an eligibility check. If you do not qualify, BUS remains the default option for the vast majority of Welsh homeowners.
Can Nest and BUS work together?
You cannot receive two grants for the same heat pump installation. However, the schemes can work sequentially. A common barrier to BUS eligibility is the EPC requirement: many Welsh homes — particularly stone-built or solid-wall properties — sit at EPC E, F or G. Nest, or the UK-wide ECO4 scheme (which is supplier-funded and also means-tested), can fund the loft insulation, cavity wall insulation, or solid wall insulation needed to lift the EPC to a D. Once that work is complete and a new EPC is lodged, the property becomes eligible for the £7,500 BUS grant towards the heat pump.
This staged approach — insulation first via a means-tested route, heat pump second via BUS — is a legitimate and often necessary pathway for older Welsh housing stock. Your MCS installer can advise whether your current EPC blocks a BUS application and whether a referral to Nest or an ECO4 provider is the logical first step.
How to apply in Wales
The application process is installer-led for both main routes, but the starting point differs:
For Boiler Upgrade Scheme (most households):
- Find an MCS-certified heat pump installer operating in your area of Wales.
- Book a technical survey and receive a formal quotation.
- Confirm you wish to proceed; the installer will ask you to sign a BUS redemption statement.
- The installer submits the application to Ofgem via the BUS portal.
- On approval (typically 2–4 weeks), the £7,500 is deducted from your final invoice.
For Warm Homes Nest:
- Contact Nest directly (online or by phone) for an eligibility assessment.
- If eligible, Nest arranges a home energy survey.
- Nest’s appointed contractors specify and install the measures, including a heat pump where appropriate, at no cost to you.
In both cases, the critical requirement is an MCS-certified installation. This certification protects you: it ensures the system is designed correctly for your property, commissioned to MCS standards, and eligible for the grant.
Next steps for Welsh homeowners
Start by checking your current EPC rating — you can look this up free on the government register. If you are at D or above (or have the recommended insulation), you are likely ready for a BUS-supported installation. Compare MCS-certified installers for surveys and quotes; they will confirm the exact BUS deduction and your net cost. If your EPC is below D, or if you are on a low income, contact Nest first to see if you qualify for funded insulation that unlocks BUS eligibility afterwards. The £7,500 Boiler Upgrade Scheme is guaranteed until 31 December 2027, so there is time to plan properly — but installer diaries fill quickly, so early surveys are sensible. For the full picture across all four UK nations, see our complete UK heat pump grants guide.