The £7,500 Boiler Upgrade Scheme: Can Landlords Claim It?

The Boiler Upgrade Scheme (BUS) offers a £7,500 government grant towards replacing a fossil fuel heating system with an air source heat pump, ground source heat pump or biomass boiler. And yes — landlords can claim it. This guide covers exactly how the scheme works, whether your rental property qualifies, and the step-by-step process from first enquiry to installation.

With the October 2030 EPC Band C deadline approaching and the £10,000 cost cap now retroactive to October 2025, the BUS grant is arguably the single most valuable funding mechanism available to landlords right now. A £7,500 discount on a measure that can add 10–20 SAP points to your rating is not an opportunity to ignore.

What the BUS grant covers

The scheme provides fixed-value vouchers for three types of low-carbon heating system:

• Air source heat pumps: £7,500 voucher — the most common choice for rental properties
• Ground source heat pumps: £7,500 voucher — higher installation cost but greater efficiency; requires garden space for ground loops or a borehole
• Biomass boilers: £5,000 voucher — only eligible in properties in rural areas not connected to the gas grid

The voucher is applied as a discount at the point of installation. You do not receive cash; the installer claims the grant from Ofgem and deducts it from your bill.

Landlord eligibility — confirmed

There has been persistent confusion about whether landlords qualify. The answer is yes. Private landlords with buy-to-let properties are fully eligible for the BUS grant, subject to the following conditions:

• You must own the property (or have a lease of sufficient length)
• The property must be in England or Wales
• The property must have an existing fossil fuel heating system (mains gas, LPG or oil) that is being replaced
• The property must have a valid EPC (less than 10 years old)
• The property must not have previously received a BUS voucher
• The installation must be carried out by an MCS-certified installer

The EPC requirement

This is where many landlords trip up. To be eligible for the BUS grant, your property must have a valid EPC that does not have outstanding recommendations for loft insulation or cavity wall insulation.

If your current EPC lists either of these as recommended measures, you must install them before applying for the BUS grant. This is not optional — Ofgem will check the EPC register as part of the application review.

The good news: loft insulation and cavity wall insulation are relatively inexpensive (£300–£1,500 depending on the property) and themselves add SAP points. Getting these done first creates a better-insulated building for the heat pump to work in, which means a smaller and cheaper heat pump can be specified.

Check your property’s EPC rating to see what recommendations are listed on your current certificate.

The application process

This is one of the best features of the BUS grant: you do not apply directly. The process works like this:

• Step 1: Find an MCS-certified heat pump installer (see below) and get a quote
• Step 2: Accept the quote. The installer will carry out a detailed property survey and system design.
• Step 3: The installer applies for the BUS voucher on your behalf through Ofgem’s online portal. They will need your property address, EPC reference number and your consent.
• Step 4: Ofgem reviews the application and issues the voucher, typically within 3–4 weeks.
• Step 5: The voucher is valid for 3 months. The installer schedules the installation within this window.
• Step 6: After installation, the installer claims the £7,500 from Ofgem and invoices you for the remaining balance only.

The entire process, from first enquiry to a working heat pump, typically takes 8–16 weeks. During periods of high demand, lead times may be longer — another reason to act now rather than waiting until 2029 when capacity will be severely stretched.

Can the BUS grant be combined with other funding?

Yes, with some important caveats. The BUS grant can work alongside other schemes:

• ECO4 (Energy Company Obligation): If your property or tenant qualifies for ECO4 funding, this can cover insulation measures (loft, cavity wall, underfloor) while the BUS grant covers the heat pump. The two schemes target different measures, so there is no overlap or conflict.
• Great British Insulation Scheme (GBIS): Similarly, GBIS can fund insulation improvements alongside a BUS-funded heat pump installation.
• Local authority grants: Some local councils offer additional grants for energy efficiency improvements. These can typically be stacked with BUS funding.

What you cannot do is claim two government grants for the same measure. You cannot, for example, use both BUS and ECO4 funding for the heat pump itself.

The catches

The BUS grant is genuinely generous, but there are limitations to be aware of:

• One voucher per property: You cannot claim the grant twice for the same address. If you replace the heat pump in the future, you will pay full price.
• Social housing is excluded: The grant targets private landlords and owner-occupiers only. Housing associations and council-owned properties have separate funding streams.
• New builds are excluded: Properties built after 2020 that have never been occupied are not eligible. New builds should already meet high energy efficiency standards.
• The scheme has an end date: BUS is currently funded through to March 2028. There is no guarantee it will be extended beyond that date, though political pressure to support the 2030 deadline makes an extension likely.
• Budget is finite: The scheme has an annual budget. If uptake surges (as it may as 2030 approaches), there could be waiting lists or the scheme could close early.

How to find an MCS-registered installer

The MCS certification is your quality guarantee and a non-negotiable requirement for the BUS grant. To find certified installers:

• Visit mcscertified.com and use the “Find an Installer” tool — search by your property’s postcode
• Get a minimum of three quotes — we have seen price variations of 30–40% between installers for the same property
• Ask each installer how many BUS-funded installations they have completed — you want someone experienced with the grant process
• Confirm they will handle the entire BUS application process on your behalf
• Check reviews on Trustpilot, Checkatrade or the MCS website

For a deeper look at heat pump costs, SAP point gains and which properties are the best candidates, see our detailed guide: Air Source Heat Pumps: EPC Points and Real Costs.

And for the broader picture of all improvement options available to landlords, see How to Improve Your Rental Property’s EPC Rating.