Air source heat pump grants in the North West: £7,500 off with the Boiler Upgrade Scheme
An air source heat pump (ASHP) is a low-carbon heating system that draws heat from the outside air to warm your radiators and hot water. The Boiler Upgrade Scheme, the government's heat pump grant, takes £7,500 off the installed cost in England and Wales, or £9,000 for off-gas-grid homes heated by oil or LPG until 31 March 2027.
Check if you qualify in 60 seconds and compare quotes from MCS-certified installers across Greater Manchester, Lancashire, Merseyside, Cheshire and Cumbria.
How much is the heat pump grant?
The heat pump grant is £7,500 for most homes, £9,000 for eligible off-gas homes and £2,500 for air-to-air systems.
£7,500
Air-to-water air source heat pump
Also ground and water source heat pumps.
£9,000
Off-gas-grid homes
Air-to-water or ground source in eligible off-gas-grid homes, 21 July 2026 to 31 March 2027.
£2,500
Air-to-air heat pump
Homes only.
Heat pump installation also has 0% VAT until 31 March 2027.
What does the Boiler Upgrade Scheme pay for?
Despite its name, the Boiler Upgrade Scheme doesn't pay for a new boiler. It pays towards replacing a gas, oil, LPG or electric heating system with a heat pump, or with a biomass boiler in rural off-gas homes. The grant is paid as a voucher your installer redeems with Ofgem, so it shows up as a discount on your quote rather than money paid to you.
How the Boiler Upgrade Scheme worksWhich type of air source heat pump do you need?
Most homes need an air-to-water heat pump, which feeds radiators and a hot water cylinder; air-to-air heat pumps warm rooms with indoor units instead.
Air-to-water: monobloc
Everything sits in one outdoor unit, with water pipes running into the house. The most common choice for UK homes with radiators. Grant: £7,500 (£9,000 off-gas).
Air-to-water: split system
An outdoor unit linked by refrigerant pipes to an indoor unit, useful where pipe runs are long or outdoor space is tight. Grant: £7,500 (£9,000 off-gas).
Air-to-air
Indoor wall units blow warm air and can cool in summer, but don't heat your hot water. Homes only. Grant: £2,500.
Air-to-air grant guideWhat's included in an air source heat pump installation?
A full installation includes the outdoor unit, a hot water cylinder, any radiator upgrades, pipework, controls, electrical connection and commissioning, with an MCS certificate at the end.
- Outdoor unit — extracts heat from the air, usually on the ground, a wall bracket or a flat roof
- Hot water cylinder — stores hot water, as heat pumps don't heat water instantly like a combi boiler
- Radiators or underfloor heating — some radiators may be upsized to work at lower water temperatures
- Pipework and buffer tank — connects the system; a buffer tank is fitted where the design needs one
- Controls and thermostat — sets room temperatures and hot water times
- Electrical connection — a dedicated supply from your consumer unit
- Commissioning and MCS certificate — needed for the grant to be paid
How do you claim the heat pump grant?
You claim the grant through your installer in three steps, so there's no form for you to fill in.
- 1
Check your eligibility here
Answer seven quick questions to see what you could get.
- 2
Compare quotes
Compare quotes from MCS-certified installers; the grant is taken straight off the quote.
- 3
Installer applies to Ofgem
You confirm consent within 14 days, and they fit your heat pump within 3 months of approval.
Who qualifies?
You qualify if you own the property in England or Wales and replace fossil fuel or electric heating.
- You own the property (homeowners and private landlords)
- It's in England or Wales
- You're replacing gas, oil, LPG or electric heating
- The heat pump is sized to heat the whole home
- You haven't had other government or ECO funding for it
What will you pay?
Your contribution is simply your installer's quote minus the grant. For example, on a £12,000 quote the standard grant leaves £4,500 to pay; for an eligible off-gas home the £9,000 grant leaves £3,000. Quotes vary with your home's heat loss, radiators and hot water cylinder, which is why comparing installers matters.
Air source heat pump costs Choosing an installerWhich areas do we cover?
We cover Greater Manchester, Lancashire, Merseyside, Cheshire and Cumbria, including:
- Manchester
- Salford
- Stockport
- Bolton
- Bury
- Oldham
- Rochdale
- Wigan
- Trafford
- Altrincham
- Heywood
- Tameside
- Liverpool
- Wirral
- Warrington
- Chester
- Preston
- Blackburn
- Burnley
- Blackpool
- Lancaster
- Carlisle
- and surrounding areas
Should you get a heat pump or a new gas boiler?
A new gas boiler usually costs less to fit, but it keeps you on fossil fuel and isn't covered by the grant. A heat pump costs more to install, the £7,500 grant narrows that gap, and running costs depend on your home's insulation, radiators and electricity tariff. If you're weighing up the two, start by checking whether your home suits a heat pump.
Heat pump vs gas boiler comparedFrequently asked questions
Is the Boiler Upgrade Scheme a grant for a new boiler?
No. It funds heat pumps and, in rural off-gas homes, biomass boilers. It can't be used for a new gas or oil boiler.
What's the difference between an ASHP and a ground source heat pump?
An air source heat pump (ASHP) takes heat from outside air; a ground source heat pump takes it from pipes buried in the ground. Both get £7,500, or £9,000 in eligible off-gas homes. Air vs ground source compared
Is the Boiler Upgrade Scheme means-tested?
No. There's no income test; it's based on the property, your current heating and the heat pump you install.
Do I have to pay the grant back?
No. It's a grant, not a loan. It appears as a discount on your installer's quote and the installer claims it from Ofgem.
Do I need an EPC or new insulation first?
You no longer need an EPC to apply, and insulation isn't a requirement, though Ofgem recommends improving insulation where practical because heat pumps work best in well-insulated homes.
Can I get the grant in Scotland or Northern Ireland?
No, the scheme covers England and Wales only.
Who applies for the grant?
Your MCS-certified installer applies on your behalf. Ofgem then contacts you to confirm consent.
See what you could get in 60 seconds
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