Guide · Updated 8 November 2026
Air to air heat pump grant: the £2,500 Boiler Upgrade Scheme
Yes, there's a grant. Since 28 April 2026, air to air heat pumps qualify for £2,500 off through the Boiler Upgrade Scheme in England and Wales. It's for homes replacing gas, oil, LPG or electric heating, the system must be able to meet the home's full heating needs, and it has to be fitted by an installer who is MCS certified for air to air. It isn't £7,500: that larger grant is for air-to-water and ground source heat pumps.
- £2,500 off, taken off your installer's quote
- England and Wales, homes only (not businesses)
- Must replace gas, oil, LPG or electric heating, with no fossil-fuel heating left in place
- Must be able to provide all of the home's space heating (top-up electric heaters are allowed)
- Installer must be MCS certified for air to air heat pumps
- One grant per property
When it started
The government announced the £2,500 air to air grant on 18 November 2025, describing it as giving "the best of both worlds" for homes, especially flats and small homes without central heating. Ofgem's guidance confirms air to air heat pumps became eligible from 28 April 2026, for residential properties only.
Who qualifies
- Location: England or Wales. Scotland and Northern Ireland aren't covered by the Boiler Upgrade Scheme (see below).
- Property: an existing home. New builds are generally excluded, apart from some self-builds.
- Current heating: gas, oil, LPG or electric (including storage heaters). The heat pump has to replace it.
- Not already low carbon: you can't get a grant to replace an existing heat pump or biomass boiler.
- EPC: a valid Energy Performance Certificate is normally expected. Since 2026 Ofgem can accept alternative evidence if you don't have one, such as a recent fuel bill or photos of your existing heating.
The conditions that catch people out
It has to be your main heating
The scheme is for replacing a heating system, not adding a cooler or a heater to one room. Ofgem's rules say the system must have enough capacity to meet 100% of the property's space heating needs, alone or with supplementary appliances. A single unit in a bedroom while the gas boiler heats the rest of the house won't qualify.
No fossil-fuel heating left in place
You can keep or add non-fossil top-up heating, such as storage heaters, an electric immersion or a heat battery. You can't keep a gas, oil or LPG boiler as a backup. Hybrid systems aren't eligible.
Hot water is your problem to solve
Air to air heat pumps heat and cool air, not water. If you remove a gas combi boiler, you'll need another way to heat water: an electric cylinder with an immersion, a hot water heat pump, or a product with hot water built in (such as Daikin's Multi+). Your installer should cover this in the quote.
The installer needs the right MCS certification
Air to air has its own MCS standard (MCS 031 b). An installer can be MCS certified for air-to-water heat pumps but not yet for air to air. Check before you sign, because only the installer can apply for the grant.
How you get the money
- Get quotes from installers who are MCS certified for air to air.
- Your chosen installer applies to Ofgem for the voucher.
- Ofgem contacts you to confirm you agreed to the application.
- The installer fits the system and claims the £2,500 from Ofgem. You pay the quote minus £2,500.
Scotland, Wales and Northern Ireland
- Wales: covered by the Boiler Upgrade Scheme. Lower-income households can also check the Welsh Government's Warm Homes Nest scheme.
- Scotland: not covered. Home Energy Scotland runs its own grant and interest-free loan scheme; ask them whether air to air heat pumps qualify for your home.
- Northern Ireland: not covered by the Boiler Upgrade Scheme.
Common myths
- "It's £7,500." Not for air to air. £7,500 is for air-to-water and ground source heat pumps.
- "It's a grant for air conditioning." Only if the system is a heat pump that replaces your heating. Cooling-only units and extra units alongside a gas boiler don't qualify.
- "You claim it back afterwards." No, the installer takes it off the price upfront.
Questions
Is there a grant for air to air heat pumps?
Yes. Since 28 April 2026 the Boiler Upgrade Scheme gives £2,500 towards an air to air heat pump in England and Wales, if it replaces gas, oil, LPG or electric heating and is fitted by an MCS certified installer.
Can I get £7,500 for an air to air heat pump?
No. £7,500 is for air source (air-to-water) and ground source heat pumps. Air to air heat pumps get £2,500.
Can I keep my gas boiler for hot water and get the grant?
No. The rules don't allow fossil-fuel heating to stay in place. You'd need another way to heat water, such as an electric cylinder or a hot water heat pump.
Can I get the grant for one room?
Not if the rest of the house is still heated by gas, oil or LPG. The system must be able to meet the whole home's space heating needs, with non-fossil top-up heaters allowed. In a small flat, one or two units may be enough to do that.
Is there an air to air heat pump grant in Scotland?
The Boiler Upgrade Scheme doesn't cover Scotland. Home Energy Scotland runs separate grants and loans, so check with them.
Sources
- Ofgem: Summary of updates to BUS guidance for installers, March 2026 (air-to-air eligible from 28 April 2026)
- GOV.UK: Boiler Upgrade Scheme, what you can get
- GOV.UK: Discounts for families to keep warm in winter and cool in summer (18 Nov 2025)
- Ofgem: Boiler Upgrade Scheme
- MCS: Update on the implementation of air-to-air heat pumps into MCS (13 Apr 2026)
- Daikin: Your guide to the latest BUS changes
- Home Energy Scotland
Checked 8 November 2026.