The £450 million Boiler Upgrade Scheme (BUS), announced by the Government last year as part of its Heat & Buildings Strategy, will open on 23 May 2022.

The BUS follows the Domestic Renewable Heating Incentive (DRHI), which closed at midnight on 31 March 2022 and will allow people to apply for a one-off grant payment of:

  • £5,000 towards the cost of an air-source heat pump (ASHP) or biomass installation


  • £6,000 towards the cost of a ground-source heat pump (GSHP) installation.

Homes and small non-domestic buildings on and off the gas grid, including owner-occupiers, private landlords and custom-builds, are eligible for the BUS. New buildings and social housing will not be eligible for support.

All applicants must have a valid EPC and if the EPC states that cavity wall or roof insulation is recommended, this work must be done, and a new EPC issued before applying for the BUS Scheme. They will also need to use a MCS registered installer to undertake the work.

If you have started an installation project from 1st April this year you will be eligible to apply for a BUS grant once it has launched.

The Spring Statement also welcomed VAT relief on Energy Saving Measures which includes  solar panel and heat pumps installations. From 1st April 2022, these will be zero rate VAT for a period of 5 years. By way of example of the incentives this can have, the Chancellor said; “A family having a solar panel installed will see tax savings worth over £1,000 and savings on their energy bill of over £300 per year.

Steve Gregor commented:

“These are welcome moves by the Government to keep providing grant funding and VAT relief for homeowners that are looking for more carbon friendly ways to heat their homes.

 “As an MCS registered installer, Gregor Heating has been installing renewable technologies for over ten years and we are delighted to be able to assist customers looking for a reliable expert to help with their home heating needs.”

If you are interested in looking at renewable technologies to heat your home then check out our dedicated website for success stories of renewable technologies.