Guide

The £2,500 grant for air-to-air heat pumps explained

How the Boiler Upgrade Scheme covers air-to-air heat pumps from 28 April 2026: amount, eligibility, MCS rules and how the grant is claimed.

The £2,500 grant for air-to-air heat pumps explained

Short answer: Since 28 April 2026 the Boiler Upgrade Scheme in England and Wales has included air-to-air heat pumps, with Ofgem listing a £2,500 grant for residential properties. The system must replace existing fossil fuel or electric heating, be capable of meeting the home's full space-heating demand, and be installed by an MCS-certified installer, who applies for the grant and deducts it from the price.

What the law changed

The Boiler Upgrade Scheme (England and Wales) (Amendment) Regulations 2026 made air-to-air heat pumps eligible plant, for domestic properties only, from 28 April 2026. The same regulations removed the requirement for a valid EPC and require installers to deduct the voucher value from the quoted price.

Who is eligible

Homeowners and landlords in England and Wales replacing fossil fuel or direct electric heating. The heat pump must have enough capacity to meet the full space-heating demand on its own and be no more than 45 kW. If any gas, oil or LPG boiler stays in use, even just for hot water, the installation is not eligible, and the heat pump itself must be MCS-certified. Non-residential buildings are excluded.

The MCS requirement

Only installers certified by the Microgeneration Certification Scheme for air-to-air heat pumps can apply. Certification for air-to-air was still rolling out in 2026, so ask any installer to confirm their MCS status before you sign. We confirm whether an MCS-certified installer is available for your job before you commit.

Hot water

Air-to-air heat pumps heat rooms, not water. Homes need a separate way to heat water, such as an existing immersion cylinder or a hot water heat pump.

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Sources

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Reviewed October 2026. Rules and prices change; check the date and ask us if anything is unclear.

FAQ

Questions we get asked

Is the grant £7,500 like air-to-water?

No. Ofgem lists £7,500 for air-to-water and ground source, and £2,500 for air-to-air.

Can I claim for a holiday let?

The air-to-air grant is for residential properties only. Whether a particular holiday let counts depends on its use, so check with the installer and Ofgem before relying on it.

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