£9,000 Heat Pump BUS Grant for Oil and LPG Homes in 2026
Quick Verdict: From 21 July 2026, oil and LPG homeowners in England and Wales can claim a £9,000 BUS grant towards a heat pump: up £1,500 from the previous £7,500. If your installation has already been commissioned, the 120-day application window means you may still qualify at the higher rate. Act now to avoid missing it.
The £9,000 BUS Grant Is Now Confirmed
The government has officially confirmed an increase to the Boiler Upgrade Scheme (BUS) for homes off the mains gas grid. From 21 July 2026, eligible oil and LPG properties in England and Wales can access a £9,000 grant towards installing an air source or ground source heat pump.
This is the highest level of BUS support ever made available and is specifically targeted at off-gas-grid homes: typically rural properties that are most exposed to volatile oil and LPG prices. The increased rate will run until March 2027.
Properties on mains gas are not affected. Their grant stays at £7,500.
Why Oil and LPG Homes Are Being Prioritised
Mains gas has a price cap. Oil and LPG do not. When global energy markets move, off-grid households absorb the full impact with no protection.
The government has been explicit that this group faces the greatest exposure to volatile fossil fuel prices. The £1,500 increase is a direct response to that. A heat pump removes this exposure entirely. Once installed, your heating cost is tied to your electricity tariff, which carries price cap protection.
For oil and LPG homeowners, the economics of switching have rarely been stronger. High fuel prices plus a £9,000 grant plus falling heat pump installation costs make a compelling case.
How the 120-Day Rule Works in Your Favour
This is the detail most homeowners miss.
BUS voucher applications can be submitted up to 120 days after your heat pump is commissioned. You do not need to have the voucher in place before installation. That means:
- If your heat pump is installed between now and 21 July, and you apply for your BUS voucher on or after 21 July while still within the 120-day window, you qualify for £9,000, not £7,500.
- If you already have a BUS voucher issued at £7,500, we believe your installer can revoke it and reapply at the higher rate once the new grant opens. The same 120-day rule applies to the reinstated application. Check with your installer.
A typical installation takes several weeks from survey to commission. If you start your quote process now, your install date is likely to fall comfortably within the 120-day window when July arrives.
Talk to your installer before making any changes to an existing voucher. Confirm the exact grant change date before withdrawing anything.
What the Grant Covers
The BUS grant is deducted directly from your installation quote. You do not apply for it yourself or wait for a payment. Your MCS-certified installer handles the paperwork and reduces your invoice accordingly.
A typical air source heat pump installation costs between £10,000 and £15,000 before the grant. At £9,000, the grant covers the majority of that for many properties. The remaining balance depends on your home's specific requirements such as emitter upgrades, pipework, controls and insulation.
The grant does not cover everything. But it is the most substantial upfront support the scheme has ever offered.
Do You Qualify?
To be eligible for the £9,000 BUS grant, you need to meet the standard scheme criteria:
- Your property is in England or Wales
- You are replacing an oil or LPG heating system
- You own the property (landlords may also qualify in some cases)
- Your installer is MCS-certified and registered to submit BUS applications
- The heat pump meets performance and commissioning standards
- Your installation is commissioned within 120 days of the voucher application
If you have previously received public funding for your home's heating system, you may be excluded. We check eligibility as part of your Design Consultation.
What to Do Now
The window between now and 21 July is an opportunity. Installations happening in the next few weeks will fall within the 120-day window when the higher grant opens.
Here is what the process looks like:
- Get an estimate and book a design survey
- Your installer carries out a heat loss calculation and system design
- Installation is commissioned
- Your installer applies for the BUS voucher at £9,000 on or after 21 July, within 120 days of commission
- The grant is deducted from your final invoice
The sooner you start, the more time you have. Surveys, equipment lead times and installation slots mean there is no advantage to waiting.
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Frequently Asked Questions
My heat pump was installed before 21 July. Can I still get £9,000?
Yes, provided your installation is commissioned within 120 days of when your installer submits the voucher application — and that application is submitted on or after 21 July 2026. If the dates line up, you qualify at the higher rate.
I already have a BUS voucher at £7,500. What should I do?
Talk to your installer. They can revoke the existing voucher and reapply at £9,000 once the higher rate opens on 21 July, as long as your commission date still falls within the 120-day window. Do not withdraw anything without confirming the dates first.
Does the £9,000 grant apply to ground source heat pumps?
Yes. Both air source and ground source heat pumps qualify under BUS, subject to the same eligibility criteria.
How long will the £9,000 rate last?
The higher grant for oil and LPG properties is confirmed until March 2027. Standard planning — get a survey, book installation, proceed — gives you plenty of time.
What if I live in Scotland?
BUS does not cover Scotland. Scottish homeowners should look at the Home Energy Scotland Grant and Loan Scheme, which offers grants of up to £7,500 plus an interest-free loan of up to £7,500. Heat Geek supports installs across Scotland.
Does the grant cover the full cost?
Usually not. Installations typically cost between £10,000 and £15,000 before the grant. The £9,000 covers a substantial portion, but your final balance depends on your property and system specification.
