What grants can help install a heat pump in England in 2026?

Check the funding route before committing to the installation.

The answer in 2 lines. In England, the Boiler Upgrade Scheme can contribute towards an eligible heat pump installation. The 2026 grant schedule includes air-to-water, ground-source and air-to-air systems, with a higher award for certain homes outside the gas network replacing oil or LPG heating. Lower-income households should also check the Warm Homes: Local Grant before ordering work. Eligibility, suitable system design and the remaining cost all need checking separately.

Start with these steps

Read the official eligibility checklist. Match it to your ownership, existing heating and any previous public funding.
Check the Warm Homes: Local Grant application page. Use its eligibility questions and Start now link if your household may qualify.
Obtain written installation proposals showing the system design, total price, grant deduction, VAT treatment and remaining amount to pay.

Stop: danger

Unexpected grant application: do not confirm consent for work or an installer you do not recognise. Use the contact route in the official property-owner guidance to query it.

The published grants in 2026

Installation	Grant	Main qualification
Air-to-water heat pump	£7,500	Standard eligible installation
Ground-source heat pump	£7,500	Standard eligible installation
Air-to-air heat pump	£2,500	Must meet the scheme conditions
Air-to-water or ground-source replacing oil or LPG	£9,000	Eligible property outside the gas grid

The official grant schedule effective from 21 July 2026 distinguishes the property and replacement-heating categories. Check the exact row: being outside the gas grid alone does not establish entitlement to the higher award. The published temporary uplift runs until 31 March 2027.

How the application works

The scheme is led by the installer. Your chosen installer applies on your behalf, and the grant should appear as an upfront deduction from the quote. You then confirm your consent and eligibility when contacted through the official process.

Follow the property-owner guidance through its application and consent sections. It also provides the route for checking an installer's required certification. Confirming consent to an application is separate from agreeing the installation contract.

Ask what happens to your deposit and price if funding is refused or the installation cannot proceed. Keep the grant decision, signed scope and invoices together.

What not to do

Assuming a cooling appliance qualifies simply because it is described as a heat pump.
Treating the grant as confirmation that the proposed system will suit your home.
Accepting a quote that shows only the price after funding.
Assuming separate public schemes can both pay for the same installation.

Local support and VAT relief

The Warm Homes: Local Grant may fund improvements, including an air-source heat pump, for eligible privately owned homes in England. Follow Start now to check your circumstances. The council assesses the property and arranges agreed work, subject to eligibility and available funding; you cannot assume it will fund your preferred system.

Qualifying heat pump installations can benefit from 0% VAT under the rules checked in 2026, currently running until 31 March 2027. Equipment bought without installation does not receive the same relief. Ask the installer to explain the treatment using HMRC's energy-saving materials guidance, particularly where the quotation includes other building work.

Check suitability and the remaining cost

A grant covers part of the project, not every possible alteration. Ask whether the proposal includes hot-water provision, radiator changes, electrical work, controls and making good. Request the assumptions behind estimated running costs.

Most new builds and social housing are excluded from this particular scheme, and previous public support for a heat pump can affect eligibility. Use the GOV.UK checklist for exceptions rather than relying on a sales summary.

Good to know

The Boiler Upgrade Scheme also operates in Wales. Scotland and Northern Ireland have separate funding arrangements.
The scheme overview links to support outside England and Wales; select the relevant country before checking eligibility.
Funding rules can change. Recheck the published grant category before accepting the final contract.

An illustrative case: Helen owns an oil-heated home outside the gas grid in Lincolnshire. She asks the installer to confirm the grant category in writing and separate radiator work from the heat pump price. She also checks local support before proceeding. Her decision rests on the full remaining cost and system design, rather than the advertised grant alone.

A made-up story, for illustration.

Bobby

Sources, verification, confidence

Verified on 6 November 2026, for England. Confidence: high for published 2026 grant categories and VAT rules; medium for individual eligibility, local funding availability and installation costs. Official pages give differing summaries of installation deadlines, so no universal completion period is stated here: confirm the deadline attached to your application.