The headline numbers
The Secretary of State has approved a budget of £400 million for the Boiler Upgrade Scheme in the 2026-27 financial year. That is a step up from previous years, and the stated aim is to keep installation volumes growing without a funding gap that forces installers to pause quoting.
The grant amounts for 2026-27 are:
- Air source heat pumps (ASHP): £7,500
- Ground source heat pumps (GSHP): £7,500
- Air-to-air heat pumps: £2,500 (new for 2026)
- Biomass boilers: £5,000
A rural uplift is also available, bringing grants up to £9,000 for qualifying countryside postcodes.
Air-to-air heat pumps join the scheme
This is the first time air-to-air systems have been eligible for BUS funding. The £2,500 grant applies where the system replaces an existing fossil fuel or direct electric heating setup and provides space heating as its primary function. Units must be MCS-certified and meet ecodesign requirements.
For survey teams, air-to-air jobs are different from ASHP work. There is no wet heating system to assess — no cylinders, no emitters, no pipework routes. Instead the survey focuses on room-by-room cooling and heating loads, internal unit positioning, refrigerant pipe runs, condensate drainage, electrical supply, and noise. It is a different pack, and installers moving into this space will need survey evidence that reflects what their MCS assessor expects to see.
Grant deducted at point of sale
From April 2026, installers are required to deduct the BUS grant directly from the customer's bill. Previously some homeowners had to pay the full amount upfront and wait for reimbursement. This change removes a barrier for households that could not bridge the gap, which should reduce cancelled orders and keep more jobs moving through to survey stage.
For installer businesses, this means tighter cash flow management. The grant is claimed back from Ofgem after the work is done, so the installer carries the cost until redemption. Survey and evidence quality matters here — if the BUS voucher application fails because of missing documentation, the installer is out of pocket and the job stalls.
EPC requirement changes
Year 5 of the scheme (2026-27) is expected to relax the EPC requirement at application stage. The draft guidance from Ofgem suggested removing the need for a valid EPC before a voucher is issued, though the underlying insulation checks still apply. This does not mean less survey work — it means the survey itself becomes the main evidence that the property is suitable, rather than the EPC certificate.
In practice, installers should still check loft and cavity wall insulation status during the survey visit. If the property has outstanding insulation recommendations that would have shown up on an EPC, the surveyor needs to flag this so the installer can advise the homeowner before committing to the grant application.
What £400m means in volume terms
At £7,500 per ASHP grant, a £400m budget supports roughly 53,000 heat pump installations in one year if every grant went to ASHP. In reality the mix includes GSHP, biomass, and now air-to-air, so the actual number of funded installations will be higher — probably 55,000 to 60,000 once the lower-value air-to-air grants are factored in.
Every one of those installations needs a survey. Many also need a heat loss calculation. Some need both an ASHP survey and a separate solar or battery assessment if the homeowner is doing multiple upgrades at once. For installer teams, this budget confirmation means the pipeline is not drying up — if anything, the volume of survey work is set to increase through 2026-27.
What this means for survey planning
Three things worth thinking about if you are booking survey work through BUS-funded jobs:
- Evidence quality is now directly tied to cash flow. With the grant deducted upfront, a failed voucher application means the installer absorbs the cost until it is resolved. Clean survey packs with the right photos, measurements, and MCS-ready documentation reduce the risk of rejection.
- Air-to-air work needs a different survey approach. If you are expanding into air-to-air heat pumps to access the new £2,500 grant, your existing ASHP survey process will not cover it. Room-level load calculations, internal unit positions, refrigerant runs, and noise assessments all need documenting differently.
- The EPC relaxation does not reduce the evidence bar. If anything, it raises it. Without an EPC gatekeeper, the survey pack becomes the primary record that the property was assessed properly. Insulation status, fabric condition, and suitability should all be clearly documented.
Source
GOV.UK: Boiler Upgrade Scheme: budget increase, April 2026
Related pages
- BUS changes from April 2026 — full breakdown of the scheme rule changes
- BUS evidence checklist — what to keep in the file at each stage
- ASHP survey packs — what the pack includes and how to book
- Survey pricing — live pricing for all survey types