The Boiler Upgrade Scheme
Launching in April 2022, the government will be providing UK homes with £5000 vouchers to upgrade their current boilers to heat pump systems. In certain circumstances, the voucher can be used towards the installation of a biomass boiler instead. This new scheme aims to aid the decarbonisation of buildings and ensure the UK is ready to adopt more low carbon systems by 2028.
The RHI scheme was introduced and designed to attract financial investment into renewable heat
technologies. However, the upfront costs to install such a system was a barrier for many
consumers who did not have the savings to pay for the extra upfront costs of a low carbon heat
system compared to a fossil fuel alternative.
In an effort to move away from the tariff based mechanism for buildings technologies and to provide the next stage of support through an upfront grant mechanism, the Boiler Upgrade Scheme(BUS) was created.
The upfront capital grant will make the scheme more accessible and help customers in overcoming the huge upfront costs of owning a low carbon alternative. The one off payment of £5000 is a lot easier to administer than a tariff mechanism which provides quarterly payments such as was the case in the domestic RHI scheme. In addition to these, further initiatives like the Green Home Finance Innovation Fund and a new Green Home Finance Accelerator programme in 2022.
The scheme will provide grants of £5000 towards the installation and capital costs of ASHP’s and biomass boilers, and grants of £6000 for GSHP’s. This will allow a substantial amount of homes in the UK to have access to such technology and also help the governments commitment to install up to 600,000 heat pumps per year by 2028.
If you’re looking to install a low carbon system such as an air source heat pump in your house, an
initial home survey will reveal if your house will benefit from such a technology in the first place.
The final quotation and figure of the installation will be revealed to you and the voucher amount
will be deducted from the quotation should you wish to go with the scheme.
BUS is an amazing incentive to lower the upfront costs of getting a heat pump installed. The current funding of £450 million across three years from 2022 to 2025 set out by the government will cover around 90,000 payments. This sounds like a lot, however, the scheme is already proving to be popular and due to the increased attention, the market for heat pumps has grown immensely.
Don’t miss out on this scheme - claim your spot for installation and the voucher today !!