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Grants and financial support for new gas boilers

Explore grants and financial support for the best A-rated gas boilers.

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What's In This Guide

Your guide to gas boiler grants

Are you looking for a new gas boiler? If your boiler is over 10 years old, you could get a grant to replace it with a low-carbon heating option. 

 

You might have heard about the government’s gas boiler ban. The current situation means the government is backing proposals to make all homes net zero-ready by 2025. Measures include a gas boiler ban in all new builds. What’s more, the installation of new gas boilers in older homes will be phased out in 2035. If you choose to replace your boiler after that date, you must install a heat pump or biomass boiler. 

 

In the meantime, if you're not eligible for financial help with low-carbon heating, you may benefit from an A-rated new gas boiler. These incredibly efficient systems are rated 90% and above, meaning you use less gas to heat your home. And they could help you cut your energy bills before switching to green heating. Be aware that there is no new gas boiler grant scheme in operation. 

 

If you're ready to explore low-carbon heating, you could be eligible for a grant for gas boiler replacement. With heat pump, electric boiler and electric radiator grants available, there's never been a better time to upgrade your heating to be future-ready. 

 

Grants and financial support schemes are constantly evolving. While there is currently no gas boiler scheme, you could get financial help with 0% interest and buy now, pay later financing. As we head towards Net Zero 2050, staying updated with the latest funding developments in this dynamic landscape is critical. Read on for the best grants and funding schemes across the UK.  

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Finding the best deal on a new gas boiler can be daunting. Our goal at SpotDif is to take the guesswork out of finding gas boilers and installers in your area. We'll help you get across all available options, making it straightforward to find the best fit for your budget and heating needs. You're only a few clicks away from a new heating solution for your home or business. 

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Is there a government grant for gas boiler replacement? 

Yes, there is. The Boiler Upgrade Scheme is part of ECO4 funding. The current scheme is administered by Ofgem. Various grants are available through the project, including insulation and low-carbon heating. ECO4 is open to homes in England, Scotland and Wales.  

 

The basic eligibility criteria include being a homeowner or tenant and receiving income-related benefits. However, the requirements change depending on the grant scheme you're applying for. You could still apply to your local authority through the LAFlex or LADS schemes if you don't receive benefits. 

Boiler Upgrade Scheme 

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The Boiler Upgrade Scheme (BUS) is part of the latest round of Energy Company Obligation (ECO) funding. You could be eligible to claim a grant for gas boiler replacement of up to £7,500 if you meet the criteria: 

 

  • You’re a homeowner or private tenant. 

  • You’re replacing a fossil fuel heating system. 

  • You intend to install the new system on or after April 1st, 2022. 

  • Your home has an EPC with no outstanding cavity wall or loft insulation recommendations. 

 

You won’t be able to use the grant for a new build or social housing. And the scheme doesn’t cover hybrid heating systems. 

 

Applying is a straightforward three-step process: 


  1. Contact an MSC-approved installer. 
  2. Your installer confirms your eligibility. 
  3. You’ll agree on a quote, and your installer applies to Ofgem.

Warmer Homes (Scotland) 

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Are you struggling to stay warm in Scotland? You could be eligible for a boiler upgrade or a heat pump through the Warmer Homes scheme. 

 

If you're a private tenant or homeowner struggling to heat their home, you could get a free replacement boiler. 

Nest (Wales) 

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As a gas boiler replacement scheme, Nest runs a grant in Wales. Are you in a low-income household, receiving means-tested benefits or have a chronic health condition? In that case, you can apply for energy-efficient home improvements.  

 

Nest is part of the Welsh government’s Warm Homes Initiative,  

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Previous grants and funds for gas boilers

In the past, there have been a handful of other government initiatives to help homeowners access better boilers. While the following schemes are now closed, it can be helpful to know a little about these grants. It can help us understand what the trajectory for heating grants has been, what’s worked, and how these schemes are likely to develop or change in the future.

ECO new boiler grant scheme – [closed] 

The Home Heat Cost Reduction Obligation provided qualifying households with a free new gas boiler grant. The aim was to replace older-style boilers with a new A-rated system, helping to save low-income households money. The amount of funding available depended on the energy efficiency of a property. 

 

This ECO-funded gas boiler scheme ran from 2012 to 2022. 

Boiler scrappage scheme – [closed]

The Boiler Scrappage Scheme gave homeowners a £400 voucher to scrap and replace their G-rated gas boilers. Energy companies matched this amount for a total saving of £800 on the replacement boiler cost. 

 

The Boiler Scrappage scheme was launched in 2009 and closed a few months later after all the vouchers were claimed. 

Other grants and schemes to help with the cost of a new gas boiler

Are you struggling to meet the cost of a new gas boiler? Other financing options are available if you don't qualify for a grant. 


Boiler financing 


Look out for boiler financing schemes to help you spread the cost. Most major suppliers offer 0% financing with Buy Now, Pay Later. You could spread the cost of your new gas boiler over anywhere from two to 10 years. You’ll need to pass a credit check, and you should be able to make a deposit. But your monthly payments are low and affordable, with a contract period to suit your budget. 

Is it worth getting a new gas boiler now?

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Is your boiler over ten years old, inefficient and unreliable? It could be time to invest in a new one. In fact, a new A-rated gas boiler could help you make substantial savings on your energy spend.  

 

According to the UK's Energy Savings Trust,  50% of your household budget is spent on heating and hot water. Replacing an inefficient boiler could be the first step to cutting your bills, reducing greenhouse gas emissions and shrinking your carbon footprint. Gas remains the cheapest form of heating energy, at 7p/kWh, making a new A-rated gas boiler an attractive choice when you're on a budget. 

 

A new gas boiler costs anywhere from £600 to £2,500 with installation on top. But an A-rated new gas boiler will pay for itself over its lifetime. These versatile systems can be fitted in any home to deliver heat and hot water on demand. And you could save up to 1,500kg of C02 and £340 annually. 

 

But is it worth getting a new gas boiler now? If your boiler keeps breaking down and your bills are through the roof, a new gas boiler could be the most cost-effective replacement. Replacing your gas boiler now could cut your energy bills for the next ten years. Plus, you could benefit from attractive replacement schemes in 2035 when the gas boiler ban comes into effect. 

Should I upgrade my gas boiler? 

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There's little doubt that installing a low-carbon heating system is the way forward. A heat pump can convert 1kW of energy into at least 3KW of heat. And the most efficient heat pumps can cope with temperatures below zero to keep you comfortable all winter. 

 

Clearly, installing a heat pump or biomass boiler is the low-carbon future. But with prices still significantly higher than a new gas boiler, the cost may put you off. Additionally, you'll need to ensure that your home is well-insulated for optimal performance. If you heat using radiators, they'll need to be resized to account for a heat pimp's lower input. 

 

Fortunately, a grant for boiler replacement can significantly reduce your costs. You may also be eligible for energy-efficient home improvements like radiators, insulation and draughtproofing. With the Boiler Upgrade Scheme rising to £7,500, there's never been a better time to switch to low-carbon heating. 

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Are you looking for a gas boiler scheme? Though you may not get a grant to replace your old gas boiler, there's plenty of financial support around for switching to renewable heating systems. And if you don't qualify for a grant for gas boiler replacement, you could get a new A-rated super-efficient gas boiler for a low cost. 

 

If you’re keen to invest in future-proof low-carbon heating, or you need the best deal on a new gas boiler, SpotDif is here to help. In just a few clicks, we’ll make finding the best deals on replacement gas boilers a breeze so you can start saving on your energy bills.

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Anna Dearden
Home sector specialist
I'm driven by curiosity, and constantly seeking to unravel and explore the ever-evolving trends in the realms of lifestyle, finance, and well-being.
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