Scheme Comparison

ECO4 vs Boiler Upgrade Scheme

Last updated: 10 October 2026

free boiler scheme or £7,500 heat pump grant — which is right for you?

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ECO4 ends 31 December 2026Apply now if you qualify — the work has to be finished before the deadline, not just booked. There is no ECO5. See what replaces ECO4 → or check the Warm Homes: Local Grant, which runs to March 2028.
What you can get now · checked 10 October 2026

Boiler help you can get now

Free boilers for eligible households come mainly through ECO4, open until 31 December 2026. Here is what you can apply for now, including if you don't get benefits.

  • Boiler Upgrade Scheme (England & Wales) — £7,500 off an air source or ground source heat pump for most homeowners replacing fossil-fuel heating — no income or benefits test, and since 28 April 2026 no valid EPC needed. Homes heated by oil or LPG with no mains gas connection get £9,000 off an air source or ground source heat pump until 31 March 2027. The installer claims it and takes it off the quote; you pay the rest. Boiler Upgrade Scheme guide.
  • Warm Homes: Local Grant (England) — insulation, heat pumps and solar panels for privately owned or privately rented homes rated EPC D–G, through councils taking part, if household income is £36,000 or less, someone gets a qualifying means-tested benefit, or you live in one of the most deprived postcodes. Owner-occupiers can have the work fully funded; tenants pay nothing, and a landlord gets one home fully funded, then pays 50% from the second. It runs to March 2028. Apply free on GOV.UK; your council usually contacts you within 10 working days. How it works. It funds heat pumps, not gas boilers.
  • Just need a gas boiler replaced? — outside ECO4, the national schemes in England do not pay for a like-for-like gas boiler: the Warm Homes: Local Grant cannot fund new gas boilers, and the Boiler Upgrade Scheme is for heat pumps. Some councils run small emergency heating funds, so ask yours. In Scotland, Warmer Homes Scotland can still fund a new gas boiler where it suits the home.
  • Warm Home Discount — £150 off your electricity bill for winter 2026/27. In England and Wales it is usually paid automatically if you got Universal Credit, Pension Credit, Housing Benefit or income-related ESA on 23 August 2026. Who qualifies.
  • ECO4, while it lasts — ECO4 can still fund work where a local installer has capacity, but only until 31 December 2026, and the work has to be finished, not just booked. There are no new targets and no ECO5. What replaces ECO4.
Check your heating options now →

Sources, checked 10 October 2026: GOV.UK Warm Homes: Local Grant, GOV.UK Boiler Upgrade Scheme, SI 2026/390, Ofgem ECO, HMRC VAT Notice 708/6, GOV.UK Warm Home Discount, Home Energy Scotland, gov.wales Nest.

Two Different Heating Grants

The UK has two main grants for upgrading your heating system, but they work very differently:

  • ECO4: Free gas boiler replacement (like-for-like) for households on benefits — only until 31 December 2026, where an installer still has capacity
  • Boiler Upgrade Scheme (BUS): £7,500 towards a heat pump for ANY homeowner

Side-by-Side Comparison

FeatureECO4 BoilerBoiler Upgrade Scheme
What you getNew A-rated gas boiler (free)£7,500 towards heat pump
Your cost£0 (fully funded)£500-6,500 (after grant)
Means tested?Yes — need qualifying benefitsNo — any homeowner
EPC needed?Yes — D or belowNo — a valid EPC is no longer required (since 28 April 2026)
Running costs~£850/yr (gas)~£550-750/yr (electric)
Future-proof?No — gas boilers banned 2035Yes — heat pumps are the future
DeadlineDecember 2026March 2028

Choose ECO4 Boiler If:

  • You're on qualifying benefits and want zero out-of-pocket cost
  • Your current boiler is broken or very old
  • You want the simplest, fastest solution
  • Your home isn't well-insulated enough for a heat pump yet

Choose Boiler Upgrade Scheme If:

  • You can afford £500-6,500 after the £7,500 grant
  • Your home is already well-insulated
  • You want lower running costs long-term
  • You want to future-proof against the 2035 gas boiler ban
  • You have or plan to get solar panels (free electricity = free heating)

The Smart Play: Combine Both

You can't use both for heating in the same property. But you CAN get ECO4 insulation (free) and then a BUS heat pump (£7,500 grant). Insulate first, heat pump second — the optimal order.

Check Which You Qualify For

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Common Questions

Not both for heating — choose one. But you CAN get ECO4 insulation + BUS heat pump, which is the ideal combination.
BUS heat pump saves more long-term (£100-300/yr less than gas, and gas prices are rising). ECO4 boiler has zero upfront cost but higher running costs.
For well-insulated homes, yes. Heat pumps are 3-4x more efficient, have lower running costs, last longer (20-25 years vs 10-15), and won't be affected by the 2035 gas boiler ban.
Get free insulation through ECO4 first, then apply for BUS. This is the recommended order — insulate, then switch to a heat pump.

Related Guides

ECO4 Scheme

Ends 31 Dec 2026: who still qualifies

Cavity Wall Insulation

Save up to £380 a year with free cavity wall insulation

Free Boiler Replacement

Replace your old boiler with a new energy-efficient one

Check Eligibility

Find out which grants you qualify for in 60 seconds

Disclaimer: Great British Energy is an independent information service. We are not a government body and are not affiliated with Great British Energy (gbe.gov.uk). Grant amounts, eligibility criteria, and scheme details may change. Always verify with the relevant government department or your local authority before making financial decisions. We may receive referral fees when you use our partner installers — this doesn't affect our editorial recommendations. Content last reviewed: 10 October 2026.