If your boiler has broken down or you’re planning to install one for the first time, be prepared for a significant expense. A new boiler, including installation, typically costs between £2,500 and £5,000. If you’re considering a biomass boiler, the price can range from £7,000 to £15,000. Fortunately, there are government grants available that can help cover these costs, potentially providing a new boiler for free or at a reduced price.
In this article, we guide you through each available boiler grant, outlining the eligibility criteria and application process. We aim to make it easy for you to understand your options and determine if you qualify for financial assistance. From government-funded programs to energy company initiatives, we cover all the information you need to help reduce the cost of your new boiler.
Choosing the right boiler from the numerous options available in the UK market can be overwhelming. For detailed guidance, check out our article on the Best Boilers in the UK 2024, which will help you make an informed decision.
The ECO government scheme is the most comprehensive grant in the UK. The third phase, ECO3, ended on 31 March 2022. The latest phase, ECO4, began in July 2022, featuring an even larger funding pool and updated eligibility criteria. This new phase aims to offer more support to a broader range of households, making it easier for you to access financial assistance for your boiler needs.
Similar to ECO3, ECO4 targets low-income and vulnerable households, aiming to support the total decarbonisation of UK homes by 2050. ECO4 helps households upgrade to energy-efficient measures such as eco-friendly boilers and heat pumps. While ECO3 installed nearly 134,000 boilers, ECO4 primarily promotes the installation of heat pumps due to their superior efficiency in 2024. Although ECO4 still offers free boilers, they must be highly efficient and eco-friendly, like biomass boilers, and the number of boiler grants has been reduced to just 5,000.
Interested in learning more about government grants for heat pumps? Check out our comprehensive Guide to UK Heat Pump Government Grants 2024.
ECO4 places a stronger emphasis on upgrading homes with EPC ratings below D to the most energy-efficient standards. The goal is to provide these homes with as many free efficiency measures as possible to improve their EPC ratings. By focusing on these upgrades, ECO4 aims to make homes more energy-efficient and reduce overall energy consumption.
Unlike ECO3, ECO4 adopts a fabric-first approach, prioritising insulation over other measures such as boilers and heat pumps. This strategy aims to maximise the EPC rating of homes. Poor insulation significantly lowers energy efficiency by allowing a large portion of heat to escape through walls, roofs, and floors. This not only increases your carbon footprint and energy bills but also strains your boiler, causing it to break down sooner.
To learn more about government grants for insulation, check out our article on 2024 Home Insulation Grants.
LA Flex is designed to assist those who don’t meet the standard eligibility criteria for ECO4. This scheme allows energy suppliers to offer grant funding for boilers and other energy-efficiency improvements to individuals who do not receive qualifying benefits. Under ECO3, 25% of the energy suppliers' obligation was fulfilled through LA Flex. This has increased to 50% under ECO4, broadening access for those who may not receive benefits but are still struggling with high energy bills and fuel poverty.
ECO4 promotes the repair of broken boilers whenever feasible, rather than opting for outright replacement. This approach aims to extend the lifespan of existing heating systems and minimise waste. Repairs under ECO4 can include diagnostics, thorough cleaning, and necessary fixes to restore functionality and enhance efficiency, ensuring that your heating system runs smoothly without the need for a complete replacement.
To qualify for a new energy-efficient boiler grant under ECO4 in 2024, you must meet one or more of the following criteria:
Property Ownership:
Income Requirements:
Qualifying Benefits:
Energy Performance Certificate (EPC) Rating:
Local Authority Flexibility (LA Flex):
Boiler Condition:
If child benefit is the only benefit you receive, to be eligible for a free new boiler under ECO4, you must meet child benefit income requirements. Here are the maximum household income you must have to qualify:
For Single Adult Households:
For Couple Households:
Discover if you qualify for a free boiler grant by completing our quick and easy online form. Once we confirm your eligibility, our team will assist you through the entire application process at no cost. Enjoy a seamless experience as we help you upgrade your home’s heating system for better energy efficiency and comfort.
If you don’t qualify for a new boiler grant under ECO4, don’t worry. There are various other grants and schemes available based on your location that can help you improve your home’s energy efficiency and reduce heating costs. Here are a few alternatives you can explore:
The Boiler Upgrade Scheme provides fixed grants to cover the upfront costs of biomass boilers, air-source heat pumps, and ground-source heat pumps. This government scheme is available to residents of England and Wales. Here’s the amount of funding you can receive for each heating system:
Air-source heat pump: £7,500
Ground-source heat pump: £7,500
Biomass boiler: £5,000
To qualify for a biomass boiler grant under the Boiler Upgrade Scheme (BUS), your home must meet certain criteria. Specifically, it should be located in a rural area or be off the main gas grid. This ensures that the grants go to households that will benefit the most from the energy efficiency and sustainability of biomass heating solutions.
The Nest scheme is the most comprehensive government initiative in Wales, offering grant funding for various energy efficiency upgrades, including boilers and heat pumps. Similar to the ECO4 scheme, Nest covers the entire cost of these improvements, making it an excellent alternative if you live in Wales and don't qualify for ECO4.
To qualify for the Nest scheme, you must either own or privately rent your home in Wales. Additionally, you need to meet one of the following criteria:
For those in Wales looking to improve their home's energy efficiency completely for free, the Nest scheme provides a valuable opportunity.
The 0% VAT scheme, launched on 1 April 2022 and running until 31 March 2027, is designed to promote the installation of energy-saving materials by lowering their costs. This initiative reduces the Value Added Tax (VAT) on these materials from the standard 20% to 0%, making them more affordable for homeowners.
For example, if an energy-efficient installation costs £3,000, the standard 20% VAT would add an extra £600, bringing the total to £3,600. Under the 0% VAT scheme, this £600 is saved, reducing the cost to just £3,000.
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However, it's important to note that for boilers, this scheme exclusively applies to wood-fuelled options, such as biomass boilers. By focusing on these environmentally friendly solutions, the 0% VAT scheme aims to encourage more sustainable choices in home heating.
This initiative not only helps reduce the financial burden on homeowners but also supports the transition to greener energy alternatives, making it a win-win for both consumers and the environment.
At ByEco, we are dedicated to providing comprehensive support throughout your entire application process, free of cost, ensuring a seamless and rewarding experience as you transition to a greener, more energy-efficient home. Our expert team begins with conducting thorough eligibility assessments to determine the best boiler grant options available for you.
A key aspect of our service is assisting you in finding top-rated, certified installers who are known for their excellence and reliability. We take pride in connecting you with professionals who have a proven track record of delivering high-quality installations, ensuring that your eco-friendly upgrades are performed to the highest standards. This emphasis on quality and reliability means you can trust that your installation will be both efficient and durable.
To get started on your journey towards a more sustainable home, simply fill out our quick and easy form. Once submitted, our team will take care of the rest, providing you with personalised guidance and support every step of the way.
Choosing the Best Boiler Energy Company Obligation (ECO) Scheme Boiler Grants Additional Government Grants for a New Boiler Boiler Upgrade Scheme Nest Scheme, Wales 0% VAT How to Apply for Government Grants for a New Boiler with ByEco?
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