Planning

Air-to-Air Heat Pump Grant UK: BUS in 2026

Can you get a UK grant for air-to-air heat pumps or air conditioning? How the Boiler Upgrade Scheme £2,500 air-to-air grant works, who qualifies, and what is excluded.

By Local AC Installers Editorial Team · Published · Updated

There is no general UK grant for cooling-only air conditioning. In England and Wales, the Boiler Upgrade Scheme can provide £2,500 off an eligible air-to-air heat pump in a residential property when an MCS-certified installer applies on your behalf. The system must be capable of meeting the home's full space-heating need, replace an eligible fossil-fuel or electric heating system, and meet scheme rules. A single bedroom split that leaves the boiler running is not automatically a grant job. Scotland and Northern Ireland use different funding. This is a scheme explainer, not a promise that your address qualifies.

London rooftops in warm haze showing urban heat and cooling pressure

What the grant is, and what it is not

Ofgem's Boiler Upgrade Scheme (BUS) lists £2,500 for air-to-air heat pumps, compared with £7,500 for air-to-water or ground source heat pumps and £5,000 for eligible biomass. An extra off-gas-grid uplift applies to some air-to-water and ground source installs for a time-limited window. Air-to-air is residential only under BUS.

Cooling is a useful extra on a reversible air-to-air heat pump. The scheme is a heating grant. Portable air conditioners, cooling-only splits and 'add a bedroom unit while keeping the gas boiler as the main heat source' designs are the usual ways people fail eligibility.

  • England and Wales only for BUS.
  • MCS-certified installer, installer-led application.
  • Grant shown as an upfront discount on the quote.
  • You confirm consent to Ofgem after the installer applies.

Eligibility traps for air conditioning buyers

The new system must meet full space-heating needs of the property, whether alone or with supplementary heating that still satisfies the rules. Hybrid fossil-fuel plus heat pump systems are not eligible. Social housing, most new builds (with limited self-build exceptions) and non-residential air-to-air installs are excluded.

The installer must be MCS certified for the technology. Ordinary F-gas air-conditioning companies are not automatically MCS heat-pump installers. If a quote offers 'the £2,500 AC grant' without MCS and a whole-home heating design, treat it as marketing until the rules are shown in writing.

How the money actually reaches you

You do not apply to Ofgem first. The installer submits, you confirm consent, they install and commission within the voucher window, then they redeem. If you confirm consent to one installer, other BUS applications for that property can be rejected.

Get several quotes. Ask each whether the proposed air-to-air design is BUS-eligible, which heating system it replaces, how hot water will be provided, and what happens if Ofgem refuses. Do not pay a large deposit on a grant assumption.

VAT is a separate question

Qualifying installations of energy-saving materials, including certain air source heat pumps, can be zero-rated for VAT until 31 March 2027 when the rules in Notice 708/6 are met. That is not the BUS grant. A job can in principle involve both, one, or neither.

Read the air conditioning VAT guide with this page. Neither this site nor an installer slogan is a tax or grant decision. Check current Ofgem and HMRC publications for your date of install.

Frequently asked questions

Can I get a grant for air conditioning in the UK?

Not for cooling-only AC. Eligible residential air-to-air heat pumps in England and Wales may receive £2,500 through BUS if MCS and scheme rules are met. That is a heating scheme with cooling as a possible extra function.

Does the £2,500 cover a bedroom split?

Only if the overall design is an eligible whole-home air-to-air heat pump replacement, not a comfort-cooling add-on. Most single-room AC jobs will not qualify.

Is MCS the same as F-gas?

No. F-gas certification covers refrigerant work. MCS certification is required for BUS. Many air-conditioning firms hold F-gas without holding MCS.

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How this guide was prepared

This guide was written by the Local AC Installers Editorial Team. We compare official guidance, legislation and established consumer information, separate general information from project-specific advice, and show publication dates and sources. We do not accept installer accreditation claims at face value.

Read our full editorial policy.

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