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With ever-rising energy bills, more and more households seek renewable energy solutions to save money and cut carbon emissions. Among the popular options, air source heat pumps are fast becoming a common sight across the UK. 

These systems provide an increasingly environmentally friendly method of heating homes, especially in colder months.

Indeed, air source heat pump installations have grown quite rapidly. More than 40,000 were installed in 2023, and over 42,000 were installed by September 2024. 

Under the ECO4 scheme, together with the Boiler Upgrade Scheme, the current schemes offer air source heat pump grants to low-income households. Thus, it will finally give them the opportunity to switch to a new heating system for free.

Are there Air Source Heat Pump Grants in 2025?

Yes, there are many government grants for air source heat pumps available in 2025. They help hundreds of thousands of households convert to greener and more efficient heating systems. 

These air-source heat pump grants are in place to make these installations cheaper. This is in support of families and private renters trying to cut their energy bills and carbon emissions. Let’s look deeper into two significant schemes that enable this process:

1. ECO4 Air Source Heat Pump Grants

ECO4 is exclusively for households earning low incomes to have the golden chance to replace ancient, inefficient heating systems with air source heat pumps. 

The unique characteristic of this grant, which makes it the most attractive among the available grant list, is its offer for totally no cost. 

Yes, that simply means due to this facility, one gets an energy-efficient home for absolutely no money. 

Not only does this grant help you with reduced bills, but your house will become a place that emits zero toxic fumes or radiation. Thus causing no harm to the planet.

2. Boiler Upgrade Scheme

The other scheme promoting heat pumps is the Boiler Upgrade Scheme. It is much more accessible and therefore available for many more types of households; it offers up to £7,500 toward the cost of installing an air source heat pump. 

Of course, this would not cover all of the cost but noticeably reduces it and, hence, the financial barrier.

Eligibility Criteria for Air Source Heat Pump Grants

Here is all you need to know about the air source heat pump grant eligibility:

  • Homeowner or Private Tenant: You must be either a homeowner or a private tenant, residing with the homeowner.
  • No Gas Metre: Your property shouldn’t have a gas metre installed. As this grant is aimed at homes with alternative heating systems.
  • Eligible Government Benefits: If you get certain benefits including Universal Credit, Income Support, or Pension Credit, you may be entitled to the grant.
  • EPC Rating: Your property’s EPC rating must be D, E, F, or G. The less energy-efficient homes take precedence for such grants.
  • Old or Inefficient Boiler: If it is older than 2005 and not condensing, then you probably are eligible. Older boilers waste energy through inefficiency. Therefore, such would be ideal candidates for replacement.
  • Existing Heating System: This grant is specifically for the replacement of the old, inefficient fossil fuel system. Such as gas or oil boilers. Houses already on renewable heating systems may not be considered.
  • Location: The grant is available in England, Scotland, and Wales. Though you should check for local schemes if you live in Northern Ireland.

Combination of Air Source Heat Pumps with Solar Panels

You can combine the air source heat pump and solar panels. And it can give one an efficient and sustainable solution for heating purposes at home. 

An ASHP draws energy from the external air to heat up the interior of a house. While solar panels convert sunlight into electrical energy. 

Together, the energy from solar could power the ASHP and help lower your electricity bills by reducing reliance on the grid.

Moreover, the ECO4 scheme can contribute to the costs of both systems for qualifying households. Hence making this green upgrade even more financially viable.

How to Apply for an Air Source Heat Pump Grant 2025?

Application for the grant of air source heat pumps is pretty straightforward, if one proceeds with the following steps:

1. Research Available Grants

Look for options such as the ECO4 scheme or the Boiler Upgrade Scheme. For more details on the grants currently available for air source heat pumps, you may wish to pay a visit to the UK government portal. 

2. Check Eligibility

Check the eligibility criteria below for each air source heat pump grant scheme. But in simple terms, this will be based on three main factors: your property’s energy performance rating, household income or your benefit status, and your status as either a homeowner or a private landlord.

3. Gather all Necessary Documents

Get all necessary documents ready before applying, which include income proof, EPC of your property, and ownership details. Having these in advance will make the process of application smooth and faster.

4. Find an Approved Installer

Most grant schemes require you to use an approved installer. You can find a certified installer near you at resources such as the official grant website or the Microgeneration

Certification Scheme. They will also conduct a survey to ensure that your property is suitable for an air source heat pump.

5. Complete the Online Application

Once you have all the documents and an installer, visit the grant scheme’s website and complete the application form. Make sure all details are very accurate and double-check everything before submitting.

6. Wait for Approval

Once you have submitted your application, the provider will consider your application, which may take several weeks. If successful, confirmation will be provided with details of the next steps.

7. Schedule Installation

Upon approval, liaise with your installer for the scheduling of installation. Ensure all work is carried out by accredited professionals in order to keep compliance with the grant.

Check Your Eligibility!
Check your Eligibility for Free Boiler Replacement Scheme!

Smooth Application Process Tips

First of all, ensure you read the eligibility criteria of the air source heat pumps grant clearly before starting the application, It will save one’s time by reducing the possibility of rejection. 

Also, have all necessary documents ready in preparation for the application process. These may include proof of benefits or your property’s EPC.

Secondly, be on the lookout for when deadlines and the latest news in grant schemes take place. 

Many of them are first come, first-served, and you have to act very fast. If you get stuck with anything during your application, always contact the grant provider like us.

Advantages of Air Source Heat Pumps

The following are a few of the major benefits of air source heat pumps that might make your house more comfortable and life easier:

1. Heat Pumps Are Highly Efficient

Heat pumps can be quite effective, producing as much as four times more heat as the electricity they consume. 

For every unit of electricity that you may use, you could get four units of heat back in return. While with conventional gas boilers, the best you will probably see is an efficiency topping out at 98% or so.

2. Eco-Friendly Option

By installing an ASHP, you could reduce your carbon footprint by 70–80%. Thus you you switch to a greener option, helping you contribute to a clean future.

3. They are Low Maintenance

Air source heat pumps are very low maintenance. Once fitted, all you have to do is set your desired temperature, and the system will do the rest. They require only occasional servicing, making them hassle-free and long-lasting.

Two-in-One Functionality: Heating and Cooling

It works to your advantage: many air-source heat pumps – like most air-to-air systems – also cool during the summertime. No need to separately invest in an air conditioner; this eliminates space and other installation hassles.

Are Air Source Heat Pumps Really an Economical Option?

Yes, for most households in the UK, air source heat pumps can be a very economical option. Even though they use some electricity to work, they are very efficient. 

They often deliver three to four times more heat than the electricity they consume. This translates into lower energy bills over time.

In addition, through the ECO4 system, eligible houses have complete installations funded by the scheme. Thus reducing even further the cost associated with fitting homes with a heat pump.

How Much Does It Cost to Install an Air Source Heat Pump?

The average price to install an 8.5kW air source heat pump as of 2024 stands at about £12,800. 

As a result, with the help of a Boiler Upgrade Scheme that provides up to £7,500 off your overall bill, most homeowners are out-of-pocket on average around £5,300.

If this would mean a change in the size of the radiators, for example, or the amount of insulation you need is more, it can come at a greater cost. 

Contrarily, this may be considerably cheaper – less than £10,000 for some installations – if your house is already “heat-pump ready.” 

In any case, where homes do qualify for the ECO4 scheme, the actual cost of an air source heat pump might fall completely upon those schemes, rendering it free of charge in such cases.

Potential Savings in the Long Run

Sure, there may be a high upfront cost of installing an air source heat pump. But savings add up over time. 

This would mean that where you were spending about £1,500 annually to heat your home using some old gas boiler, with the heat pump, this goes down to about £900 annually. 

Thereby saving £600 each year, which, summed up over a period of 10 years, could amount to £6,000.

Adding in an air source heat pump, along with solar panels, would save you even more. Because solar energy can be used to power the heat pump, lowering your need for electricity from the grid. 

If you’re eligible for the ECO4 scheme and get a fully funded heat pump, your savings would be much higher.

Air Source Heat Pump Grant Scotland, England, and Wales

In 2025, households in Scotland, England, and Wales may take advantage of grants for air source heat pumps facilitated both by the ECO4 scheme and the Boiler Upgrade Scheme. 

These air source heat pump grants Scotland, England, and Wales help reduce the upfront cost of installing a new, energy-efficient air source heat pump. 

Thus, making it more accessible for households looking to save on energy bills while reducing their carbon footprint.

Are They Really Worth It in 2025?

Yes, air source heat pumps will be worth it in 2025. Rising energy bills and the increasing requirement for eco-friendly solutions make ASHPs one of the long-run effective and efficient ways.

Thankfully, they have become much more affordable than ever due to advancements in technology. And do not forget that their operating effectiveness has increased.

There are many grants, of which the most common are the ECO4 scheme and the Boiler Upgrade Scheme that go a step extra in cutting their installation costs right off the bat. 

In the longer view lies the prize: reduced heating bills, lower carbon emissions, and thus an even more sustainable home.

Claim Your Air Source Heat Pump Grant Today!

With support available under schemes such as the ECO4 Scheme, you might qualify for a fully funded installation or at least a heavy discount. Just see if you’re eligible, compile the documents you need, and apply today for an opportunity. 

It is one step towards a greener and more cost-effective home; even more so, it’s far easier to start things than one may have thought. Stop wasting any more time and take action now, keep your home warm, and efficient, and save money for the long term!