Boiler Upgrade Scheme Regulations 2026: 28 April Changes for Landlords

The Boiler Upgrade Scheme (England and Wales) (Amendment) Regulations 2026 come into force on 28 April 2026, introducing four substantive changes: the EPC requirement is removed, the scheme is extended to 2030, air-to-air heat pumps become eligible at £2,500, and the installer definition is formally tied to MCS certification. For landlords, the EPC change is the biggest practical shift, because it unlocks properties that previously failed the eligibility test.

Key Facts

Statutory instrument: SI 2026/390, The Boiler Upgrade Scheme (England and Wales) (Amendment) Regulations 2026
In force: 28 April 2026
Applies to: Applications submitted on or after 28 April 2026
Scheme end: Extended from 2028 to 2030
Grant values: £7,500 air-to-water heat pump, £7,500 ground-source heat pump, £5,000 biomass boiler, £2,500 air-to-air heat pump (new)
Geography: England and Wales only (Scotland and Northern Ireland run separate grant schemes)
EPC requirement: Removed; installer must provide alternative evidence where no EPC exists

What is the Boiler Upgrade Scheme?

The Boiler Upgrade Scheme (BUS) is a UK government grant scheme administered by Ofgem that pays property owners to replace fossil fuel heating with low-carbon alternatives. Owner-occupiers, private landlords, and small non-domestic property owners in England and Wales can apply through an MCS-certified installer. According to Ofgem's Property Owner Guidance v5 (March 2026), the application is made by the installer on the property owner's behalf, the grant is paid directly to the installer, and the grant value is deducted from the quoted installation cost.

The 2026 Amendment Regulations are the fourth set of changes since BUS launched in May 2022, and the most significant to date in eligibility terms. For a step-by-step walkthrough of applying, see our Boiler Upgrade Scheme application guide for landlords.

What are the four main changes from 28 April 2026?

1. EPC requirement removed

The biggest change. Regulation 5 of the 2022 Regulations is amended to strike the requirement that a property must have a valid Energy Performance Certificate to be an "eligible property". Where a valid EPC exists, it remains the primary evidence. Where no EPC is available, the installer must provide alternative evidence, typically a recent utility bill showing the existing fuel type plus photographs of the current heating system.

For landlords, this matters in three scenarios:

Property has an expired EPC and you want to install a heat pump before commissioning a new assessment
Property has an EPC older than 10 years (it expires) and you have not yet switched tenancies
Property has no EPC at all (a narrow set of exempt buildings, or a property type that has never required one)

The EPC recommendation for loft and cavity wall insulation, previously a mandatory precondition, is also loosened under the new guidance. Installers can now assess insulation adequacy themselves during the survey.

2. Scheme extended to 2030

Regulations 2, 15 and 30 of the 2022 Regulations are amended to push the scheme end date from 2028 to 2030. This aligns BUS with the EPC C deadline for privately rented property, giving landlords a clear funding window to plan against. It also removes the scarcity pressure that had been building in the installer market as the old 2028 deadline approached.

3. Air-to-air heat pumps added

Schedule 1A introduces a new grant category for air-to-air heat pumps at £2,500 per installation. Previously the scheme covered only air-to-water heat pumps (which feed wet heating systems, that is radiators or underfloor heating) and ground-source heat pumps. Air-to-air heat pumps feed conditioned air directly into rooms, bypassing the need for a wet heating system, and are typically cheaper to install. The lower grant reflects the lower installation cost.

For landlords, air-to-air is most relevant for:

Flats without existing wet central heating, for example electric storage heater properties
Small HMOs where room-by-room heating control simplifies billing
Properties where replacing the full wet system would be disproportionately expensive

See our dedicated guide on the air-to-air heat pump grant for landlords for property-type suitability and installer selection.

4. Installer definition formalised

Regulation 2 is amended to define "installer" explicitly as a person certified by the Microgeneration Certification Scheme. This was previously the practical standard but was not in the primary regulations. The change closes a legal ambiguity and puts MCS certification on a statutory footing. Non-MCS installers cannot apply for the grant, regardless of the quality of their work.

Do I need to do anything before 28 April?

Probably not. The new rules apply to applications made on or after 28 April 2026. If your installer is about to submit an application and your property is marginal under the old rules (for example an expired EPC), you may want to wait until 28 April so the new rules apply. Conversely, if your application is already in with a valid EPC, there is no reason to delay.

One practical point: MCS-certified installers are busy. Ofgem's December 2025 scheme data showed average lead times of 9-14 weeks from enquiry to installation. Book early if your planning depends on a specific timeline.

How does a landlord actually apply?

The application flow has not changed:

Find an MCS-certified installer. Use the MCS installer database at mcscertified.com or the Ofgem installer finder.
Installer surveys the property. They confirm the heating system to be replaced, assess required capacity, and check insulation adequacy.
Installer applies to Ofgem on your behalf. You provide proof of ownership and, where required, the EPC or alternative evidence.
Ofgem issues a voucher valid for redemption once the installation is complete.
Installer completes the work. You pay the installation cost minus the grant.
Installer redeems the voucher from Ofgem after commissioning.

You, the landlord, must inform the tenant in writing before the installation begins. The updated MCS guidance issued in March 2026 clarifies that the tenant's written consent is not required, but reasonable notice is, typically 28 days. For a deeper look at grant conditions generally, see our article on EPC grant conditions for landlords.

How does this interact with the 2030 EPC C deadline?

The BUS extension to 2030 is a deliberate policy alignment. The government expects landlords who need to reach EPC C to use BUS to part-fund a heat pump where appropriate. A heat pump can lift an EPC rating by 1-3 bands depending on the starting fabric condition, which is often enough to take a D-rated property to C.

However, heat pumps are not always the cheapest route to EPC C. For a well-insulated Victorian terrace, a condensing gas boiler plus extra loft insulation can reach C for under £3,000, while a full heat pump installation runs £8,000-£12,000 after the BUS grant. The calculation depends on:

Your property's current fabric (insulation levels, glazing, air tightness)
Whether you plan to hold the property beyond 2035, after which gas boilers may face additional restrictions
Whether you can package the heat pump with other MEES works inside a single capital project

For a property-by-property framework, see our guide on whether to upgrade EPC now or wait until 2027 and the interaction with the EPC improvements cost cap of £10,000.

What does this mean for landlord cashflow?

Three practical takeaways:

First, the EPC requirement removal unlocks a cohort of properties that could not previously access BUS. If you hold a portfolio with expired or missing EPCs, revisit the eligibility ledger after 28 April.

Second, the air-to-air grant creates a new path for electrically-heated flats. A £2,500 grant reduces a £4,000-£5,000 air-to-air installation to under £2,500 net, which is roughly in line with replacing storage heaters like-for-like but delivers far lower running costs for tenants and a meaningful EPC lift.

Third, the scheme extension to 2030 removes the time pressure for landlords who were uncertain whether to apply. You now have the full runway to the EPC C deadline to access BUS at current or future grant values. That said, grant values have historically been revised upward in October of each year; there is no guarantee they stay at £7,500 through to 2030.

Common mistakes landlords make with BUS

Assuming the grant covers the full cost. BUS reduces the installation cost, it does not cover it. Net landlord outlay on a heat pump is typically £5,000-£10,000 after the grant.
Missing the property-type restrictions. BUS does not fund new-build properties (from the Building Regulations standpoint, new builds should already be low-carbon) or social housing except in specific circumstances.
Confusing BUS with ECO4. ECO4 is the Energy Company Obligation, a separate scheme funded by energy suppliers and targeted at low-income households. BUS and ECO4 can sometimes stack for the same property but are administered separately. ECO4 ends in December 2026 and is replaced by the Warm Homes Plan from 2027; see our guide on ECO4 ending December 2026 for landlords and what replaces ECO4.
Not informing the tenant. Failure to give written notice can constitute harassment under the Protection from Eviction Act 1977.
Using a non-MCS installer. Only MCS-certified installers can apply. Using an uncertified installer voids eligibility regardless of the quality of the work.

Frequently Asked Questions

Does the new regulation change who is eligible to apply?

The eligibility categories are unchanged: owner-occupiers, private landlords, and small non-domestic property owners in England and Wales can still apply. What changes is the evidential requirement. Properties without a valid EPC can now qualify, using alternative evidence provided by the installer.

Can I apply now for an installation after 28 April?

You can begin the installer enquiry and survey process at any time, but the formal Ofgem application must be submitted on or after 28 April 2026 to benefit from the new rules. An installer with experience of the transition will know to queue applications appropriately.

Is the air-to-air heat pump grant available for owner-occupier homes too?

Yes. The eligibility categories are the same across all grant types. The £2,500 air-to-air grant is available to owner-occupiers, private landlords, and eligible small non-domestic property owners.

Does the scheme now cover Scotland or Northern Ireland?

No. BUS remains an England and Wales scheme. Scotland operates the Home Energy Scotland Grant (up to £7,500 plus a £7,500 interest-free loan). Northern Ireland does not operate a direct equivalent but has smaller grants via the NI Sustainable Energy Programme.

If my property has an expired EPC, do I need a new one before applying?

Not any more, from 28 April 2026. The installer can provide alternative evidence (utility bill plus photographs). That said, commissioning a new EPC is still cheap (£60-£120) relative to the time an installer may spend assembling alternatives, and gives you an updated rating to work with for MEES compliance.

Does installing a heat pump under BUS affect my Section 21 or possession rights?

Not directly. The installation counts as landlord works and does not affect tenancy status. You should serve Section 16 notice of landlord works and give reasonable notice. If the tenant refuses access, the works may need to wait until void or tenancy end.

Can I use BUS for a shared ground loop on a block of flats?

Yes. The 2024 Amendment Regulations added shared ground loop array installations as eligible. The 2026 amendments do not change this. Each dwelling connected to the shared loop qualifies for the ground-source grant of £7,500.

How does BUS interact with the EPC £10,000 cost cap?

The BUS grant affects the out-of-pocket MEES cost that counts against the £10,000 cap. If you spend £12,000 on a heat pump installation and receive a £7,500 BUS grant, the £4,500 net cost is what counts towards the cap, not the £12,000 gross.