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Upgrade Your Heating System: Government Grants for Boiler Replacement Explained

Upgrade Your Heating System: Government Grants for Boiler Replacement Explained

Upgrade Your Heating System: Government Grants for Boiler Replacement Explained
  • 20th July 2024
  • 20/07/2024
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Do you want to change your boiler to a more efficient one? A new boiler is a long-term investment and switching from an old G-rated boiler to a new A-rated boiler can save you up to £580 per year on energy bills. On top of that, you can significantly reduce or eliminate the upfront costs of your new boiler with the help of government grants, making this upgrade even more cost-effective.

In this article, we will introduce you to valuable government schemes for changing your boiler and the funding options for each grant to help you choose the most suitable one for your preferences.

Free Boilers for Over 60s

The Energy Company Obligation (ECO4) scheme is designed to help vulnerable households upgrade their old, inefficient boilers. If you or another member of your household is over 60 and receives Pension Credit, you are eligible for a free boiler upgrade under this scheme. ECO4 aims to ensure those most in need receive support for upgrading to an eco-friendly boiler so it also helps the elderly combat fuel poverty and improve their living conditions.

Even if you are not receiving Pension Credit, you can still qualify for a free boiler replacement if you are over 60 and receiving other income-based benefits such as Working Tax Credit. This inclusive approach ensures that a broader range of vulnerable individuals can benefit from modern, efficient heating systems.

One important criterion for eligibility is the age of your existing boiler. To qualify for a free replacement, your current boiler must be at least 7 years old. This requirement ensures that the scheme targets the most inefficient boilers, maximising energy savings and environmental benefits. Older boilers are typically less efficient and more costly to run, so replacing them with newer models can lead to substantial savings on energy bills and a reduction in greenhouse gas emissions.

Are you over 60 and unsure if you qualify for a boiler replacement grant? Fill out this quick form to find out If you have any questions, our ByEco team is always ready to help. Don’t hesitate to contact us for more information. We're here to make the process easy and straightforward for you!

Government Grants for Boiler Upgrade

In 2024, UK households have access to a range of government grants designed to make homes more energy-efficient. Among these, the Energy Company Obligation (ECO4) stands out as the most comprehensive scheme. These grants aim to support the government's ambitious goal of achieving total decarbonisation of UK homes by 2050. Below is an overview of the available grants for boiler replacement in 2024:

Energy Company Obligation (ECO4)

ECO4 is the latest phase of the broader Energy Company Obligation (ECO) scheme, designed to combat fuel poverty and lower carbon emissions by funding energy efficiency improvements in homes. This grant is available in England, Wales, and Scotland. Through a comprehensive whole-house approach, ECO4 provides various energy-saving upgrades beyond just boilers, such as solar panels and insulation.

Regardless of your situation—whether you are a single parent, pensioner, homeowner, or private renter—you might be eligible for a free boiler upgrade through ECO4. This initiative ensures that everyone can access the support needed to switch to more energy-efficient boilers. However, not everyone is qualified and the scheme only targets those who genuinely need this help.

To take advantage of ECO4, a thorough assessment of your home is necessary to pinpoint the specific energy efficiency measures required. This assessment guarantees that you receive customised improvements, maximising your home's energy efficiency and contributing to a greener future.

Boiler Upgrade Scheme (BUS)

The BUS aims to help households in England and Wales, change their boilers to low-carbon and renewable heating solutions, such as biomass boilers and heat pumps.

The scheme provides a £5,000 grant for the installation of biomass boilers and £7,500 for air source and ground-source heat pumps. Initially the grant amount for heat pumps was lower but they increased it to boost uptake. Ever since this increase in heat pump funding, there has been a 93% rise in the number of applications.

By April 2024, 96% of the measure installed under the BUS has been air source heat pumps, with only less than 1% of them being biomass boilers. This is because of the more strict eligibility criteria for biomass boilers, as they are only offered to those who live in rural areas and are not connected to the gas grid.

0% VAT

The Zero VAT scheme is available in England, Wales, and Scotland. It aims to reduce the cost of installing new energy-efficiency measures, such as eco-friendly boilers and make it more affordable for UK homeowners to transition to more efficient heating systems.

This scheme is not only for boilers and covers various other energy-saving materials to make them more accessible to the public. It reduces the VAT (Value Added Tax) of these appliances from the standard 20% to 0%.

It only covers the most efficient heating systems, including heat pumps and biomass boilers. The 0% VAT applies to the boiler’s cost, the material used for its installation and the labour costs.

Who is Eligible for a Free Boiler Upgrade?

eco4 and boiler upgrade scheme eligibility criteria

Each scheme has its own set of eligibility criteria. Here is an overview of the eligibility criteria for ECO4 and BUS:

Eligibility for the ECO4
  • Benefits: Applicants must be receiving one of the following qualifying benefits:
    • Income Support
    • Working Tax Credit
    • Income-related Employment and Support Allowance
    • Pension Credit Guarantee
    • Universal Credit
    • Pension Credit Savings Credit
    • Housing Benefit
    • Income-based Jobseekers Allowance
    • Child Tax Credit
  • Household Income: Households with an annual income below £31,000 may also qualify under the ECO4 Flex Scheme, which allows local authorities to refer households based on low income, health conditions exacerbated by cold, or other vulnerability factors.
Property Requirements
  • Energy Performance Certificate (EPC): The property must have an EPC rating of D, E, F, or G. Homes with ratings of D or E can be upgraded to at least a C rating through the scheme. This ensures the focus is on improving energy efficiency in the most energy-inefficient homes.
  • Boiler Condition: The existing boiler must be at least 7 years old, non-condensing, and inefficient (typically rated G) to qualify for a replacement.
Additional Criteria
  • Home Ownership: The scheme is primarily aimed at owner-occupied homes. However, tenants in privately rented or social housing can also apply, provided they have landlord approval and meet other eligibility criteria
Eligibility for the Boiler Upgrade Scheme (BUS)
  • Property Ownership: The scheme is open to homeowners and owners of small business properties in England and Wales. This includes:
    • Domestic properties
    • Non-domestic properties
    • Self-build properties that are primarily built using the labour or resources of the first owner and have never been owned by a business or organisation.
  • Existing Heating System: You must be replacing an existing fossil fuel heating system, such as oil, gas, electric, or LPG (liquefied petroleum gas). The scheme does not cover properties that already have low-carbon heating systems.
Property Requirements
  • Energy Performance Certificate (EPC): Your property must have a valid EPC, which is issued within the last 10 years. The EPC must not have recommendations for loft or cavity wall insulation unless those measures have been installed and a new EPC issued.
  • Properties that are not eligible:
    • New build properties, except for eligible self-builds
    • Social housing
    • Properties that have already received government funding or support for a heat pump or biomass boiler.
Specific Requirements for Biomass Boilers
  • Location: The property must be off the gas grid and located in a rural area.
  • Emissions: The biomass boiler must have an emissions certificate showing that polluting emissions are kept to a minimum.
Installer Requirements

How to Apply for a Free Boiler Upgrade

Unlock a free boiler upgrade in just a few simple steps Start by filling out our quick application form. We'll perform a thorough assessment to confirm your eligibility. Once we make sure you’re qualified, we'll select the perfect boiler for your home's unique characteristics and your heating preferences.

Next, we'll manage your application, ensuring all documents are in order for a seamless and speedy process. Once approved, we move on to installing your new boiler. This step is crucial, as the quality of installation is key to achieving optimal results. We simplify this for you by providing quotes from top-rated, MCS-accredited installers in your area. Let us handle the details while you enjoy a warmer, more efficient home.

Trust ByEco to make your boiler replacement easy and stress-free. Contact us for free, personalised guidance, and let us help you every step of the way.

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FAQs

Quick, Essential Answers

To qualify for a boiler grant in Wales, you generally need to be a homeowner or a private tenant with the homeowner's permission. Your home must also have a low energy efficiency rating, typically an EPC rating of E or less or D or less if a household member has an eligible chronic health condition. Additionally, you must either receive certain means-tested benefits, such as Universal Credit, Pension Credit, or Housing Benefit, or have a household income below a specified threshold, usually below £31,000. The boiler grant schemes, like the Nest scheme in Wales, aim to help low-income households improve their home energy efficiency by covering the cost of new boilers and other energy-saving measures. For more details, you can visit the Wales government website or call 0808 808 2244.

The best boiler in the UK for 2024 includes the Worcester Bosch Greenstar 4000 and the Viessmann Vitodens 100-W. The Worcester Bosch Greenstar 4000 is highly efficient, user-friendly, and comes with a 10-year warranty. It’s known for its reliability and features like the "Quick Tap" system to reduce water wastage. The Viessmann Vitodens 100-W is praised for its German engineering, compact design, and high efficiency of up to 98%. It also includes a durable stainless steel heat exchanger and a 12-year warranty. For those on a budget, the Alpha E-Tec Plus offers great value with high efficiency and affordability. For a more detailed guide, check out our article on the Best Boilers in the UK.

Generally, you don't need planning permission to replace your boiler at home. However, it's important to follow specific regulations, especially if the installation affects the exterior of your house. For instance, if you're adding a new flue, it must comply with certain height and location requirements, for example it should not exceed 1 metre above the highest part of your roof or be installed on the front of the house facing a road. Moreover, any new boiler installation must be carried out by a qualified Gas Safe registered engineer to ensure it's safe and meets energy efficiency standards. If your home is a listed building or in a conservation area, it's a good idea to check with your local planning authority, as you might need additional permissions in those cases.

In the UK, you can legally have a boiler in your bedroom, but it must be a room-sealed model. These boilers draw air from outside and expel combustion gases back outside, ensuring no harmful gases enter your room and reducing the risk of carbon monoxide poisoning. It's crucial to have a Gas Safe registered engineer handle the installation to ensure safety and compliance with building regulations. While having a boiler in your bedroom is safe, there are a few things to consider. Modern boilers are quieter than older ones, but they can still produce some noise that might disturb light sleepers. Additionally, you'll need to think about the space the boiler and its pipework will take up. Installing a carbon monoxide detector in the bedroom is also a smart move for added safety.

Replacing your boiler yourself isn’t just inadvisable—it’s often illegal. In the UK, any work involving gas appliances must be done by a Gas Safe registered engineer to meet all safety regulations and standards. Improper installation can lead to serious risks like gas leaks and carbon monoxide poisoning.  Trying to replace a boiler on your own can also void warranties and impact your home insurance. Professional installers have the expertise to ensure everything is set up correctly for maximum efficiency and safety. To meet legal requirements and protect your household, it’s always best to hire a qualified professional for boiler replacements.

To determine if your boiler is unsafe, keep an eye out for several warning signs. Strange noises like banging, clunking, or whistling could indicate issues such as air in the system, low water pressure, or a faulty pump. A pilot light that frequently goes out or burns yellow instead of blue is another concern since a yellow flame can signal incomplete combustion and potential carbon monoxide production. Additionally, be on the lookout for visible soot or scorch marks around the boiler, frequent shutdowns, unpleasant smells, or any signs of water leaks. These issues can indicate serious underlying problems that could compromise safety. If you notice any of these signs, turn off your boiler and contact a Gas Safe registered engineer to inspect and repair it.