Solar panels on a rural off-grid home in the South West with a Simple Solar van and countryside beyond

WRITTEN BY

David Lewis

Renewable Energy Content Consultant

LAST UPDATED

04 June 2026

The £9,000 Heat Pump Grant for Oil and LPG Homes:

A Guide for Devon, Cornwall and Somerset

Grant update

If you heat your home with oil or LPG in Devon, Cornwall, or Somerset, a significant change to the main government heat pump grant is about to work in your favour.

From 21 July 2026, the Boiler Upgrade Scheme will pay £9,000 towards an air source heat pump for off-gas-grid homes replacing an oil or LPG system – £1,500 more than the £7,500 available to most other households.

That difference matters most in exactly the kind of rural communities Simple Solar serves across the South West, where mains gas was never an option and heating costs rise and fall with volatile global fuel prices.

This guide explains what the grant is, precisely who qualifies for the higher amount, what a heat pump is likely to cost you after the grant, and how to take the next step.

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Boiler Upgrade Scheme

What is the Boiler Upgrade Scheme?

The Boiler Upgrade Scheme (BUS) is a government grant in England and Wales that reduces the upfront cost of replacing a fossil fuel heating system with a low-carbon one. It is administered by Ofgem and applies to air source heat pumps, ground source heat pumps, and biomass boilers in eligible properties.

The grant is paid to the installer and taken off your quoted price, so you don’t have to pay the full amount and claim it back later. Your installer must be MCS-certified, and the property must meet the scheme’s eligibility conditions. Simple Solar is MCS-certified for heat pump installations.

View our air source heat pumps

What is changing on 21 July 2026?

Infographic showing the Boiler Upgrade Scheme grant rising from £7,500 to £9,000 for off-gas-grid homes replacing oil or LPG with an air-to-water heat pump from 21 July 2026

Until now, the Boiler Upgrade Scheme has paid a single rate of £7,500 towards an air source or ground source heat pump, regardless of the fuel being replaced.

From 21 July 2026, the scheme introduces a higher rate of £9,000 specifically for off-gas-grid properties replacing an oil or LPG heating system with an ‘air-to-water’ heat pump. Air-to-water heat pumps are the standard type of heat pump technology across the UK.

The increase is a direct response to the pressure that rising oil and LPG prices have placed on rural households, who are not protected by the energy price cap that covers mains gas and electricity. The aim is to make switching to a heat pump more affordable for the homes most exposed to fossil fuel price swings.

View government grant details

Who qualifies for the £9,000 grant?

The higher £9,000 grant is precise about what it covers. It is not simply a grant for “oil and LPG homes”. It depends on three things together:

01

Your property being off the gas grid

02

The system you are replacing

03

The type of heat pump you install

You qualify for the £9,000 grant if all of the following apply:

  • Your property is off the mains gas grid
  • You are replacing an oil or LPG heating system
  • You are installing an air-to-water heat pump or a ground source heat pump

If you are off the gas grid, but replacing a different system – for example, coal, an electric heating system that is not a heat pump, or a fossil fuel hybrid – the grant for an air-to-water or ground source heat pump is £7,500. Air-to-air heat pumps are funded at £2,500 in all cases.

The table below sets out the headline figures relevant to most South West homeowners:

Your situation Heat pump type Grant from 21 July 2026
Off-gas grid, replacing coal, electric or other fossil fuel Air-to-water or ground source £7,500
On the mains gas grid Air-to-water or ground source £7,500
Any property Air-to-air heat pump £2,500

Simple Solar's recommended heat pump, the Ideal Heating Logic HP290, is an air-to-water unit. For an off-gas home in the South West replacing an oil or LPG boiler, that places it squarely in the £9,000 category.

Are you off the gas grid?

Off-gas-grid simply means your home is not connected to the mains gas network. Instead of a gas meter and a gas bill, you have a tank of heating oil or LPG, or you rely on electric heating. If you order fuel deliveries to a storage tank, you are off the gas grid.

Whether a particular street has a mains gas connection varies property by property, even within the same town. As a rule, the more rural your location, the more likely you are to be off-grid.

The South West has one of the highest concentrations of off-gas-grid homes in England, which is a large part of why the £9,000 uplift is so relevant here.

Ideal Heating air-to-water heat pump installed against the stone wall of a rural off-grid property

Why off-grid homes in the South West are well placed to benefit

Across Devon, Cornwall, and Somerset, a large share of homes were built before mains gas networks reached rural areas, and many never were connected.

These households have long carried higher and less predictable heating costs than their gas-connected neighbours, because oil and LPG prices track global markets and sit outside the protection of the energy price cap.

Devon

In Devon, around half of residents live in rural communities that are often off the gas network, with tens of thousands of households relying on heating oil as their main fuel.

Somerset

Somerset's picture is similar across its rural uplands and levels. For these homes, the combination of high running costs and a £9,000 grant makes the case for switching to a heat pump unusually strong.

Off-grid communities across the three counties

Simple Solar works with off-grid homeowners throughout its service area. Communities where off-grid oil and LPG heating is especially common include:

Devon

Okehampton, South Molton, Chulmleigh, Holsworthy, Hatherleigh, and the wider rural areas of North Devon and the Dartmoor fringe.

Cornwall

Bodmin and Bodmin Moor, Launceston, Liskeard, Bude, Wadebridge, Helston, and the rural fringes of the larger towns.

Somerset

Dulverton, Porlock, Wiveliscombe, Wedmore, Bruton, and the villages of Exmoor and the Blackdown Hills.

How much does a heat pump cost after the grant?

Simple Solar's air source heat pump installations start from around £12,000 before any grant is applied. The grant is deducted from that price, so your starting point depends on which grant tier you qualify for.

On gas grid / other off-grid Off-grid, replacing oil or LPG from 21 July 2026
Installed price before grant £12,000 £12,000
Boiler Upgrade Scheme grant £7,500 £9,000
Price after grant £4,500 £3,000
The key figure

For an off-grid home in the South West replacing an oil or LPG boiler, the £9,000 grant brings the cost of a heat pump down to around £3,000, and that’s before you account for the savings on fuel.

Many households also choose to pair a heat pump with solar panels to reduce the running cost further; you can read more in our guide to heat pumps and solar panels.

Read the heat pump and solar panels guide

Will a heat pump cut my running costs?

For most off-grid homes currently on oil or LPG, a well-specified heat pump reduces both running costs and carbon emissions.

A heat pump does not burn fuel; it moves heat from the outside air into your home, delivering several units of heat for every unit of electricity it uses. That efficiency is what allows it to compete with, and usually beat, oil and LPG on cost.

Your exact saving depends on your current fuel price, your home's insulation, and the electricity tariff you are on.

As a reference point, the standard variable electricity rate over April to June 2026 is 24.67p/kWh. Because oil and LPG prices are volatile and uncapped, the gap between them and electricity can widen sharply when global markets are under pressure – which is precisely the exposure a heat pump removes.

What does installing a heat pump involve?

Replacing an oil or LPG boiler with an air source heat pump is a well-established process. In outline:

A survey assesses your property, heat demand, radiators, and hot water needs, and confirms the right heat pump size.

An outdoor unit is sited where it has good airflow and is positioned carefully in relation to boundaries, windows, and bedrooms.

Inside, a hot water cylinder is usually fitted, as heat pumps work best heating water to a steady, moderate temperature.

The system is commissioned and you are shown how to run it efficiently.

Because the £9,000 grant requires an MCS-certified installation, choosing a certified installer is not optional — it is a condition of the funding. Simple Solar holds that certification and manages the grant as part of the process.

How do I apply for the grant?

You do not apply for the Boiler Upgrade Scheme yourself.

Your MCS-certified installer applies on your behalf and deducts the grant from your quote, so the saving is built into the price you are given. The steps are straightforward:

01

Book a survey and receive a fixed-price quote with the grant already deducted.

02

Confirm you wish to proceed; the grant application is handled for you.

03

The heat pump is installed and commissioned.

For off-grid homes in Devon, Cornwall, and Somerset, the simplest first step is a free survey to confirm your eligibility for the £9,000 rate and the right system for your property.

View the government grant page

Check your eligibility for the £9,000 grant

If your home is off the gas grid in Devon, Cornwall, or Somerset and you currently heat with oil or LPG, you are likely to be in line for the higher £9,000 Boiler Upgrade Scheme grant from 21 July 2026.

Simple Solar is MCS-certified, works across all three counties, and can confirm your eligibility and provide a fixed-price quote with the grant deducted.

Help and answers

Frequently asked questions

How much is the heat pump grant for oil and LPG homes?

From 21 July 2026, the Boiler Upgrade Scheme pays £9,000 towards an air-to-water or ground source heat pump for off-gas-grid properties replacing an oil or LPG heating system. Other eligible properties receive £7,500.

When does the £9,000 grant start?

The £9,000 rate takes effect on 21 July 2026. Before that date, the grant for an air-to-water or ground source heat pump is £7,500.

Do I qualify if I am on the gas grid?

No. The £9,000 rate is only for off-gas-grid properties replacing an oil or LPG system. Homes on the mains gas grid can still receive £7,500 towards an air-to-water or ground source heat pump.

Does the grant cover air-to-air heat pumps?

Air-to-air heat pumps are funded at £2,500 under the scheme, regardless of property type. The £9,000 and £7,500 rates apply to air-to-water and ground source heat pumps.

How much will a heat pump cost me after the grant?

Simple Solar's air source heat pump installations start from around £12,000 before the grant. After a £9,000 grant, that is around £3,000; after a £7,500 grant, around £4,500. A survey confirms the exact figure for your home.

Do I have to apply for the grant myself?

No. Your MCS-certified installer applies for the Boiler Upgrade Scheme on your behalf and deducts the grant from your quote, so the saving is built into the price.

Free survey

Ready to make the switch?

There has rarely been a better time for an off-grid home in the South West to move away from oil or LPG. With the Boiler Upgrade Scheme grant rising to £9,000 from 21 July 2026, the upfront cost of an air source heat pump falls to a level that simply wasn't possible a year ago, and that's before the savings on fuel start to add up.

Simple Solar is MCS-certified, works right across Devon, Cornwall, and Somerset, and will handle the grant from start to finish. The first step is a free, no-obligation survey: we'll confirm whether your home qualifies for the £9,000 rate, recommend the right system, and give you a fixed-price quote with the grant already deducted.

Get in touch today to book your survey and find out exactly what a heat pump could mean for your home and your heating bills.

Your survey covers
  • £9,000 grant eligibility
  • Heat pump suitability
  • Right system recommendation
  • Fixed-price quote
  • Grant deducted upfront

AUTHOR

David Lewis

Creating practical, expert content that makes renewable energy technologies clear, credible, and easy to understand.

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