Heat pump grants just got bigger for oil homes

For the many Forest Row households still heating with oil, the past week brought the most significant grant change in some time. On 28 April 2026, the Boiler Upgrade Scheme (England and Wales) (Amendment) Regulations 2026 came into force, with several reforms tucked inside one piece of legislation. The headline for our village: a temporary uplift from £7,500 to £9,000 for households (and small businesses) that rely on heating oil or liquefied petroleum gas. There are other changes too, and this is a short, neighbourly look at what they mean if you are weighing a heat pump for your home.

What changed on 28 April

Four substantive reforms came in together. First, the Energy Performance Certificate prerequisite has been removed, which had been a stumbling block for older properties whose certificate had lapsed or had no recommendations attached. Second, the scheme is now extended to 2030, giving households a much longer planning horizon. Third, air-to-air heat pumps (the type that look and feel like a high-specification air conditioning unit) are eligible for the first time, at £2,500. Fourth, the installer definition is formally tied to Microgeneration Certification Scheme certification, which makes it clearer who is, and is not, eligible to claim the grant on your behalf. The 2026 to 2028 budget has been topped up to £1.5 billion, and installer payments now release within ten working days of Microgeneration Certification Scheme commissioning sign-off, which should help smaller local installers with cash flow.

Source: Ofgem Boiler Upgrade Scheme guidance for property owners. Source: Energy Saving Trust: Boiler Upgrade Scheme explained.

What this means for our area. 

A surprising percentage of more rural properties sit off the gas grid. A meaningful share of our parishes' 2,079 households are on heating oil, and the typical installed cost of an Air Source Heat Pump sits between £7,000 and £13,000 before any grant. A £9,000 contribution narrows the gap considerably. Off-gas savings versus oil are typically £300 to £600 per year for a well-sized system in a reasonably insulated home, so the maths is more straightforward than it was a fortnight ago. The removal of the Energy Performance Certificate prerequisite also matters here, because many High Weald homes are older, have lapsed certificates, or have a certificate that does not list a heat pump in the recommended improvements.

A practical caveat: the £9,000 is described as a temporary uplift, so if a heat pump is on your list for the next twelve to eighteen months, this is a window to plan around rather than rush.

Air-to-water, air-to-air, ground source: which one?

Air-to-water heat pumps remain the typical choice for retrofit because they connect to your existing wet central heating (radiators or underfloor) and produce hot water. Air-to-air now has a £2,500 grant, which is useful for outbuildings, annexes, and spaces where adding wet pipework is impractical, although air-to-air does not produce hot water and is rarely a complete swap for an oil boiler in a main house. Ground source remains the long-term efficiency leader, but the upfront cost and ground works rule it out for many sites in the village.

For context: real-world Seasonal Coefficient of Performance for UK Air Source Heat Pumps averaged 3.87 across 252 monitored installations in January 2026 (Open Energy Monitor data), with best-practice systems delivering 4.5 and above. By comparison, a gas or oil boiler runs at an efficiency of 0.85 to 0.93.

Pros and cons of moving from oil

The pros: lower running costs over time, lower carbon emissions, no oil deliveries to schedule, no tank to maintain, and a quieter household plant. The cons: significant upfront capital, the need for a proper heat-loss survey, likely upsizing of some pipework or radiators, and a routine adjustment for households used to short, hot bursts of heat. Fabric first remains the rule. The most cost-effective heat pump is the one fitted to a well-insulated house, so loft, walls, and draught-proofing pay back twice: lower bills now, and a smaller, cheaper heat pump later.

What to look for in a quote

The Microgeneration Certification Scheme is reforming consumer protection through 2026, moving toward Microgeneration Certification Scheme-approved financial protection products with a minimum six-year workmanship cover. When you receive a quote, you can sensibly ask for: the installer's Microgeneration Certification Scheme number, a written heat-loss calculation in line with Microgeneration Installation Standard 3005, the predicted Seasonal Coefficient of Performance, the radiator and pipework assumptions, and confirmation of which financial protection product covers the workmanship. Comparing two or three quotes is usually worth the time. From 28 May 2026, only Microgeneration Certification Scheme 020 noise calculation is accepted under permitted development, and the boundary distance rule has been replaced with a noise limit of 37 decibels (A-weighted) at one metre from a habitable-room window of a neighbouring property. Listed buildings require Listed Building Consent, and in conservation areas the unit must not front a highway.

Source: Microgeneration Certification Scheme: new Permitted Development rules.

See it for yourself: open house, Saturday 16 May 2026

If reading about a heat pump or a fabric retrofit is one thing, walking through a working example is quite another. Forest Row Energy Coop is hosting an open house on Saturday 16 May 2026 at Crossing Gate, Brambletye Lane, Forest Row, RH18 5EH. The home is a new build that brings together energy efficiency and renewables from the ground up, and visitors are welcome to look around and ask any question on their mind. Free tickets and the latest on-the-day timings are on the event page.