Not Sure Which Grant Best Suits Your Needs Looking for the Right Boiler Upgrade Grant? With both Boiler Upgrade Scheme (BUS) and ECO4 offering grants to assist energy-efficient upgrades, it can be challenging to determine which option best meets your situation.
What Is the Boiler Upgrade Scheme (BUS)?
Launched by the UK government in 2022, the Boiler Upgrade Scheme focuses on replacing fossil-fuel heating systems with low-carbon alternatives. Instead of providing you with a regular gas boiler, BUS helps fund the following:
- Air source heat pumps
- Ground source heat pumps
- Biomass boilers (for rural homes only)
Ideal if you are planning to switch to an eco-friendly heating system and need help covering upfront costs.
Homeowners could receive up to PS7,500 worth of vouchers towards installation services.
What Is the ECO4 Scheme?
The Energy Company Obligation 4 (ECO4) program is a long-running effort that provides direct assistance to low-income and fuel-poor households. While other schemes exist, like the Boiler Upgrade Scheme, ECO4 stands apart by targeting only households that cannot afford upgrades for their boiler.
- Offers free boiler replacements
- Covers loft, cavity wall, and solid wall insulation
- Large energy suppliers fund it
- Runs until March 2026
ECO4 focuses on increasing energy efficiency within existing homes without replacing them with new technology, making it especially helpful for pensioners and beneficiaries receiving qualifying benefits.
Comparing the Two Boiler Schemes
Now that we understand what each scheme does, let’s compare them side by side to help you select the one that best meets your needs.
1. Who Is Eligible?
Boiler Upgrade Scheme:
- Available to homeowners and private landlords
- Your current system must use oil, gas, or electric heating
- No income or benefit restrictions
- Property must meet EPC requirements (with no outstanding insulation recommendations)
ECO4 Scheme:
- Designed for low-income households
- You must receive qualifying benefits (e.g., Pension Credit, Universal Credit)
- LA Flex may allow others to qualify (through the local council)
- Must own or privately rent your home
Verdict:
For those on a tight budget or receiving benefits, ECO4 may be best, but for those ready to invest in low-carbon heating solutions such as BUS, it may be more appropriate.


2. What Do You Get?
Boiler Upgrade Scheme:
- Up to £7,500 towards heat pumps or biomass boilers
- Doesn’t cover gas boiler replacements
- Installation by an MCS-certified installer
ECO4 Scheme:
- Free boiler replacements (gas, combi)
- Full home energy upgrades are possible
- Partnered with energy suppliers and local installers
Verdict: Looking for green tech? Consider BUS; for a freer, more efficient boiler solution, consider ECO4.
3. Cost to the Homeowner
Boiler Upgrade Scheme:
- Homeowners may still need to pay part of the cost
- Typical heat pump installation costs £10,000+
ECO4 Scheme:
- Usually 100% free for qualifying households
- Funded entirely by energy companies
Verdict: For budget-minded shoppers, the ECO4 stands out as the clear winner.
4. Installation Process
BUS:
- Choose an MCS-certified installer
- The installer applies for the grant on your behalf
- You pay the remainder after the discount
- Installation complete
ECO4:
- Contact an ECO-approved installer or apply online
- Get a free home assessment
- Qualify and get scheduled
- Installation is usually done in 2–3 weeks
Verdict: In general, ECO4 is more cost-effective and simpler if eligibility requirements are met.
Case Study: Sarah’s Dilemma
Sarah, 68, lives alone in a semi-detached house in Leeds and struggles to make decisions between BUS or ECO4. Eventually, after speaking with an ECO installer, she discovered she qualified for a free replacement boiler through ECO4.
Sarah says ECO4 saved her thousands.

Key Differences at a Glance
Feature | Boiler Upgrade Scheme (BUS) | ECO4 Scheme |
Focus | Low-carbon upgrades | Energy efficiency for low-income |
Covers | Heat pumps, biomass | Boilers, insulation, heating controls |
Funding Type | Partial (voucher) | Fully-funded (if eligible) |
Income Requirements | None | Must meet criteria or council flex |
Suitable For | Green-conscious homeowners | Vulnerable or low-income households |
Which One Should You Choose?
Ask yourself:
- Do I want to switch to renewable energy? → BUS is for you.
- Do I want a free boiler and lower bills? → ECO4 is your best option.
- Do I receive benefits or have a low income? → You’ll likely qualify for ECO4.
- Can I afford to pay some of the cost? → Then BUS might work better.
Final Thoughts
Deciding between the Boiler Upgrade Scheme and ECO4 depends entirely on your personal needs, budget and energy goals. For many households, ECO4 provides the fastest, least costly path towards better heating, while BUS can significantly decrease carbon emissions by helping you go green.
Either way, don’t wait – these schemes won’t last forever, and your comfort (and wallet!) will thank you.
Need some assistance selecting the ideal scheme?
No problem. Let our certified installers assist in selecting today with a complimentary consultation visit and free consultation to explore all your options!
FAQs
Q1: Can I apply for both BUS and ECO4?
A: No, they’re separate schemes targeting different needs. You’ll need to choose based on eligibility and goals.
Q2: Does ECO4 cover heat pumps?
A: No, ECO4 focuses mainly on gas boilers and insulation. BUS covers heat pumps.
Q3: What if I’m not receiving benefits?
A: You may still qualify under ECO4 via LA Flex or apply to BUS if your property is eligible.
Q4: Are these schemes available in all of the UK?
A: BUS and ECO4 apply in England and Wales. Scotland and Northern Ireland may have separate schemes.