Gas Boiler Grants & Finance UK 2026
Every Option Explained
Free boiler through ECO4. £7,500 heat pump grant. 0% finance. Here is what you actually qualify for in 2026.
Updated April 2026
Grant and Finance Options at a Glance
| Scheme | Who Qualifies | What You Get | Availability (2026) |
|---|---|---|---|
| ECO4 | Low income, benefits, or LA Flex | Free A-rated boiler replacement | Very limited |
| BUS Grant | Any homeowner (for heat pump) | £7,500 off heat pump install | Open |
| LA Flex | Low income (council referral) | Free boiler or insulation | Varies by council |
| 0% Finance | Anyone (credit check) | Spread cost over 6-12 months | Widely available |
| Low-interest finance | Anyone (credit check) | Spread cost over 3-10 years | Widely available |
| Boiler on prescription | Patients with cold-related illness | Free or subsidised heating | Limited NHS areas |
ECO4 Scheme
The Energy Company Obligation (ECO4) scheme requires large energy suppliers to fund energy efficiency improvements for eligible households. It was extended to December 2026 but funding is nearly exhausted and new applications are increasingly difficult to get approved.
Who qualifies (benefit-based route):
- Universal Credit
- Pension Credit (Guarantee Credit)
- Child Tax Credit (income under £16,480)
- Working Tax Credit (income under £16,480)
- Income Support, JSA (income-based), ESA (income-related)
- Housing Benefit
Additional requirements:
- Your existing boiler must be at least 8 years old and inefficient
- Your property must have an EPC rating of D, E, F, or G
- You must own the property (or have landlord permission)
Honest assessment: ECO4 funding is winding down. If you qualify, apply immediately through your energy supplier. But do not count on approval. Many suppliers have already hit their targets and are not accepting new applications.
Boiler Upgrade Scheme (BUS)
Air source heat pump
£7,500
Ground source heat pump
£7,500
Air-to-air (from April 2026)
£2,500
Important: The BUS grant is for heat pumps only, not for gas boiler replacements. However, it is relevant for homeowners considering whether to stick with gas or switch to a heat pump. The grant is applied directly by the MCS-certified installer.
For a full cost comparison between gas boilers and heat pumps, including the impact of the BUS grant, see our gas vs heat pump comparison.
Local Authority Grants (LA Flex)
Some local councils can refer households to the ECO4 scheme through the LA Flex route, even if you do not receive the specific benefits listed above. This is designed for households that are on a low income, are vulnerable (elderly, disabled, or with young children), or live in fuel poverty.
Availability varies hugely by council. Contact your local council's housing or energy team to ask whether they offer LA Flex referrals. Some councils also run their own small grant schemes for boiler replacements or insulation.
Boiler Finance Options
| Finance Type | Typical Term | Interest Rate | Monthly Payment |
|---|---|---|---|
| 0% interest | 6 - 12 months | 0% | £200 - £400 |
| Low interest | 3 - 5 years | 3.9% - 9.9% APR | £45 - £85 |
| Standard finance | 5 - 10 years | 9.9% - 14.9% APR | £30 - £60 |
| Boiler subscription | Monthly rental | N/A | £25 - £40 |
Major providers offering boiler finance include Heatable, BOXT, British Gas, and many local installers through third-party finance companies. Most require a credit check and a minimum deposit (typically £0-500).
Boiler subscriptions are a newer model where you pay a monthly fee (£25-40) and the company owns, installs, maintains, and replaces the boiler. Think of it like a phone contract for your heating. The main downside is you never own the boiler and the total cost over 10 years is higher than buying outright.
Boiler on Prescription
Some NHS trusts and local authorities run a "boiler on prescription" scheme where a GP can refer patients with health conditions worsened by living in a cold home. Conditions that may qualify include COPD, asthma, cardiovascular disease, arthritis, and mental health conditions.
The scheme is not available everywhere and availability varies year to year depending on local funding. If you have a health condition affected by cold and cannot afford to repair or replace your boiler, ask your GP whether a referral is possible in your area.
Frequently Asked Questions
Can I get a free boiler from the government?
Potentially, through the ECO4 scheme. You must be on qualifying benefits and have an old, inefficient boiler in a property with an EPC of D or below. However, ECO4 funding is nearly exhausted in 2026. Apply through your energy supplier but have a backup plan.
What is ECO4 Flex?
ECO4 Flex (also called LA Flex) allows your local council to refer you for ECO4 funding even if you do not receive the specific qualifying benefits. It is designed for households in fuel poverty or those who are vulnerable. Contact your local council to ask if they participate.
Is boiler finance worth it?
0% finance (6-12 months) is excellent value if you can afford the higher monthly payments. Low-interest finance (3-5 years) is reasonable if you prefer smaller payments. Long-term finance (7-10 years) adds significant interest. Boiler subscriptions are the most expensive overall but require no upfront payment.
Can my GP get me a free boiler?
In some areas, yes. The 'boiler on prescription' scheme allows GPs to refer patients with cold-related health conditions for heating improvements. It is not available in all NHS trusts and funding varies. Ask your GP if you have a condition worsened by cold living conditions.