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Government Grant Offers Discount on Air Conditioning for UK Homes

Households upgrading their heating systems can now receive a government grant of up to £2,500 towards the installation of air-to-air heat pumps, which provide both heating and cooling. This initiative comes as the UK experiences increasingly frequent and intense heatwaves.

  • A grant of up to £2,500 is available for installing air-to-air heat pumps.
  • The grant is part of the Boiler Upgrade Scheme (BUS) and is for replacing fossil fuel heating systems.
  • Air-to-air heat pumps offer both heating and cooling capabilities.
  • Eligibility requires installation by an MCS certified firm.
  • The inclusion of air-to-air heat pumps in BUS was announced in late 2025.

As Britain grapples with a sustained period of exceptionally high temperatures, many homeowners are exploring options for cooling their properties. A government grant, part of the Boiler Upgrade Scheme (BUS), now offers financial assistance for the installation of certain air conditioning units, specifically air-to-air heat pumps. This comes after a brutal British summer, which saw June 2026 break the record for the hottest June day three days in a row, with 26 June marking the sixth-hottest day in UK history. Average temperatures in the UK are already approximately 1.2°C higher than pre-industrial levels, and climate change projections indicate that heatwaves are set to become more frequent and prolonged.

The grant provides a maximum discount of £2,500 to eligible households looking to replace their existing fossil fuel heating systems with more environmentally friendly alternatives. Air-to-air heat pumps, often referred to as air conditioners, operate by extracting heat from the outside to warm a home during cooler months, and crucially, can reverse this process to provide cooling during warmer periods. While other air and ground source heat pumps have been included in the BUS, air-to-air heat pumps were previously exempt until the government announced their inclusion in late 2025.

It is important for homeowners to understand the specific conditions for eligibility. The grant is exclusively available to those who are upgrading their fossil fuel heating system. This means that if a household intends to install an air-to-air heat pump solely for cooling purposes while retaining their current heating system, they will not qualify for the financial support. The government's primary motivation behind encouraging these installations is their environmental benefit over traditional heating methods, with the cooling capability considered an additional advantage.

To access the grant, homeowners must engage an MCS (Microgeneration Certification Scheme) certified installer. These certified firms are responsible for applying for the grant on behalf of the customer. Without installation by an MCS registered company, the household will not be eligible for the discount. While the grant is now officially available, work is still ongoing to broaden the network of MCS suppliers offering this specific type of installation, meaning there may be a short wait before wider availability of the discount. Prospective applicants are advised to contact MCS certified installers directly to inquire about the timeline for accessing the grant.

The cost of installing an air-to-air heat pump can vary significantly based on factors such as location, property characteristics, and the specific model chosen. On average, the supply and installation costs are estimated to be around £3,000. The introduction of this grant aims to mitigate some of the initial financial outlay for homeowners, making these dual-function systems more accessible as the UK adapts to a future with warmer summers.

Why this matters: This grant could significantly reduce the cost of installing air conditioning, offering relief during increasingly severe heatwaves while also promoting more environmentally friendly home heating solutions. It reflects the UK's need to adapt its infrastructure to a changing climate.

What this means for you: What this means for you: If you are considering replacing your fossil fuel heating system, you could receive up to £2,500 towards an air-to-air heat pump, which provides both heating and crucial cooling for your home.

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