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The rundown: Heat Pumps & upgrade schemes

The rundown: Heat Pumps & upgrade schemes

Published on March 21, 2025

Posted in Advice & Reviews

by MKM

3 min read

Heat pumps are fast becoming a popular choice for energy-efficient home heating. With government schemes like the Boiler Upgrade Scheme (BUS) in England and Wales, and the Home Energy Scotland Grant and Loan, it's easier than ever to switch to low-carbon heat pumps. Whether you're a homeowner looking to save energy or an installer wanting to grow your business, this guide breaks it down.


Part 1: For installers & engineers

Why heat pump grants matter for installers

The demand for heat pumps is growing rapidly, with a 63% rise in installations in 2024. This growth will continue, especially with the changes to building regulations from the Future Homes Standard this spring and future regulations on boiler installations. This shift makes heat pumps the way forward for heating domestic and commercial properties. By utilising for the Boiler Upgrade Scheme, installers can access incentives, expand their services, and boost their reputation.

How to get started:

» Certification: Installers looking to complete heat pump installations eligible for government funding will need to either become MCS (Micro-generation Certification Scheme) accredited themselves or partner with MCS certification umbrella schemes. Our plumbing & heating experts in branch have knowledge of the best options for installers and routes for training. Many of our suppliers, including Daikin and Grant UK offer training, ask us about this in branch or visit an MKM Sustainable Home Centre (information & locations below).

» Business growth: Stay ahead of the market by offering renewable heating solutions and expand your offerings with heat pumps and solar panels.

» Considerations: One of the main considerations is the space required for the heat pump unit and hot water cylinder. Also, consider if the currently installed radiators are sufficient enough to output the heat from the unit. For new builds or extensions, consider underfloor heating as a second option. Air source heat pumps work particularly well with underfloor heating because they are at their most efficient when producing low water temperatures.

Now is the time to dive into heat pump installations for long-term growth.

 


Part 2: For homeowners

Why heat pumps are the future of home heating

Heat pumps can potentially contribute to lower energy bills, reduce carbon emissions, and even increase property value. They offer a consistent, comfortable ambient temperature because the heating is essentially always on. Thanks to government grants, it’s more affordable than ever to make the switch.

FAQ’s

Can any house have a heat pump? Most homes can accommodate a heat pump, but it works best in well-insulated homes. If your home is poorly insulated, you may need to upgrade it first to get the most out of the system.

Where does the heat pump go?
Heat pumps need to be placed outside your home, typically in the garden or on a patio. The unit should be positioned away from obstructions like fences or trees to ensure it works efficiently.

Can the heat pump be covered?
While the unit can’t be fully enclosed, you can hide it behind a decorative screen or plants, as long as airflow isn’t blocked. Your installer may be able to help you find a solution that blends in with your outdoor space.

What if I don’t have much space outside?
If space is limited, compact models are available, or your installer may suggest placing it in a less obvious location, like a side yard. For those with even less space, ground-source heat pumps, which are installed underground, could be an option.

How does the heat pump work?
A heat pump extracts heat from the outdoor air and uses it to warm your home. Even in cold weather, it can collect and transfer heat inside, making it an energy-efficient and sustainable heating option.

 

 

The Boiler Upgrade Scheme (BUS) (England and Wales Only):

» Up to £7,500 toward installation costs.
» Eligibility: Available for those replacing oil, electric, or gas boilers with heat pumps.
» Energy efficiency: Heat pumps are more efficient – so you put in 1kW of energy (electric) and get out around 3.5kW of heat energy, whereas with a gas boiler, you put in 1kW of energy (gas) and get out around 0.8kW of heat energy. However, electric energy is more expensive, so you may not save money, but paired with solar panels, this cost can be reduced.
» Environmental impact: A heat pump uses the heat in the air outdoors (even in low temperatures) and electricity to generate heat for your home. If you combine it with a green electricity supply or solar panels, no carbon is being emitted, and you’ll be helping the UK reach its net-zero targets.

How to get started:

» Check eligibility: Confirm that you qualify for funding.
» Find a certified installer: Ensure your installer is MCS-certified.
» Apply for the scheme: The installer applies for the scheme on your behalf to get support for your installation.

MKM Tip: Make sure your home is well-insulated! While you no longer need an up-to-date EPC to apply for the BUS grant, it’s still a great idea to keep your insulation in check. Poor insulation can cause heat to escape, making your heating costs higher than they need to be.

Now is the perfect time to invest in a heat pump for long-term savings and sustainability, while ensuring your home is future-proofed.

 

Home Energy Scotland Grant and Loan (For Homeowners in Scotland)

The Home Energy Scotland Grant and Loan is available to Scottish homeowners to help fund the installation of heat pumps. It offers financial support for those looking to reduce their carbon footprint and lower their energy bills with renewable heating systems.

 

 

Final thoughts

Whether you're a homeowner or installer, heat pump grants present a valuable opportunity. With changes in legislation and a growing focus on energy efficiency, schemes like the Boiler Upgrade Scheme and Home Energy Scotland Grant make it easier to transition to greener heating solutions. Whether you’re a homeowner wanting to create a smarter and cleaner living space, or an installer wanting to develop your skills at one of our sustainable home centres with free training, now’s the perfect time to make a move. Let’s create a more sustainable future!

For more details, visit your local MKM branch or one of our Sustainable Home Centres. Let’s make greener living a reality.

 

Sustainable Home Centres:

Located at the below branches, we have our Sustainable Home Centres. These centres offer a space to experience and learn about eco-friendly technologies, like air source heat pumps, with trained experts on hand for advice. We also offer free training to installers to get clued up on heat pump installations. So what are you waiting for? Visit one of Sustainable Home Centres today! Click below to find the branch address and contact details.

» MKM Durham
» MKM Grimsby
» MKM Hull
» MKM Leamington Spa
» MKM Malton
» MKM Sheffield Parkway

MKM Norwich and MKM Dereham have sustainability areas in branch, pop in and have a chat with the specialists. 

Sources:
»
https://www.heatpumps.org.uk/record-year-for-uk-heat-pump-sales-and-training/#:~:text=New%20data%20from%20the%20Heat,in%20the%20UK%20in%202024

» https://mcscertified.com/  

» https://www.nu-heat.co.uk/air-source-heat-pumps/#:~:text=Air%20source%20heat%20pumps%20work,when%20producing%20low%20water%20temperatures

» https://www.gov.uk/apply-boiler-upgrade-scheme

» https://www.homeenergyscotland.org/home-energy-scotland-grant-loan

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