BUS Grant (subject to eligibility) Budget Update 2026: Is There Still Money Left?

Is There Still BUS Grant (subject to eligibility) Funding Available in 2026?

Yes, as of the latest official update there is still BUS grant funding available in the 2025/26 scheme year, but availability depends on timing, voucher activity and whether your project meets eligibility rules. According to Ofgem’s BUS monthly scheme update (10 March 2026), £38,247,500 remained in Year 4 of the scheme at 28 February 2026.

That is the most useful answer for homeowners asking whether the scheme has “run out”. It has not run out on those figures, but no one should assume funding is effectively guaranteed right up to the last day of the scheme year.

According to the same Ofgem update (10 March 2026), total grants paid since scheme launch had reached £541,149,500 and total voucher applications received had reached 117,654. So demand is now large enough that waiting passively is a poor strategy if you are seriously considering a heat pump.

For the full scheme overview, read our BUS grant (subject to eligibility) complete guide, heat pump grants and schemes article, and heat pump cost guide.

How Big Is the 2025/26 BUS Budget?

The Year 4 BUS budget for 1 April 2025 to 31 March 2026 is £295 million. According to Ofgem’s BUS Quarterly Report Issue 15 (27 February 2026), that was the formal annual budget, and it sat alongside permission for Ofgem to over-allocate vouchers up to a total of £280 million to help keep the scheme flowing.

This is where people often get confused. The annual budget figure and the over-allocation permission are not the same thing:

1. The annual budget is the main funding allocation for the scheme year.
2. Voucher over-allocation is a management tool to maintain scheme continuity.
3. Neither number guarantees that a late applicant will secure funding.

According to Ofgem’s quarterly report (27 February 2026), budget remaining earlier in the year was £109.5 million at the end of October 2025, which shows how quickly allocated budget can move as voucher activity increases.

What Do the Voucher Numbers Tell Us?

The voucher numbers tell us the BUS scheme is active, maturing and still heavily used, not fading away. According to Ofgem’s monthly update (10 March 2026), 82,162 vouchers had been issued and 77,549 had already been redeemed by 28 February 2026.

Those figures matter because demand and redemptions show how far the scheme has moved beyond pilot territory. They also show why last-minute applications are a weak strategy if you already know you want to replace a boiler.

According to Ofgem (10 March 2026), issued vouchers exclude those later expired, withdrawn or revoked. So the practical takeaway is not just that there have been many applications, but that there has also been substantial follow-through to paid installations.

What Does the Budget Update Mean for Homeowners Right Now?

For homeowners, the 2026 budget update means the scheme is still live, but the right time to start is before your existing boiler fails or before the remaining annual budget tightens further. According to Ofgem guidance for property owners, the installer applies on your behalf, and the grant remains subject to eligibility.

The most useful practical steps are:

1. Check whether your home is broadly suitable for a heat pump.
2. Get a proper survey and heat loss assessment.
3. Confirm likely post-grant cost, subject to eligibility.
4. Start the process before a breakdown forces a rushed decision.

According to Energy Saving Trust (2026), a typical air source heat pump costs around £11,000 before support. That is why the £7,500 grant remains commercially significant even in a year with falling price-cap bills.

Are There Any Important Risks or Caveats?

Yes, the main caveats are eligibility, timing and property suitability. The grant is £7,500, subject to eligibility, but according to Ofgem’s property owner guidance it must be applied for before work starts and cannot normally be claimed retrospectively after installation.

Other caveats to remember:

1. The grant is for eligible systems only.
2. The property must meet scheme rules in force at the time.
3. Budget remaining does not mean automatic approval.
4. Additional work such as radiators or cylinders can still affect final price.

According to Ofgem (10 March 2026), the scheme year runs to 31 March 2026, and unspent annual budget is not simply a promise of indefinite carryover for later homeowner decisions. The right way to use the update is as a timing signal, not as a guarantee.

If you are still assessing fit, read our is your home suitable for a heat pump guide and heat pump installation process article.

What Does This Mean for London and Surrey Homes?

For London and Surrey homes, the budget update means there is still a viable grant-backed route for boiler replacement projects, especially where the property is already a reasonable heat pump candidate. According to MCS (2025), certified heat pump installations reached 60,000 in 2024, showing the market is large enough now that local installer availability and project timing matter.

In practice, homeowners in TW, KT and nearby postcodes should use the update to compare:

1. Current boiler age and likely replacement timeline.
2. Heat pump suitability and any emitter upgrades needed.
3. Whether solar or battery storage should be phased in alongside heating.
4. Whether to start survey and grant paperwork now rather than later.

According to Ofgem (10 March 2026), more than half a billion pounds in grants had already been paid since scheme launch. That scale is exactly why homeowners should think in terms of process readiness, not just scheme headlines.

How Electromatic Can Help

If you want to know whether the current BUS budget still gives you a realistic route to a lower-cost heat pump installation, Electromatic can assess the property, likely post-grant spend and whether the scheme is worth pursuing now. That is the practical decision behind the budget update.

We offer free home surveys across London, Surrey and nearby TW areas, handle grant-route paperwork where the property is eligible, and can explain whether radiator upgrades, cylinder changes or a staged solar add-on are likely to be part of the project. We work under MCS certification via our accredited umbrella partner, so the compliance and paperwork route is handled correctly.

According to Ofgem’s monthly update (10 March 2026), £38,247,500 remained in the current scheme year at the end of February. That is enough to justify acting, but not enough to justify complacency.

Book your free home survey →

Call us: 07718 059 284 | Email: admin@electromatic.uk

Frequently Asked Questions

The BUS grant budget update matters because the scheme is still live, but the available annual budget is not infinite and the grant remains subject to eligibility. According to Ofgem (10 March 2026), there was still funding left at the end of February, so these are the practical questions homeowners should ask next.

How much BUS grant (subject to eligibility) funding was left in March 2026?

According to Ofgem’s 10 March 2026 update, £38,247,500 remained in Year 4 of the scheme as at 28 February 2026. That is the latest official figure in the public monthly update.

Can I still get the £7,500 heat pump grant?

Potentially yes, if your project is eligible and the scheme remains open when your installer applies. The grant is always subject to eligibility.

Do I apply for the BUS grant (subject to eligibility) myself?

Normally no. The installer applies on your behalf through the Ofgem scheme process once the property and project are confirmed as eligible.

How long does the BUS process usually take?

It depends on survey timing, paperwork and installer scheduling. Starting before a boiler breakdown usually gives a smoother path than trying to apply under time pressure.

Is it worth starting now if there is still budget left?

Usually yes, if you are already considering a heating replacement. A remaining budget figure is a signal to move sensibly, not a reason to wait until the final weeks.

The information in this article is for general guidance only and does not constitute financial, legal, or technical advice. Energy savings estimates are based on typical UK household data from the Energy Saving Trust and Ofgem (April 2026 price cap). Actual savings depend on your property type, insulation levels, energy usage patterns, and electricity tariff. The Boiler Upgrade Scheme (BUS) grant of £7,500 is subject to eligibility criteria set by Ofgem — not all properties qualify. Electromatic M&E Ltd operates under MCS certification via an accredited umbrella partner. All installations comply with Building Regulations Part L and MCS standards. E&OE.

Written by Electromatic M&E Ltd — ASHP & Solar installer, London & Surrey (electromatic.uk)

Last updated: April 2026 | Electromatic M&E Ltd, Company No. 13837345