Is Air Conditioning on the BUS Scheme Now? 2027 Update
Key Takeaways
- 2026 Update, the Department of Energy have confirmed that the Air Conditioning will be added to the BUS in 2027
- As of November 2025, the Boiler Upgrade Scheme (BUS) a £2,500 grant specifically for air-to-air heat pumps (which act as air conditioning).
- This change targets apartments and smaller homes where traditional air-to-water heat pumps (with water cylinders) are not practical.
- With average installation costs for flats around £4,500, this new grant covers roughly 50% of the total price.
- Unlike gas boilers, these funded systems provide efficient heating in winter and cooling in summer from a single unit.

Last Updated: 18 November 2025
With UK summers getting consistently warmer, the question we get asked most is: “Can I get a government grant for air conditioning?” Until this morning, the answer was no. But the rules have just changed, as reported by The Mirror.
Is Air Conditioning included in the Boiler Upgrade Scheme?
Is Air Conditioning included in the Boiler Upgrade Scheme?
Yes, but not quite yet. Air conditioning is now effectively included in the Boiler Upgrade Scheme (BUS). While the Department for Energy Security and Net Zero announced the inclusion of air-to-air heat pumps in late 2025, the actual funding release for these specific units is firmly scheduled for 2027. Once live, the expanded scheme will offer a £2,500 grant for air-to-air heat pumps. Since air-to-air heat pumps are essentially reversible air conditioning units that provide both heating and cooling, homeowners will be able to receive a significant discount on systems that keep homes cool in summer.
Jargon Bust: Air-to-Air Heat Pumps
Don’t let the name confuse you. Think of an air-to-air heat pump as a modern air conditioner that works in two directions.
In the summer, it takes heat out of your room to keep it cool (Air Con). In the winter, it reverses the process and pulls heat from the outside air into your room (Heating). It is the same box on the wall, just smarter. If you are unsure about the terminology, read our guide on the difference between air-to-air heat pumps and air conditioning.
What are the new rules? (2027 Update)
The Department for Energy Security and Net Zero has announced a major expansion to the Boiler Upgrade Scheme to help those living in properties where a traditional boiler replacement isn’t easy.
- £2,500 Grant for Air-to-Air Heat Pumps: This is the big news for cooling. If you live in a flat or a smaller home, you can now get £2,500 off the cost of installing these units.
- £2,500 Grant for Heat Batteries: Grants are now available for batteries that store heat (thermal storage), allowing you to charge up on cheap overnight electricity and release the heat during the day.
- £7,500 Grant for Air-to-Water Heat Pumps: The original grant for systems that replace gas boilers and connect to radiators is still available and unchanged. You can see a full breakdown of other boiler grants available here.
Why the change?
The government wants to decarbonise heating in flats and apartments. Traditional “air-to-water” heat pumps (the big white boxes that sit in gardens) require a hot water cylinder and radiators, which aren’t practical in a 3rd-floor flat.
Air-to-air units are cheaper to install (typically around £4,500 for a small property—see our guide to air conditioning installation costs), meaning the £2,500 grant covers more than 50% of the upfront cost in many cases. If you need help with the remaining balance, we also have options for spreading the cost of installation.
Which Grant is Right for You?
| Feature | New Grant (Air-to-Air) | Original Grant (Air-to-Water) |
|---|---|---|
| Grant Amount | £2,500 | £7,500 |
| Provides Cooling? | Yes (Full Air Con) | Sometimes (Complex setup) |
| Heating Method | Warm Air (Fan units) | Radiators / Underfloor |
| Best Property Type | Flats, Apartments, Open Plan | Houses replacing boilers |
An Engineer’s Perspective
We asked one of our Founders what this change means for customers who have been asking about cooling.
“This is massive for people in flats and apartments. Previously, if you didn’t have space for a hot water cylinder, you were often stuck with expensive electric storage heaters. Now, you can install a proper air-to-air system for a fraction of the cost. It gives you cheap, efficient heat in winter and proper air conditioning in summer—it’s a no-brainer for comfort. Flats often face unique challenges with EPC ratings, cavity walls, and shared insulation. Homeowners should use this time to get their energy certificates fully updated. By the time the £2,500 grant goes live, your property will be completely survey-ready to secure the funding without bottlenecks.”
— Rhys Powell, F-Gas Engineer at WarmZilla
If you are curious about what the work involves, take a look at our professional air conditioning installation guide.
Can I apply now?
How to Prepare for the 2027 Grant Release
Official applications for the air-to-air heat pump grant are not yet live and will not open until 2027. However, because this is an installer-led scheme, you can take action today to avoid the rush. We highly recommend joining the WarmZilla Waitlist to get your property pre-approved. By registering your interest now, our engineers can remotely verify your eligibility and ensure your application is at the front of the queue the moment the government funding is released. To understand the upcoming process, you can also read our simplified guide to applying for the Boiler Upgrade Scheme.
Because this grant specifically targets air-to-air systems, we expect high demand leading into the summer months. If you are interested in getting an air-to-air heat pump installed, you can get a fixed price quote online now.
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