Traditional brick-and-flint cottages on the village green at Thorpe Market, Norfolk

From 21 July 2026 the Boiler Upgrade Scheme grant for households moving off oil heating rises from £7,500 to £9,000. In Norfolk, where roughly 30 percent of homes are off the mains gas grid, this affects a large share of the county, not a fringe case.

On 26 June the government announced a 20 percent uplift to the Boiler Upgrade Scheme (BUS) grant for oil-heated homes in England and Wales. The new £9,000 grant replaces the current £7,500 from 21 July 2026. Leaflets are being sent to 200,000 eligible homes this month.

Norfolk sits at the top end of the off-grid map. Roughly 30 percent of Norfolk homes are off the mains gas grid, against a national figure of around 4 percent. Kerosene heating is normal in Reepham, Aylsham, most of the north-west and much of the Broads. This grant change affects a big share of the county.

What actually changed

The BUS is a government grant paid to the installer. It comes off the quoted price of a new heat pump or biomass boiler. The homeowner does not claim it directly.

System (from 21 July 2026)New grantPrevious grant
Air source heat pump replacing oil£9,000£7,500
Ground source heat pump replacing oil£9,000£7,500
Biomass boiler (rural only)£5,000£5,000
Air or ground source, gas-heated home£7,500£7,500

The uplift is specifically for households replacing oil. Gas-heated homes stay at £7,500. Biomass grants are unchanged.

What counts as an oil-heated home

The scheme is administered by Ofgem via MCS-certified installers. To qualify at the £9,000 rate, the home has to be running an oil-fired boiler as the main heating source when the application is made. That includes the kerosene tanks in the garden that most Norfolk villages already have.

The BUS operates across England and Wales. Scotland and Northern Ireland run separate schemes. The property has to have a valid EPC, and the installer applies for the grant on the homeowner’s behalf.

Why Norfolk cares more than most counties

The site’s 2026 read on Norfolk oil heating (published in May) puts the county at ~30 percent off-grid. Central Norfolk villages, the north coast hinterland, most of Breckland and the Fens have mains gas only in the main settlements. The rest run on kerosene or bottled gas.

Typical Norfolk kerosene use is around 2,100 litres a year for a three-bedroom rural home. At Spring 2026 pricing that is a heating bill that has been the household’s largest utility cost by a wide margin for years. A £9,000 grant does not remove that. It changes the payback maths on switching.

Does the maths work

The site’s Norfolk oil heating guide has the post-grant install ranges. Under the old £7,500 grant, a typical air source heat pump install in Norfolk was £6,500 to £11,000 out of pocket, depending on the age of the property, the state of the radiators and whether a hot water cylinder had to come with the job. The new £9,000 grant knocks another £1,500 off, bringing the same jobs to roughly £5,000 to £9,500.

Running costs on a heat pump in Norfolk have been coming in 20 to 30 percent below oil for well-insulated homes, with payback in 10 to 14 years. Poorly insulated older cottages sit closer to 12+ years and often need fabric upgrades before the maths gets there.

The grant change does not turn any of that around. It moves the switch-decision point by £1,500 in favour of switching, and pulls forward the year in which the household breaks even.

What the grant does not cover

  • Radiator upsizing (often needed with heat pumps)
  • Hot water cylinder replacement
  • Insulation upgrades
  • Removing or decommissioning the old oil tank
  • Electrical consumer unit upgrades in older properties

Most heat pump installations in older Norfolk stock need at least two of the above. Ask any MCS installer to quote the whole job before signing.

How to apply

  1. Find an MCS-certified installer via the MCS database.
  2. Book a survey. The installer confirms eligibility.
  3. The installer applies for the BUS grant on the homeowner’s behalf.
  4. The grant comes off the quoted price. The homeowner pays the balance.

Applications submitted from 21 July onward at oil-heated properties should trigger the £9,000 rate. Anything applied for before then stays at £7,500. The Department for Energy Security and Net Zero has not published guidance on whether pending applications will be back-graded.

Frequently asked questions

Does the £9,000 grant apply to gas-heated homes?

No. Gas-heated homes stay at £7,500. The uplift is only for oil-heated households.

Is the grant paid to me or to the installer?

To the installer. It comes off the quoted price, so what you pay is the balance.

Do I need a new EPC?

A valid EPC is required. If the current one has recommendations for loft or cavity wall insulation, check with the installer whether that will affect eligibility before applying.

My tank is in the garden. Does the grant cover removing it?

No. Tank removal and any groundworks around it are not covered.

What if I do not qualify for BUS?

Some Norfolk councils and community energy schemes have separate insulation grants. Norfolk County Council maintains a Warm Homes information page with the current list.

What if the leaflet does not arrive?

The 200,000 leaflet drop is targeted. Not every eligible oil-heated household will receive one. Eligibility does not depend on the leaflet.

Related

Data sources

  • Department for Energy Security and Net Zero, press release 26 June 2026, “Thousands of homes will be eligible for £9,000 off a heat pump” (gov.uk)
  • Boiler Upgrade Scheme guidance, gov.uk/apply-boiler-upgrade-scheme
  • Norfolk Living Guide, Norfolk Oil Heating Guide 2026, May 2026

By James Ward, Property and Money Editor. Norfolk-focused practical guidance on rural energy, off-grid housing and household finance. Facts verified against the gov.uk press release and Boiler Upgrade Scheme guidance on 5 July 2026.

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