REVEALED: What the boiler replacement scheme change means for landlords

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epc heat pumps

Landlords have more of an incentive to make green improvements following PM Rishi Sunak’s announcement that they can now claim £7,500 for a heat pump installation.

Under the Boiler Upgrade Scheme, the grant for an air source heat pump has been increased from £5,000, and from £6,000 for a ground source heat pump. The grant value for biomass boilers remains at £5,000.

The changes take effect from 23rd October and live vouchers remain worth the original value, although these can be revoked and a new application made for a voucher at the higher value after that date, according to the standards organisation MCS.

The boost comes as the government scrapped its policy to force landlords to upgrade the energy efficiency of their properties by 2028, but to continue encouraging them to do so where they can.

Landlords will only need to replace gas boilers with heat pumps once they have worn out and even then, not until 2035.

Outstanding recommendations

To be eligible for the Boiler Upgrade Scheme, a property must have a valid Energy Performance Certificate (EPC) with no outstanding recommendations for loft or cavity wall insulation.

Landlords need to contact installers to get quotes for the work; the installer will then apply on their behalf on the Ofgem website and the grant’s value is taken off the amount paid for installation.

The government reports that 22,857 voucher applications had been received by Ofgem up until 11th Sept this year.

Gas boiler replacements typically cost £2,000-£4,500 while heat pump retrofit costs vary widely, but costs can often exceed £10,000. However, companies such as Octopus Energy are offering installations from £3,000 in England after the grant, through the launch of its Cosy 6 model.

Read more about heat source pumps.

14 COMMENTS

  1. It means these leeches will do nothing and find a way to pocket the cash.

    Landlords do not care about the condition of the houses they horde, they only care for the value they can extract from innocent working people.

    Energy efficient homes will only exist once these landlords are forced to pay for their crimes against humanity and the houses they horde are given to people who actually want to live in them.

    • If people don’t want to rent from a private landlord then they don’t have to. I know my tenants would be devastated if I told them I were to sell up because of people like you driving landlords away. You should aim your ridiculous comments at a government that can’t provide mortgages for people that want to buy their own.

    • I think it’s unfair to categorise all landlords as only caring about the value they can extract from innocent working people.

      Whilst there are plenty of rogue landlords that have poor quality houses for tenants whilst demanding stupid amounts of rent per month, there are also plenty of landlords that care about their tenants and try to balance the rights and needs of their tenants whilst trying to make some profit/ROI. I for one, have not and will not increase the rent for my tenants as I am aware of the economy and financial issues my tenants are going through. I am also going through the same issues even though I am a landlord. Whenever there are any issues/maintenance that needs to be addressed, I do my best to resolve the issues quickly with as little inconvenience for the tenants.

      In my opinion the causing factors of the current rental crisis is, there is too much demand which has not been helped by mass immigration, lack of increase in wages which means that people cannot save enough due to inflation and increasing house prices, and the war against landlords from the Government which has meant there are less landlords and those remaining are able to capitalise on a market which has such high demand and so little supply.

      In my opinion, energy efficient homes should be the aim for all landlords. It means that tenants have a more comfortable stay, will spend less on heating etc and ensure they can pay their rent, not get into debt etc. and also landlords will have better quality housing that meets EPC regulations and has the most efficient boilers etc and heating and allows them to attract good quality tenants that will appreciate the energy-efficient improvements made. Even though these EPC rules are being scrapped, I will continue to make improvements that have already started taking place.

      I guess, like any industry or sector, there will always be rotten apples, but there will also be good people that want the best for themselves and are not willing to f*ck over their tenants to do so.

    • Maybe you could help these innocent people out by earning & saving to buy a house, then renovate it, then renovate it again as new regs come in, and then let out at a loss & risk losing it all to a feckless tenant. No, I didn’t think you would. You just want someone else to do all the work & take the risk don’t you & still you bitch & complain. Learn to take responsibility for yourself & grow up.

    • Thank you for you comment, which has caused me to reflect deeply on “my crimes against humanity”, “leeching” and “hoarding”.

      After some considerable soul-searching, I have decided to change my ways. Thanks to you, I will now not be renewing the contract with my tenants. Instead I plant to sell (I’m afraid I won’t just be “giving” it away, as per your suggestion) the property to someone “who actually wants to live in it”.

      This will leave the tenants without their home of the past six years and having to look for another, which might be a bit difficult for them as I am charging them well below market rate. However, if you would like to provide me with your details, I can pass them on so that you can explain to them why it’s all for the best.

      Thank you for helping me become a better person and showing me how to make the world a better place.

    • You really are a weirdo.

      Why do you persist in posting such rubbish!?

      Landlord zone should ban you as you make such idiotic comments.

      Your comments are of no use whatsoever to the LL community.

      Go to the idiotic Guardian where ridiculous comments like yours are welcomed.

      Your ridiculous comments won’t be taken any notice of.

      You clearly have a thing against private LL

      That is fair enough but your views aren’t respected or wanted by the LL community.

      So can you please do one and stop posting your ridiculous comments!

    • Chad Chad Chad….. you really should be having a word a bit closer to home… I mean, WTF were your parents thinking calling you Chad? Politics would be boring if everyone had a brain, so thank you for the laughs!

  2. Obviously a raving lefty who thinks people should be given houses to live in without having to earn a living or pay at all and probably claim their housing benefits at the same time!
    I did have a tenant like that but fortunately now have tenants that are pleased with their homes and affordable rent

  3. Unfortunately, a few bad landlords cause negative comments from tenants directed to landlords in general which is totally wrong, in my experience as a letting agent for nearly 20 years, it is tenants who more often than not cause a lot of grief and stress to landlords, not rent on time, missing rent payments, using their housing benefits for holidays, never open the windows to air the property and the list goes on. I am aware of the fact that there are some landlords who do not want to spend money on the rental property and cause problems for tenants but this is less common than the issues caused by bad tenants.

  4. Well chad .
    Why don’t you work a bit harder , save up your wages and buy a house to let at an affordable rate, by working harder yourself and subsidising the rent .
    Anyone can do it , it’s just a matter of determination.

  5. If these heating systems are cost effective, why do they need to be subsidised at all? The increase in subsidy is the one aspect of Sunak’s announcements which disappoints me. Based on what I’ve read about these heat pumps, I don’t want them, even with the subsidy.

    • I think they work if you have underfloor heating and a very well insulated house, so a new build basically. Retro fitting, nah,it’s a folly. You line a solid brick victorian building with PIR and you are inviting a host of damp issues, not to mention radiators the size of the wall!

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