Grants are available to cover some or all of the cost of replacing inefficient boilers and electric storage heaters. They can also cover the cost of installing central heating if you do not have it. The grants can be accessed by homeowners and private tenants who receive a qualifying benefit, tax credit or allowance and they do not have to be paid back.

Oil or LPG boilers and Electric Storage Heaters are normally 100% free but a small contribution towards the cost may sometimes be required.

Gas Boilers only qualify for partial funding so a contribution will always be required. This will vary depending on the property type and the current heating system but there are various options available to help you pay this amount. These include standard finance, 0% finance and The Green Deal which uses the energy bill savings from installing a new boiler to pay for the shortfall so you will never be out of pocket.

Note that funding levels have been cut in recent years and there will be very little difference if you apply elsewhere.

These Government-backed grants are part of the Energy Companies Obligation (ECO) scheme. Under ECO, Energy Suppliers are obliged to pay towards energy saving improvements in households that are likely to be living in fuel poverty.

Even if you do not qualify for a grant, we can arrange for you to receive a free survey and quote from approved installers who can help with finance.

Electric storage heaters can also be replaced under the scheme.

Who qualifies for an ECO Grant?

To qualify for a grant, you must own or privately rent the property. If you are a private tenant, you will need verbal permission from your landlord before making an enquiry. We cannot assist Council or Housing Association tenants, unless you own more than 50% of a Housing Association property.

Someone living in the household must receive one of the benefits listed on the left below. Some benefits have household income thresholds that must not be exceeded in order to qualify.

Main Benefit Additional Criteria

  • Pension Guarantee Credit (State Pension TOP UP)
  • Income Support
  • Income-Based Jobseekers Allowance
  • Income-Related Employment Support Allowance



  • None Required



  • Child Tax Credit
  • Working Tax Credit
  • Universal Credit



  • Household income limits as shown in table below


Household income limits for Tax Credits are annual and before tax. Limits for Universal Credit are monthly net income i.e. after tax.

No. Adults/Children Tax Credits (per year) Universal Credit (per month)
1 Adult £13,200 £1,100
1 Adult & 1 Child £17,400 £1,450
1 Adult & 2 Children £21,600 £1,800
1 Adult & 3 Children £25,800 £2,150
1 Adult & 4+ Children £30,000 £2,500
2 Adults £19,800 £1,650
2 Adults & 1 Child £24,000 £2,000
2 Adults & 2 Children £28,200 £2,350
2 Adults & 3 Children £32,400 £2,700
2 Adults & 4+ Children £36,600 £3,010

What type of boilers qualify?

The efficiency of your boiler should be less than 86% which means it will be rated between C and G. Boilers over 5 years old typically fall within this range. A and B rated boilers can also be replaced if there is a fault such as; needs pressurising regularly, pilot light will not stay on, heating and/or hot water not working, making a noise, etc.

Note that grants are not available to pay for the replacement of radiators only. However, the replacement of electric storage heaters for more efficient units is part of the grant scheme.

Boiler/System Criteria

  • Existing Boiler rating from C to G
  • Boiler must be under 86% efficient
  • Boiler is more than 5 years old
  • No grants available for radiators or full heating
  • Boiler must run on Gas, Oil or LPG

If the current boiler runs on mains gas, a contribution will be required, depending on the amount of work needed and how efficient the property is. Some Oil and LPG boilers may also require a small contribution. This can be paid for through savings on heating bills via the Green Deal.

What if you don’t qualify?

Even if you do not qualify for a grant, you could still have a brand new, A-rated condensing boiler installed from just £20 per month. There are several finance/loan plans available with repayments being made over 3, 5 or 10 years.

A deposit may not be required in some circumstances but paying one will help to reduce your monthly payments. Taking the loan out over a shorter period such as 3 years which will also reduce the overall amount paid back. Availability of boiler finance is subject to a credit check.

APG Domestics can arrange for you to receive up to four free, no-obligation surveys and quotations from approved local heating installers who can help with boiler/heating finance. You can also choose to pay for the work once it is completed, rather than using finance. A new gas Boiler typically costs £1,500 to £2,500. Oil/LPG boilers and full Central Heating systems cost more.

Replacing an inefficient boiler can save up to £300 per year on heating bills. Installing a full Central Heating system in place of an inefficient system can save much more. If you are looking to replace your central heating in Preston, let APG Domestics know.

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