Heat Pump Cashback: Which Banks Pay Out?

Heat Pump Cashback

Have installation prices ever put you off upgrading your old gas boiler to a heat pump?

Thankfully, this is no longer an issue. Along with a £7500 discount via the Boiler Upgrade Scheme (BUS), UK banks are offering up to £2000 cashback for heat pump installations. Eligibility for these schemes can result in savings of up to £9500, making heat pumps highly affordable. 

The UK banks currently participating in heat pump cashback schemes are:

  • Lloyds

  • Barclays

  • Halifax

  • Nationwide

Learn more about each bank’s scheme, how much they offer, and whether you qualify for discounts in this 2025 guide.

Lloyds Bank Eco Home Reward: £2000 cashback

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Lloyds Bank’s Eco Home Reward allows qualifying customers to claim up to £2000 cashback on energy saving home improvements. Improvements include:

  • Heat pumps (£2000 cashback)

  • Solar panels (£1000 cashback)

  • Insulation (£500 cashback)

  • Windows (£500 cashback)

You can also claim a free Energy Performance Certificate (EPC) after claiming your cashback. A high EPC rating means that your energy bills will be reduced and your home’s value will increase.

How to Qualify:

  • Hold a Lloyds Club bank account

  • Apply for a Lloyds mortgage, be switching to a new deal, or apply for additional borrowing

  • Complete an eligible home improvement within a year of application for the above options

Lloyds Bank Heat Pump

Barclays Greener Home Reward: £2000 Cashback

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To help homeowners go green, Barclays are offering £2000 in cashback for air source heat pump installations. You can also claim £1000 for solar panel installations and solid wall insulation. For spray foam insulation and door and window improvements, you can claim £500. 

The bank has also offered their customers a Home Health Check, which amounts to the sum of £50. This includes an EPC rating and important information on how you can save energy and lower carbon emissions.

How to Qualify

To qualify for the Barclays Greener Home Reward, you’ll need to:

  • Have a Barclays residential mortgage

  • All mortgage payments must be up to date and paid via a direct debit

  • Not be in breach of mortgage conditions or have permission to let

  • Show proof of payments or work being completed within three months of your cashback application

As with most cashback schemes, the invoice for the completed work must be equal or greater than the amount offered in the scheme. This excludes government grants. 

Barclays Heat Pump

Halifax Green Living Reward: £2000 Cashback

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Halifax offers its customers the chance to claim back £2000 for a ground or air source heat pump installation. You can also claim £1000 for solar installations or £500 for window/insulation improvements. 

The bank also offers a free EPC assessment after your home improvement work is complete. 

How to Qualify

To qualify for the Halifax Green Living Reward, you’ll need to:

  • Have an existing Halifax or Bank of Scotland current account 

  • Apply for a new Halifax mortgage, additional borrowing, or be switching to a new deal

  • Complete an eligible home improvement within a year of completing your Halifax mortgage, additional borrowing, or new deal 

Halifax Heat Pump

Nationwide Green Reward: Up to £500 Cashback

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The cashback on offer with Nationwide’s Green Reward scheme is dependent on your home’s EPC rating. Those with ratings of 92 and above will qualify for a sum of £500. Those with ratings between 86 and 91 will be eligible for a return of £250. 

Bear in mind that EPC ratings determine Nationwide’s Green Reward. It's NOT a direct return on a renewable energy investment, unlike the options above. Of course, you could use the money you receive to install a new heating system.

How to Qualify

To qualify for the Nationwide Green Reward, you’ll need to:

  • Be buying a home with a Nationwide mortgage

  • Complete your mortgage with a property score of 86 or more

  • Have your EPC rating on the government’s online register within two weeks of completing the mortgage

Nationwide Heat Pump

Nationwide 0% Interest Green Additional Borrowing

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As well as the Green Reward scheme, Nationwide also offers a 0% interest loan to be spent on renewable home improvements. You'll be able to borrow between £5000 and £20,000 at 0% interest for the first 2 or 5 years.

The loan is strictly to be spent on renewable technology, including heat pumps, solar panels, insulation, and window improvements.

How to Qualify:

To qualify for the 0% Interest Green Additional Borrowing scheme, you need to:

  • Be an existing member with a Nationwide mortgage that has at least one month's payment made on it

  • Ensure your existing mortgage, along with the additional 0% interest loan is not worth more than 90% of your home's value

  • Spend 100% of the loan on renewable home energy improvements

Nationwide Heat Pump 2

Combining Cashback With Government Grants

Save an extra £7,500 with the Boiler Upgrade Scheme

As well as making the most of the cashback on offer from the banks, you can claim a further £7500 discount with the UK Government's Boiler Upgrade Scheme (BUS). It's designed to encourage UK homeowners to switch from fossil fuel heating to heat pumps, as the country marches towards its Net Zero targets.

The initiative is valid throughout England and Wales, and will be automatically deducted from your final payment by your installer.

EPC | Your Go-To Essex Heat Pump Installers

With over 15 years in the renewable energy industry, EPC are Essex's trusted heat pump installers. Our aim isn't just to install a heat pump for your home, it's to give you all the knowledge you need to lead a green, low-cost life. Our MCS Certified experts will design a bespoke system that suits your exact needs, while running you through exactly how heat pumps work.

Contact us today to learn more about how we can cut your energy bills and carbon emissions with a brand new heat pump installation.