Grants

Oil and LPG homes

Oil and LPG heat a small share of Lancashire's homes, concentrated in the Ribble Valley, West Lancashire, Wyre and Lancaster. They are the homes with the most to gain from a heat pump, and until 31 March 2027 the largest grant.

14 councils: the 12 Lancashire districts, Blackburn with Darwen and Blackpool · checked 3 November 2026

Where they are

Oil and LPG are rural fuels in Lancashire. The census table below ranks the 14 councils by the combined share of households using either one alone. Ribble Valley leads, with 7.1% on oil and 2.6% on LPG. At the other end, in Blackpool, Hyndburn and Burnley, fewer than one household in a hundred used either.

CouncilOil householdsOil shareLPG householdsLPG shareNo gas meter
Ribble Valley1,8887.1%7042.6%15.38%
West Lancashire1,5863.3%1,1162.3%10.83%
Wyre1,2262.4%8081.6%9.08%
Lancaster1,4632.4%6971.2%14.37%
Pendle5821.5%3090.8%4.25%
Fylde4391.2%3931.0%11.16%
Chorley6131.2%2750.5%5.82%
Preston6881.2%3380.6%10.61%
South Ribble3830.8%3330.7%3.14%
Rossendale2310.8%1460.5%4.57%
Blackburn with Darwen3150.5%2890.5%3.31%
Burnley1660.4%1520.4%3.06%
Hyndburn940.3%1670.5%2.65%
Blackpool570.1%1690.3%10.81%
ONS Census 2021, TS046 (households using one type alone); DESNZ off-gas estimates (2024).

Ribble Valley's oil share of 7.1% is about double the England and Wales figure of 3.5%. West Lancashire has the most LPG households of any council here (1,116), and Wyre and Lancaster each have more than a thousand oil households.

The higher band

The Boiler Upgrade Scheme normally pays £7,500 towards an air source or ground source heat pump. From 21 July 2026 to 31 March 2027, homes heated by oil or LPG with no mains gas can get £9,000. The conditions, as Ofgem's guidance sets them out:

  1. The home is heated by oil or LPG at the time of the application.
  2. It is off the gas grid: not fuelled by mains gas, with no record of an existing gas meter point, not attached to a heat network and not a new build.
  3. A capped or clamped gas meter counts as mains gas, so a home with one does not qualify for the higher band.
  4. The installer's application is properly made by 31 March 2027.
  5. The normal scheme rules apply: the applicant owns the property, it is not social housing, and the installer is MCS certified and belongs to a consumer code.

As published at the time of checking, applications after 31 March 2027 return to the standard band. Because the date that counts is the installer's application, not the fitting, planning early matters if the higher band is the reason to go ahead.

Air source or ground source

Most oil and LPG homes in Lancashire are detached or semi-detached houses outside the towns, often with a garden, a yard or land. Air source is the common choice: a unit outside, a cylinder inside and the existing radiators kept or enlarged. Ground source takes heat from pipes buried in trenches or a borehole, costs more to install, but draws on a steadier temperature through a Lancashire winter. It is permitted development under Class C within a home's grounds, subject to the usual checks for listed buildings.

Detached houses can have up to two air source units under Class G, which helps where a large old farmhouse needs more heat than one unit can supply.

Practical points for the swap

  • The tank: an oil tank is usually emptied, made safe and removed, or decommissioned in place. Check whether the quote covers it.
  • LPG contracts: many LPG tanks are rented from the supplier with a notice period. Read the contract before setting a date.
  • The cylinder: many oil systems already have a hot water cylinder, though it may need replacing with one designed for a heat pump.
  • Radiators: older farmhouses with thick walls lose heat fast; the room-by-room heat-loss survey decides which radiators need enlarging.
  • Electricity supply: a rural home at the end of a long line can have a weaker supply; the installer checks it and notifies the network operator.

Running costs

The running-cost comparison depends on oil or LPG prices, electricity tariffs and how well the heat pump is designed and set up. A well-designed heat pump delivers several units of heat for each unit of electricity, but oil and LPG are priced differently, so the comparison is not the same for each fuel. Ask the installer for an estimate based on your own fuel bills and the design's expected efficiency, not on a national average.

Where it matters most

Over half of the oil and LPG households counted here are in four councils: Ribble Valley, West Lancashire, Wyre and Lancaster. In those councils the higher band is the main reason to look before it ends; in the rest, oil and LPG homes are scattered and easy to overlook. If yours is one of them, the district finder shows your council's figures and Warm Homes route.

Questions from Lancashire homes

Does my oil-heated house get the higher grant?

If it has no mains gas connection and the installer's application is properly made by 31 March 2027, the higher band of £9,000 applies. A capped or clamped gas meter counts as mains gas.

What happens to the oil tank?

It is usually emptied, made safe and removed, or decommissioned in place. Ask the installer whether this is in the quote, and who deals with any oil left in it.

My LPG tank is rented. Does that matter?

It can. Many LPG tanks belong to the supplier under a contract with a notice period, so check the terms before you set a date for the change.

Sources

  1. ONS Census 2021, TS046 central heating
  2. DESNZ, off-gas estimates
  3. Ofgem, Boiler Upgrade Scheme: property owners
  4. GOV.UK, Boiler Upgrade Scheme eligibility

Read on 3 November 2026. If a source now says something different, the source is right.

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