Through the ECO4 scheme, UK households may qualify for solar panel grants that cover the full cost of installation.
Currently, there is 0% VAT on solar panels, batteries, and renewable energy products, giving households a discount of up to £2,850 on a 4kW solar system.
Through the Smart Export Guarantee (SEG), you could earn £80 to £170 per year by selling excess energy back to the National Grid.
The Warm Homes Plan (from April 2025) will provide further funding for new solar installations for social housing tenants, lower-income households, and renters across the UK.
Solar energy is renewable, sustainable, and helps households become more energy independent. Installing solar panels in the UK allows you to lower energy bills, safeguard against rising costs, and enhance your home’s EPC rating.
Save up to £2,850 with the 0% VAT incentive on eligible solar systems and energy-saving materials – available until March 2027.
0% VAT applies to solar panels, batteries, and certain renewable energy products.
Based on the average cost of a 4kW solar PV system and battery, you could save thousands.
Any UK homeowner who purchases qualifying energy-saving materials and equipment is eligible for this reduced VAT rate.
To qualify for the 0% VAT rate on solar panels in the UK, both your property and the installation must meet specific eligibility requirements:
The installation and product must be carried out together as part of one project.
Additional improvements such as insulation may also be included, but the main focus of the work must be on energy-saving materials like solar panels.
Check Your Eligibility To Avail These Grants
Free solar panel grants are available across the UK under the ECO4 scheme, which runs from April 2022 to March 2026. With £4 billion funding, the scheme supports low-income and fuel-poor households. Eligible applicants can receive £7,000 to £20,000+ in funding, covering up to 100% of solar installation costs.
To qualify, you must meet requirements based on:
Household income
Government benefits received
Your property’s EPC rating (typically D–G homes)
The Warm Homes Plan (from 2025) will provide additional financial support for energy-efficient upgrades to renters, social housing residents, and low-income households.
With the Smart Export Guarantee (SEG), UK households can earn income by exporting surplus solar energy back to the National Grid.
To qualify, your renewable system (e.g., solar PV, wind, hydro, or micro-CHP) must meet SEG standards.
Your setup must include a smart meter capable of recording exported electricity.
Only licensed SEG energy suppliers (SEG Licensees) can make payments.
If your system meets the criteria, you could earn £80–£170 annually by exporting unused electricity back to the National Grid, in addition to your bill savings.
Solar PV panels generate renewable electricity in four key stages
Solar panels absorb sunlight using silicon photovoltaic (PV) cells.
The absorbed light creates an electric field, producing direct current (DC).
An inverter converts the DC electricity into alternating current (AC), which powers your home appliances.
Any unused electricity is exported back to the National Grid through the Smart Export Guarantee.
Depending on the scheme, you may qualify for fully or partially funded solar panels in the UK. Under the ECO4 grant, eligible households can benefit from free solar panel installation or pay only a reduced contribution. In Scotland, we provide grants of up to £10,000, helping cover the cost of a standard 4kW solar PV system.
With the right solar setup, households could generate an annual return of £730 to £1,110, depending on energy usage and system size.
You may qualify for the Eco Boiler Scheme if you receive one of these UK benefits
20 Nov 2021
Excellent service from start to finish. The team was professional and the new boiler works perfectly. Highly recommended for anyone looking for quality installation.
18 Nov 2021
Great experience with the team. They explained everything clearly and completed the work efficiently. Very satisfied with the results and would use again.
12 Nov 2021
The installation was quick and hassle-free. My home feels warmer and my energy bills have already started to drop. Thank you for the fantastic service!
05 Nov 2021
I was unsure about applying for the ECO4 scheme, but the team guided me through every step. The new boiler is brilliant and the process was smooth.
28 Oct 2021
Very professional and friendly staff. The free boiler grant made a real difference for my family. Highly recommend this service to others.
Check Your Eligibility To Avail These Grants