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Why get solar panels?

  • Generate free, green electricity
  • Reduce your electricity bill by up to 64%
  • Get paid for what you don't use

How to get UK government grants and funding for solar panels in 2024

  • Solar panels can reduce your monthly electricity bills by up to 70%
  • Government grants include ECO4 and the Home Upgrade Grant
  • Solar Together and the Smart Export Guarantee can reduce your costs
  • Four companies let you pay for solar panels in instalments

Depending on the size of your house and type of panel you want, solar panels cost between £4,216 and £9,837. This is a big investment for homeowners, especially during a cost-of-living crisis. 

Although inflation is slowly declining, consumers are continuing to struggle. This is where solar panels might be a good option, as they can help reduce your monthly energy bill – and if you think you can’t afford them, there is help is available.

Solar panels can reduce your annual electricity bill by 70% and for the average three-bedroom house, solar panels will pay for themselves in 14.6 years. From year 15, they can actually start to earn you money for the remaining 10 to 15-years of their 25 to 30-year lifespan. 

If you want to benefit from solar panels, but can’t pay thousands of pounds upfront for them, there are options available to you. Solar panel grants, financing schemes, loans, and discounts are available that could help you make a green investment in your home. 

We’ve highlighted what these schemes are in more detail below, as well as eligibility and how to apply for them, so you can get solar panels for less. 

Solar panel funding and discounts

The Energy Company Obligation scheme (ECO4), Home Upgrade Grant and Smart Export Guarantee are just a few of the grants, funding and discount schemes available to help you install solar panels. Others include Solar Together and you’ll see from the table below that solar panel buyers also receive a VAT discount, which they get automatically. 

Use the table below to find out potential savings, the average cost of a solar panel and your typical percentage savings on your electricity bills.

0 out of 0
Grant/discount
How much can you save/earn?
Who can apply?
Typical % saving
Average cost of solar panels after saving

ECO4

Home Upgrade Grant

Smart Export Guarantee

Solar Together

VAT discount

Up to 100% of the cost

Up to £10,000

£160 per year

£2,555 on average

£393

Energy-inefficient households on certain benefits

Low-income, off-gas grid homes with EPC rating of D, E, F, or G

Small renewable generators

Homeowners and tenants (with permission) in an active scheme area

Solar panel buyers get it automatically

Up to 100%

97%-100%

21% of your electricity bills

30-35%

5%

£0

£0-£200

N/A

£5,305

£7,860

What government grants and schemes are available for solar panels in the UK?

There are currently three government grants available to help you buy domestic solar panels

  • ECO4: Funding for energy-efficient retrofits to fuel-poor households, or ones with occupants on certain benefits. 
  • ECO Flex: Part of the ECO4 scheme, ECO Flex extends eligibility criteria to households referred to the scheme by their local authorities or energy supplier
  • The Home Upgrade Grant: Households not connected to the gas grid in 45 select local authorities can receive up to £10,000 in funding for solar panels

However, there are two other initiatives worth mentioning, too:

  • Solar Together: A group-buying initiative that allows communities to buy solar panels for their homes at a competitive price
  • VAT Exemption: Homeowners will pay 0% VAT on solar panels and other energy-saving materials until at least April 2027, compared to 5-20% previously 

Each grant has different eligibility criteria, as well as the benefits they provide and applying for them isn’t always straightforward. Find out more below. 

The ECO4 scheme

ECO4 is the fourth iteration of the government’s Energy Company Obligation scheme in Great Britain and aims to help tackle fuel poverty and reduce carbon emissions. The scheme requires medium and large gas and electricity suppliers – including British Gas, EDF Energy, Ovo, Scottish Power and SSE – to help households with energy efficiency measures, which includes solar panels. 

The Ofgem-administered scheme also covers insulation, boiler repairs and heat pump installation

There is no set amount to how much funding you can receive with ECO4, since it’s dependent on your home’s needs. The level of funding, as well as the retrofit projects and installers are all dependent on your energy company. The level of funding will depend on the measures type and a number of other factors. 

However, any obligated supplier can deliver measures to any domestic premises in England, Scotland and Wales, provided the eligibility criteria are met. 

The scheme will run until 31 March, 2026. 

Eligibility requirements for solar panels

According to Ofgem, you might be eligible to get solar panels with the ECO4 scheme if:

  • Your home has a low EPC rating. For all rented properties, a rating of ‘E’ or above is required to all existing tenancies following an update to the Minimum Energy Efficiency Standards in 2020. 
  • AND your home has an existing electric heating systems 
  • You are living at private domestic premises and are a member of the Help to Heat Group (HTHG). If you do not own your own home, you must have the permission of your landlord, including if your property is owned by a social housing provider or management company

Ofgem reports that membership of the HTHG entails receipt of at least one of the following benefits and satisfaction of the relevant income requirements:

  • Income based Jobseekers Allowance (JSA)
  • Income related Employment and Support Allowance (ESA)
  • Income Support (IS)
  • Pension Credit Guarantee Credit (PCGC)
  • Working Tax Credit and Child Tax Credit. It’s worth noting that these tax credits are only available if you are currently in receipt of these, otherwise these have now been replaced by Universal Credit
  • Universal Credit
  • Housing Benefit
  • Pension Credit Savings Credit (PCSC)

Remember, getting solar panels with ECO4 isn’t a guarantee. Your chosen energy provider might decide that installing a biomass boiler, or connecting you to a District Heating Network is a better option.

Potential savings with ECO4

ECO4 can save you up to 100% of the cost of solar panels, as long as they power an electric heating system. 

This means that an average three-bedroom house could save £7,860, which is the average cost of solar panels for a house that size in 2024. 

Furthermore, based on the April 2024 electricity cost of 24.5 pence per kWh, you could save an additional £482.76 on your electricity bills, once the panels are installed.

How to apply for ECO4

To apply for ECO4, there are a few avenues you’re able to take – and they are all quick and straightforward. Firstly, you can reach out to your energy supplier if they are considered to be an obligated supplier. 

The full list of obligated suppliers include: 

Alternatively, you can also apply through the Gov UK website

Most companies will have an online application to confirm your eligibility (see above) and once you have done this, you’ll receive an email containing a unique reference number and a document. You will be asked for your permission to contact the Department of Work and Pensions to confirm your benefits. 

Within a week, you should be contacted to arrange a free survey. This survey will ask you to carry out a 10-15 minute inspection of your home’s energy efficiency measures and is designed to be minimally intrusive. 

Once completed, your application should be approved and movement on your solar panels can move forward. Solar panel installation can take up to eight weeks.  

Like most schemes, there are pros and cons to utilising it. However, we’ve highlighted these below, to ensure there’s no issues should you choose to apply. 

Pros

  • Easy to apply for online
  • Most suppliers offer the scheme
  • You aren’t limited to just your supplier, you can choose any of the obligated supplier listed above
  • There’s no upfront cost for the homeowner to pay
  • It’s rare for customers to be asked to make any contribution
  • It allows lower-income consumers to install greener tech in their homes

Cons

  • The amount of receive is dependent on your property
  • Not everyone is eligible
  • You aren’t guaranteed solar panels. It’s down to the discretion of the energy company
  • The level of funding and installers are all dependent on your energy company

The ECO4 Flex scheme

If you don’t meet the criteria for the ECO4 scheme, you could still be eligible to receive funding from it via the Local Authority and Supplier Flex (ECO4 Flex) mechanism. 

According to Ofgem, ECO4 Flex enables local authorities to widen the eligibility criteria, allowing them to tailor energy efficiency schemes to their respective area. 

The Ofgem website states: “The flexible approach to identifying eligible households exists to target low-income households who are unlikely to be in receipt of the scheme’s standard approach to fulfilling eligibility.” 

Under the scheme, participating local authorities can refer private tenure households it believes to be living in fuel-poor households, on a low income or vulnerable to the effects of living in a cold home. It’s worth noting that while ECO4 Flex is optional, suppliers can deliver up to 50% of their ECO obligation under this mechanism.

ECO4 Flex eligibility requirements for solar panels

To get a referral from your local authority of devolved government, you must live in an energy inefficient property, but also: 

  • Have a combined gross annual income of £31,000 or below
  • Or a person in your household has a health condition that makes them vulnerable to the cold. Some examples include a cardiovascular condition, a respiratory disease, limited mobility, or immunosuppression. 

To get a referral from your energy supplier, you must live in an energy inefficient house and fall into one of these key criteria: 

  • Be on a non-pre-payment meter and have been in fuel debt for more than 13 weeks 
  • Be on a pre-payment meter and have self-disconnected
  • Have received supplier discretionary/friendly credit within the past 13 weeks 
  • Be in a debt repayment plan with your energy supplier
  • Or be repaying your fuel debt through third party deductions 

A report by Ofgem also stated that Citizens Advice or Citizens Advice Scotland can refer households for the ECO4 Flex mechanism. 

“To do this, they must produce and sign a letter to the local authority confirming that the household identified is struggling to pay its energy bills, as stated under article 18(2)(f) of the ECO Order.” 

Similar to ECO4, a referral to the ECO4 Flex scheme does not guarantee that measures will be installed. When a household is referred to the scheme, the third party is stated they may be eligible to receive measures. The decision on which measures are installed rests with suppliers. 

This scheme works through referrals only if you aren’t eligible for ECO4. To apply, it’s important to reach out to either your GP if you feel you are vulnerable to the cold, where they will be able to use a NHS-specific template to refer you. Alternatively, contact Citizens Advice or your local authority directly. 

They will speak with you through the process, but it is similar to ECO4. All parties will need evidence or be in receipt of eligibility.

Pros

  • It allows more homes to improve their energy efficiency
  • No upfront payments for consumers
  • Help low income families come out of debt by reducing overall bills

Cons

  • You can only be referred to it by certain industries
  • You aren’t guaranteed funding to install green tech
  • The discretion lies with the supplier
  • Not everyone will be eligible for the scheme, even if they are referred

Where do you want to install solar panels?

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The Home Upgrade Grant

The Home Upgrade Grant offers homeowners and landlords up to £10,000 in funding to energy inefficient households located in 45 select local authorities across England. To find out if your local authority is offering the grant, all you will need is your postcode. 

The grant opened in April 2023 and will run until March 2025. It can be used to fund home improvements, such as insulation, heat pumps, double glazing, solar thermal, and solar PV panels. 

As of February 2024, 28% of the grants handed out have been for solar panels, so applying for the grant is worth a shot if you’re eligible. We highlight this below.

Home Upgrade Grant eligibility requirements for solar panels

To be eligible for the Home Upgrade Grant, you must:

  • Own and live in a property that’s in one of the 45 local authorities offering the grant 
  • And not use a gas boiler as a heating system
  • And have an EPC rating of D,E,F or G 

In most cases, you also need to have a household income of £31,000 a year or less, but some local authorities accept applicants earning more. If you’re unsure, remember to ask as your local authority will be best to guide you before you start the application process.

Potential savings with the Home Upgrade Grant

Local authorities have covered an average of 97% of the upfront costs associated with solar panels, as of February 2024. In some cases, local authorities have covered 100% of the upfront costs. 

For the typical three-bedroom house – where local authorities have covered 97% of the upfront costs – this adds up to a saving of £7,000 on a £7,200 installation. This is also before you calculate the savings you’ll make on your annual energy bill – which equates to £482, according to our calculations. 

If a local authority offers to cover 97% of the upfront costs, this means you would only need to pay £200, if you own a typical three-bedroom house.

How to apply for the Home Upgrade Grant

If you aren’t sure whether your local authority offers the Home Upgrade Grant, you can search using your postcode.

Once you’ve determined if they offer the Grant, reach out to them to start the process. All their contact information will be on the government website. 

Alternatively, you can use the government’s eligibility and application tool, to help speed through the process. 

The process asks whether you have a gas boiler and other questions include: Country of residence, property ownership, EPC rating confirmation and household income.

Pros

  • Allows those on lower income to benefit from solar panels
  • Most local authorities have covered 97%-100% of the upfront costs
  • Grants of £10,000 are available
  • It’s available across 45 different local authorities

Cons

  • It’s only available to those earning £31,000 or less
  • It is only available to those who don’t have a gas boiler installed

The Smart Export Guarantee (SEG)

The Smart Export Guarantee (SEG) is a government-backed scheme and was launched in 2020. It enables homeowners to receive payments from energy suppliers for any unused solar-generated electricity they export back to the grid. This includes solar panels, wind turbines and other low-carbon technology.

The SEG is not technically a grant, but it’s worth including it in this guide, as the guarantee can help increase the savings you make from solar panels. It also reduces the time it takes to breakeven, so rather than waiting 14 years, it could be significantly less. 

Energy suppliers who are registered as an SEG Licensee determine the rate, contract length and other terms, which SEG homeowners receive. The tariff rates must always be above zero and payments are calculated by using export meter readings. 

For example, Octopus Energy enables homeowners to earn a flat rate of 4.1p per kilowatt hour (kWh) for every unit of power exported. However, its Intelligent Octopus Flux scheme can see rates of up to 29.3 per kWh. So, it’s worth contacting energy suppliers directly to find the best tariff for you.  

Meanwhile, British Gas offers a rate of 6.4p per kWh, which is available to anyone who’s eligible. For existing customers of British Gas, homeowners can earn 15p per kWh. 

As you can see, the rates vary from supplier to supplier so it’s worth doing some research and shopping around. Each energy supplier also has their own application process. 

The savings – as you can see from the table below – will also vary depending on a variety of factors. This includes how often you’re home, whether you’re in all day or after 6pm. The table below gives a rough idea on the savings you could make with the SEG in London, other locations may vary.

Graph showing the annual savings with solar panels with and without the smart export guarantee in London. The graph shows that you'll save more with the smart export guarantee than without.

SEG eligibility requirements

The scheme is open to anyone with an installation of one of the following technology types up to a capacity of 5MW, or up to 50kW for micro-CHP.

These types are: 

  • Solar photovoltaic (solar PV)
  • Wind
  • Micro combined heat and power (micro-CHP)
  • Hydro
  • Anaerobic digestion (AD)

These installations must be located in Great Britain and you must have a Microgeneration Certification Scheme (MCS) certificate, or equivalent document. This will be provided by your installer once you are up and running. 

You must also have an export meter, which is a meter that’s capable of measuring your exported electricity. 

Good news if you have a smart meter, as that automatically qualifies you. If you’re unsure whether you have an export meter or want to install a smart meter, check with your SEG supplier. Once a smart meter has been installed, you can start to make savings under the SEG. 

Potential savings with the SEG

As a rough guide, with an average household consumption of 3,000kWh, at a tariff of 5.5p per kWh, a household generator could earn £160 each year. 

Realistically, however, the average household will actually use about half of the electricity being generated, so savings will be approximately £80 per year. 

But over the course of a solar panels’ lifespan, this adds up to between £2,000-£5,000 – just from the SEG. 

If you want to utilise the higher savings, you’ll need to use all the electricity that your panels generate. To achieve this, instead of exporting the electricity, you should consider getting a solar battery. Installing one enables you to store excess electricity your panels produce during the day and use it at night.

How to apply for the SEG

To apply for the SEG, contact your chosen energy supplier, as each one has their own application process. 

If you want to join Octopus Energy, for example, you can sign up online and the process takes two days to finalise. This is because Octopus Energy applies to the DNO for an export MPAN, which is a unique number for the electricity meter in your property. 

The creation of the MPAN takes approximately one-to-four weeks, which is the longest part of the application process. After this, your export MPAN number is enrolled onto your account and you will receive an email for your first meter reading. 

You’ll need to submit a photo to confirm it is the correct reading. Your account is then checked to ensure that any crediting has been successful. 

It’s worth adding that you don’t have to get your SEG tariff from the same company that you buy your electricity from, but some suppliers offer higher SEG rates to their own customers. If that’s the case, you can switch energy suppliers to get the best SEG rate.

Pros

  • Receive payments for any unused electricity
  • It’s possible, in some cases, to get a better rate if you take an SEG tariff with your existing supplier
  • It’s a simple application process where your supplier will do most of the work
  • It’s open to everyone

Cons

  • It can be a long application process
  • You need to submit a photo with your reading
  • You might get lower rates if you use a different supplier than your main supplier

Solar Together

Solar Together is a group-buying initiative that allows communities to buy solar panels for their homes at a competitive price. You can also choose to fit a domestic battery system to store surplus electricity generated by the solar panels and use it when it’s needed. 

The initiative is owned by iChoosr, which has been running collective schemes for energy-switching and solar panels for more than a decade. 

Once enough people in a participating council have signed up, solar installers are allowed to enter an auction for the right to do the job, with the lowest bid winning. 

You will fully own your new solar panel system and it would have cost less than it would if you purchases solar panels on your own. 

Like most of the grants and initiatives available, there’s a set list of installers working with the Solar Together initiative. These include:

 

  • Project Solar 
  • CRC Electrical and Renewables Ltd
  • Everyone’s Energy UK Limited
  • The Eco Roof and Wall Company 
  • 0800 Repair
  • Solar Fast
  • Warma UK
  • Greener Energy Group

Within this, Everyone’s Energy told The Eco Experts that 80% of their customers came from Solar Together.

Solar Together eligibility requirements

To join a Solar Together scheme, you must be in receipt of the following:

 

  • Live in a council that’s participating in a Solar Together scheme. You can find out which local authority is part of the scheme through the Solar Together website
  • Own your own house or workplace, have your landlord’s permission, or be part of a commonhold association. Small and medium-sized enterprises (non-domestic) are also eligible. 
  • Be able to pay a £150 deposit, should you choose to go ahead with the installation

Potential savings with Solar Together

On average, participants of Solar Together can cut their costs by 30-35% compared to if they installed solar panels themselves. 

This means that for a typical three-bedroom household, there’s savings of around £2,555 to be had on the upfront cost of solar panels. The average three-bedroom household will then pay between £4,471 and £5,000 instead of £7,026 for a solar panel system, so it’s definitely worth floating the idea around with your neighbours.

How to apply for Solar Together

All you need to do is register on the Solar Together website where you will be asked questions about your house, roof and electricity usage. 

If you are registering for battery storage only, you will also be asking about your current solar PV system and electricity usage. 

If you don’t have these, that’s fine. Solar Together can help you estimate industry and local averages if you aren’t sure of the exact figures of your roof size or electricity usage. 

Once you’ve registered and you fulfil the eligibility requirements listed above, you’ll automatically be accepted onto your local scheme. There’s no obligation to go ahead with any solar panel installation. 

The next step is the auction. The winning bid (the lowest bid) sets the price for all solar systems and battery systems. All installers are vetted by Solar Together and have a set compliance criteria before they are accepted, so you can rest assured that you’ll be receiving high-quality solar panels. 

After the auction, you will receive a personalised recommendation, which will include information about the winning installer, a complete system, costs and savings. This recommendation is for consideration, but the Solar Together Helpdesk is on hand to help as well. 

If you want to accept the recommendation, you’ll need to put down a £150 deposit to cover the costs of a roof survey and then pay the cost of your solar panel system. 

If you’re struggling to pick your installer, it’s worth checking out our guide, ‘How to choose a solar panel installer’.

Pros

  • Allows a group of people to bid on solar panels, installing them at a more competitive price
  • Easy application process
  • Wide range of approved installers
  • You aren’t tied into anything straight away

Cons

  • Small deposit needs to be paid
  • Time frame can be longer due to auction dates

0% VAT for solar panels 

Homeowners will pay 0% VAT on solar panels and other energy-saving materials until April 2027, compared to 5-20% previously. Though there are a few exceptions. 

For example, you will need to use the same provider to supply and install solar panels to qualify for 0% VAT. However, if you buy from one supplier and use a different provider to install your solar panels, you will be charged 5% on the cost of installation. 

You’ll also pay 5% VAT on the cost of any repairs or maintenance after your initial solar panel installation. 

For a more in-depth analysis at what the 0% VAT cut means for energy-saving materials, check out our guide: Do you have to pay VAT on solar panels? 

What’s more, as of 1 February, homeowners will also pay 0% VAT on solar batteries. This is a strong move from the government to ensure homeowners are able to save and store as much electricity as possible. 

Prior to February, the 0% VAT only applied to storage batteries installed as part of a solar panel installation, rather than a standalone product. This is no longer the case. 

With this new VAT reduction, you’ll pay 5-20% less on solar batteries, saving you £225 to £900 on average.

Which energy-saving materials does the 0% VAT apply to? 

The 2022 0% VAT initiative to help homeowners invest in eco-friendly improvements are:

 

  • Solar panels
  • Air source heat pumps 
  • Controls for central heating and hot water systems
  • Draught stripping 
  • Ground source heat pumps
  • Insulation
  • Micro combined heat and power units
  • Wood-fuelled boilers

Potential savings with 0% VAT

The 0% VAT rate on solar panels will save the average three-bedroom home between £393, and you don’t need to do anything to secure it. It will just be applied to your purchase. 

Research the right solar panels for you, though, as every home is different. Also, reach out to different suppliers about costs. If you don’t know where to start, simply fill in this form, for a free quote across multiple suppliers.

Solar finance and solar panel loans

In the event that you aren’t eligible for any of the grants, schemes or initiatives, we’ve covered, some suppliers offer finance and loan options. 

A loan or financing is not for everyone, so consider your financing beforehand or speak to a finance expert before applying. If you determine that the savings you’ll receive from installing solar panels are worth the monthly repayments, then it can be a strong way of doing so. 

The key is to look for loans or finance options that offer low interest rates, so you aren’t reducing the amount of savings you’ll make throughout a solar panels lifespan. 

Most banks will offer personal loans to cover home improvements, with many saying they can be used for renewable energy developments. Each bank will have their own approval and eligibility requirements, so work with them to ensure it’s the right move for you. 

The companies that currently offer solar panels on finance are: 

  • E.ON
  • Scottish Power
  • SolarStyle
  • Sunsave

The finance options each company offer require monthly instalments, with interest rates and repayment periods that vary. Prices will also vary depending on the amount of panels required, if your roof is in full sun or partial shade and what type of solar panels you want to have. 

E.ON, for example, offers an interest-free option on a typical six-panel (2.61 kWp) solar system installed for £241.04 per month over 24 months. Scottish Power offers 0% APR over three years, while SolarStyle offers interest-free finance options over 12 months. 

Sunsave also offers a ‘solar subscription’. It’s a monthly subscription that offers 24/7 monitoring and free replacement parts for total piece of mind. 

Of course, affordability will differ per household, but financing solar panels can be a good way of getting the savings that solar panels offer, while spreading the cost.

How to get solar panels for less without a grant or loan

If you can’t afford the total upfront cost of solar panels and would rather not take out a loan, try getting quotes from multiple installers to find the cheapest solar panels.

Solar panel installer, Everyone’s Energy told The Eco Experts that customers should get five quotes from different installers before signing a contract. 

Make sure you also check qualifications and customer reviews before going ahead with an installer. 

Some councils around the UK are also offering to install solar panels onto council houses for a discounted price – but this depends on the amount of funding the borough has. Find out more by checking out our page: Can you put solar panels on your council house?

Expired solar panel grants

Over the past few years, the government and energy suppliers have introduced several different grants, some of which haven’t worked out or have been restructured. These are: 

  • The Feed-in Tariff
  • Green Homes Grant 

But why were they changed or cancelled?

Expired: The Feed-in Tariff

The Feed-in Tariff (FIT) was first introduced and implemented in 2010, but was closed for new applications in 2019. Those who registered for the tariff over the nine years, however, continue to benefit from it. 

According to the Energy Saving Trust, the Feed-in Tariff scheme enables householders to receive payments for the electricity generated by eligible installed systems, like solar PV, wind, hydro turbines, or micro CHP. 

The way it works is energy suppliers, also known as FITs licensees, make FITs payments to homeowners. The way payments worked was through two separate tariffs: 

  • Generation tariff: A rate for each unit (kWh) of electricity generated. This tariff ranged between 6.38p-13.88p per kWh/h depending on the size of the system
  • Export tariff: A rate for each unit (kWh) exported to the electricity grid. Typically you received 4.77p per unit and you will be able to sell half of the total energy produced. 

The specific amount you received on the FITs scheme varied and was based on the size of the system, the type of technology and when it was installed. 

The good news for homeowners is that the scheme still exists. It was just rebranded to become the SEG.

Expired: The Green Homes Grant

The Green Homes Grant expired in March 2021, after just six months in operation. It was a £2bn government initiative that aimed to cover two-thirds of the cost of home improvements aimed at reducing energy bills and carbon emissions, up to £5,000. 

The grant you would have received was based on eligibility factors, but if you received income-based or disability benefits, the government would have paid 100% of your green home improvements, up to £10,000. 

Those who didn’t receive these benefits attained a voucher for two-thirds of the cost, capped at £5,000.

In that case, why was it cancelled? 

The scheme was due to run until March 2022 before it was cancelled, at which point, the government had only issued 39,000 vouches – 6.5% of the original 600,000 target. 

What’s more, 86% of homeowners reported having a very poor experience with the rollout process, according to the Environmental Audit Select Committee. It was also a hard application process whereby homeowners had to do a lot of work to receive the funding. 

They had to source a tradesperson’s quote before even applying for a voucher. In most cases as well, the government’s response was so often delayed that the quote would expire. 

While the scheme was overhauled and the funding distributed to local authorities, its use was expanded. The programme then covered double and triple glazing, energy efficient doors, draught proofing and solar thermal panels.

Key learnings

There are no government grants specifically for solar panels, but are more steered towards improving energy efficiency. All is not lost, though, as some grants can be used to install them as part of energy efficient upgrades. 

There are financing and loan options that make paying solar panels upfront costs more manageable, however, make sure to research if this is a viable option for you. Getting into debt to save some money might not be the best option for you. 

The SEG pays solar panel owners for their excess electricity, increasing savings by £165 per year, on average. And the average home will save up to £537 per year with solar panels. 

Sixty-nine per cent would buy a property with solar panels, up from 65% last year, according to our latest National Home Energy Survey. Finally, 2023 was a record year for residential solar installations.

Next steps

So there you have it, you’re now an expert in all things grants, schemes and initiatives for solar panels and energy efficiency improvements – as well as who’s participating in the schemes and how to apply. 

In most cases, there will be some financial output needed, but savings are available. Plus, the additional savings you’ll make in electricity make it a worthwhile investment. 

All the grants, financing schemes and initiatives we have mentioned are designed to help you manage the upfront costs of solar panels, plus, you’ll break even on them in 14.6 years on average. 

That leaves you with a further 10-15 years of clean energy savings, meaning solar panels more than pay for themselves. As previously mentioned, if you’re interested in getting solar panels – regardless of if you qualify for a grant or not – you can fill in our short quotes form

We’ll pass your details onto our trusted network of solar panel installers, who’ll get back to you with bespoke quotes for you to compare.

Written by:
Tamara Birch, senior writer, The Eco Experts
Tamara has written about environmental topics for more than four years. This includes advising small business owners on cost-effective ways, like solar panels and energy-efficient products to help them become more sustainable. 
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