Solar panel grants in 2026: what can you get?
Fully funded panels are limited to lower-income homes, but every homeowner gets 0% VAT and can be paid for the power they export. Check what applies to you.
Updated October 2026
0% VAT on solar panels and batteries
UK homes pay no VAT on solar panels and batteries installed before 31 March 2027. On a typical system this saves £1,000 to £3,000 compared with the standard rate. It applies automatically; your installer simply doesn't charge VAT.
Warm Homes: Local Grant (England)
This scheme is run by local councils as part of the government's Warm Homes Plan. It can fully fund upgrades including solar panels, insulation and heat pumps for households that meet all of these:
- household income under £36,000, or receiving means-tested benefits
- a home with an EPC rating of D, E, F or G
- you own the home, or rent privately with your landlord's consent
The council assesses your home and decides which measures to install, so you can't apply for solar panels alone. Eligibility varies slightly by council.
Warm Homes Plan loans
The government has said all homeowners will be able to apply for low and zero-interest loans for solar panels and batteries under the Warm Homes Plan. Full details are expected later in 2026, with loans unlikely before 2027.
Smart Export Guarantee (SEG)
Every larger energy supplier must pay you for the electricity you export. Fixed rates are typically up to about 12p per kWh, and some battery-linked tariffs pay much more at peak times. You need an MCS-certified installation and a smart or export meter.
Scotland, Wales and Northern Ireland
- Scotland: Home Energy Scotland offers grants and interest-free loans for home energy upgrades. Check their current terms for solar.
- Wales: the Warm Homes Nest scheme funds upgrades for lower-income households after a home assessment.
- Northern Ireland: no general solar grant at present. 0% VAT on solar panels and batteries applies across the UK.
Watch out for "free solar" offers. Some companies fit panels free in return for your roof or export income for 20 years or more. These deals can make a home harder to sell or remortgage.
Frequently asked questions
Are there government grants for solar panels in 2026?
Yes, for some households. The Warm Homes: Local Grant can fully fund solar panels for lower-income homes in England with an EPC rating of D to G. Everyone else benefits from 0% VAT and can earn export payments through the Smart Export Guarantee.
Can I get free solar panels?
Only through means-tested schemes such as the Warm Homes: Local Grant, run by local councils. Be wary of companies offering free panels in return for your export payments or roof space; read the contract carefully.
What is the Warm Homes Plan?
The Warm Homes Plan is the UK government's programme to upgrade homes in England. It includes grants for lower-income households and is expected to add low and zero-interest loans for solar panels and batteries for all homeowners, likely from 2027.
Does the Boiler Upgrade Scheme cover solar panels?
No. The Boiler Upgrade Scheme only covers heat pumps and biomass boilers. You can still combine a heat pump grant with solar panels you pay for yourself.
What is the Smart Export Guarantee?
The Smart Export Guarantee requires larger energy suppliers to pay you for electricity you export. Rates vary from a few pence to over 15p per kWh. You need an MCS-certified installation and a smart meter.
Not eligible for a grant? Solar still pays
See your savings and payback with 0% VAT and export payments included.