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How much can I save with solar panels?
Typical benefit per year£410 to £675
A typical home solar system is worth around £410 to £470 a year on an east-facing or partly shaded roof, rising to around £605 to £675 a year on an ideal south-facing roof with no shading. Those figures combine electricity bill savings and Smart Export Guarantee payments, at June 2025 prices.
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Get quotesCommon questions about photovoltaic panels
Answers to the most common questions.
How much do photovoltaic panels cost to install in the UK?
A typical domestic photovoltaic panel system costs between £5,000 and £10,000 installed, depending on system size, roof type, inverter choice and location. That range does not include optional battery storage, which adds to the upfront cost. Installation currently attracts 0% VAT, zero-rated until 31 March 2027, which reduces the effective cost compared with a standard-rated purchase. Getting quotes from several MCS-certified installers is the most reliable way to understand what a system sized to your roof and consumption will cost.
What is the typical payback period for photovoltaic panels?
According to the Energy Saving Trust, the typical payback period is 9 to 12 years on an ideal south-facing roof, and longer for east-facing or shaded roofs. Payback depends on system size, the household's self-consumption share, the SEG tariff rate, and electricity import prices. Quotes that state their assumptions clearly let you model payback against your own situation rather than relying on a headline figure.
Do I need planning permission for photovoltaic panels?
Most domestic rooftop installations fall within permitted development rights and do not need a formal planning application, provided the panels do not project more than 200mm from the roof surface and the system does not exceed certain output limits. Listed buildings and properties in conservation areas face tighter restrictions; in those cases the local planning authority must be consulted before installation begins. Ground-mounted systems almost always require permission. Your installer should confirm the position for your specific property.
How does the Smart Export Guarantee work?
The Smart Export Guarantee requires electricity suppliers with at least 150,000 domestic customers to offer a tariff for surplus electricity your panels export to the grid. The rate is supplier-set and must always be above zero, but it varies significantly between suppliers. To register, your installation must hold an MCS certificate or equivalent. Because rates differ, comparing SEG tariffs from eligible suppliers after your system is commissioned can meaningfully affect your annual return over the life of the panels.
Is there a grant available for photovoltaic panels in 2025?
There is no universal government grant for domestic photovoltaic panels in Great Britain. The main financial support available is the 0% VAT rate on installation, zero-rated until 31 March 2027, and the Smart Export Guarantee export payments. Some local authorities and social housing programmes run targeted schemes for eligible households. When you receive quotes, ask each installer to confirm which schemes or tariffs you qualify for based on your property and circumstances, and check the current position with your local council if you have reason to believe a local scheme may apply.
What warranties should I expect on a photovoltaic panel system?
Panels typically carry a product warranty of 20 to 25 years, while inverters are usually covered for around 5 to 15 years. These cover the components themselves. A separate workmanship guarantee covers the quality of the installation; the length and scope vary by installer, so ask for it in writing before signing. Panel warranties often include a performance guarantee stating that output will not fall below a defined percentage of the rated kWp figure over time: check that the specific panels quoted carry such a clause.
A typical domestic photovoltaic panel system costs between £5,000 and £10,000 installed, yet two homes on the same street can receive quotes hundreds of pounds apart. The reason is almost always roof orientation, shading and how much of the generated electricity the household actually uses during the day.
This page helps you understand what drives those differences, what a serious quote should include, and how to weigh the offers you receive. Fill out one short form and MCS-certified installers will get in touch with figures tailored to your home.
In short
- Pay 0% VAT on installation, zero-rated until 31 March 2027
- Expect a typical payback of 9 to 12 years on an ideal south-facing roof, longer if shaded or east-facing
- Earn export payments through the Smart Export Guarantee once your system carries MCS certification
Which type of photovoltaic system fits your home?
Below is a comparison of what each type is like.
Standard rooftop array
Panels mounted flush to an existing pitched roof, drawing on the roof's angle and orientation to maximise yield: the most common choice for UK homes with a sound south- or southwest-facing roof and no significant shading.
Pros
- Lower upfront cost than ground-mounted
- No planning permission in most cases if below permitted-development limits
- Clean, unobtrusive look on a typical semi or detached house
Cons
- Output is fixed by the existing roof angle; you cannot optimise tilt independently
- If the roof needs replacing within 5 years, it is worth doing so before panels go on
- Annual benefit depends heavily on orientation: ideal south-facing versus east-facing or shaded roofs differ meaningfully
Rooftop array with battery storage
Adds a home battery to a standard rooftop system so surplus generation during the day is stored and used in the evening, reducing the amount exported at lower SEG tariff rates and increasing the share of solar electricity used directly.
Pros
- Raises the share of generated power used by the household, which is the most valuable kilowatt-hour
- Reduces reliance on grid electricity at peak-rate evening hours
- Keeps the Smart Export Guarantee as a safety valve for any remaining surplus
Cons
- Battery adds a significant upfront cost on top of the panel system
- Payback period extends compared with panels alone, depending on usage patterns
- Battery warranties and cycle lives vary widely: check what the manufacturer guarantees in writing
Ground-mounted system
Panels mounted on a frame in a garden or paddock, independent of the roof structure: chosen when the roof is too small, shaded or facing the wrong way to justify a rooftop installation.
Pros
- Tilt and orientation can be set to the optimum angle regardless of roof
- Easier to clean and maintain than a rooftop array
- Practical solution for properties with large open land
Cons
- Almost always requires planning permission, particularly in conservation areas or on listed buildings
- Uses garden space that has competing uses
- Cable run to the property adds installation complexity and cost
Building-integrated PV (BIPV)
Photovoltaic material replaces part of the building fabric itself, typically roof tiles or façade cladding, rather than sitting on top of it: suited to new builds, full re-roofs or heritage properties where a conventional panel array would be refused.
Pros
- Visually indistinguishable from conventional roofing materials in many products
- Can satisfy planning and listed-building requirements that rule out standard panels
- Combines weatherproofing and generation in one product
Cons
- Higher cost per installed kilowatt-peak than conventional panels
- Fewer certified installers carry experience with BIPV products
- Efficiency per square metre is generally lower than a standard monocrystalline panel
How to choose the right installer
- Check MCS certification first: the Smart Export Guarantee and most finance arrangements require an MCS-certified installation, so this is a non-negotiable threshold, not a nice-to-have. An installer who cannot show current MCS certification cannot deliver a compliant system.
- Separate product warranty from workmanship warranty: panels typically carry a 20 to 25 year product warranty and inverters around 5 to 15 years, but those cover the components only. A workmanship guarantee covers the installation itself; ask each installer what that period is and what it includes, and get the answer in writing.
- Weigh the quote's detail, not just the headline price: a credible quote names the panel model and its output rating, the inverter make, the estimated annual yield in kilowatt-hours based on your roof's orientation and pitch, and the SEG tariff the projections assume. A quote that offers only a price and a system size leaves the assumptions hidden.
- Ask how local experience translates to your property: an installer who works regularly in your area understands local planning rules, typical roof construction and which DNO connection requirements apply. This matters most if your property sits in a conservation area, has non-standard roof construction or may need a grid connection upgrade.
Why request your quotes here
Fill out one short form about your home and energy use, and a range of MCS-certified, locally active installers will get in touch with quotes sized to your roof and consumption profile. You compare the offers you receive at your own pace, free and with no obligation to proceed.
Each installer is checked against MCS certification before they can contact you, so the quotes you receive arrive with the credentials the Smart Export Guarantee requires already in place. Costs, warranties and system specifications are laid out in each offer so you can weigh them on the same terms.
Start your comparison now: fill in the form and let qualified installers bring their figures to you.
What determines the cost of photovoltaic panels
System size and number of panels
A larger array produces more electricity but costs more upfront. The right size depends on your annual consumption, how much roof space you have, and what share of your electricity you realistically use during daylight hours. Oversizing a system beyond what your roof and habits can absorb adds cost without proportionate benefit.
Roof type, condition and pitch
A sound, south-facing pitched roof at 30 to 40 degrees is the straightforward case installers price keenly. Flat roofs need mounting frames to angle the panels correctly, older tile types may require specialist fixings, and a roof that is nearing the end of its life should be replaced before panels are fitted, adding cost to the project.
Inverter choice and battery option
The inverter converts DC output from the panels into usable AC electricity. String inverters are lower cost; microinverters or power optimisers cost more but suit roofs with partial shading or mixed orientations. Adding battery storage raises the installed cost substantially and extends the payback period, though it raises the share of solar electricity used directly.
Location and DNO connection requirements
Installers in different regions price labour differently, and the local distribution network operator may require a G98 or G99 notification or approval before the system can export to the grid. Properties that need a new or upgraded consumer unit, or whose grid connection needs strengthening, face higher overall costs.
VAT and timing
Residential solar installation currently carries 0% VAT, zero-rated until 31 March 2027, on a system that would otherwise attract tax on a typical £5,000 to £10,000 installed cost. Locking in an installation date before that deadline preserves the saving; check with your installer what the rate applicable at the time of supply will be.
Typical cost and return figures
Item | Value |
|---|---|
Typical payback period | 9–12 years (ideal roof; longer if east-facing or shaded) |
Typical panel/product warranty | panels typically 20–25 years; inverters ~5–15 years |
VAT on residential solar installation | 0% (zero-rated to 31 Mar 2027) |
Typical installed system cost (domestic) | £5,000–£10,000 |
Annual benefit incl. Smart Export Guarantee (up to) | £605–£675 a year with an ideal south-facing roof; £410–£470 east-facing or shaded (bill savings plus SEG export payments, June 2025 prices) |
Facts verified as of 2026-06-30.
How a photovoltaic panel installation works
Once you have chosen your installer and agreed a quote, the project moves through a sequence of defined stages.
The installer submits a G98 or G99 notification to your distribution network operator before work begins; most small domestic systems qualify under G98, which is a notification rather than an approval. If your property needs planning permission, that application goes in at this stage, and the installation cannot proceed until consent is granted.
On installation day, the team fixes the mounting rails to the roof, attaches the panels, runs DC cabling to the inverter, and connects the inverter to your consumer unit. A competent-person certificate and an MCS installation certificate are issued on completion; you will need both documents to register for a Smart Export Guarantee tariff with an eligible supplier. From contract signing to a working system, most domestic installations take one to three days on site once permissions are in place, though the full timeline from agreement to commissioning varies by installer workload and DNO queue.
Five checks before you sign
- Confirm the installer holds a current MCS certificate. Check that it covers the exact type of installation quoted.
- Ask for a written workmanship guarantee. This should be separate from the panel and inverter product warranties.
- Check whether your property needs planning consent. Listed buildings and conservation areas often do.
- Verify the quote states the assumed SEG tariff, roof direction and any shading behind projected figures.
- Confirm the VAT rate for your supply date. The zero rate runs to 31 March 2027.
Mistakes that cost UK solar buyers
- Choosing on headline price aloneA quote with no panel model, no inverter specification and no stated yield assumptions is not a price: it is a number with the risk hidden inside it. Two quotes at different prices may cover entirely different products, warranties and output projections. Read each quote's detail before comparing the totals.
- Ignoring the SEG tariff differenceThe Smart Export Guarantee rate is set by each eligible supplier and varies widely between them. Accepting the default tariff from your existing energy supplier without shopping around can leave meaningful export income on the table over the life of the system. Comparing SEG rates from different suppliers after installation is straightforward and free.
- Overlooking roof condition and agePanels are typically warranted for 20 to 25 years. If your roof tiles are already 15 or 20 years old, lifting and refitting the array when the roof eventually needs replacing adds labour cost that can materially affect the overall return. A surveyor or your installer should assess roof condition before you commit.
- Underestimating the role of self-consumptionThe financial case for photovoltaic panels is strongest when the household uses a large share of the generated electricity directly, displacing grid electricity at the import price. A household that is out all day and exports most of its generation earns the SEG export rate on that surplus, which is lower than the import price it avoids when power is used on site. Battery storage or time-shifting consumption to daylight hours raises the self-consumption share and strengthens the return.
Key terms for photovoltaic panels
- kWp (kilowatt-peak)
- The rated output of a panel or system under Standard Test Conditions: full, direct midday sun, no cloud, and a panel at 25°C. Real-world output in the UK is lower for most of the year. kWp is a spec for comparison, not a forecast of what your panels will produce.
- Inverter
- The device that turns the direct current from photovoltaic panels into the alternating current your appliances and the grid use. Its efficiency and lifespan affect running costs and the cost of future replacement. Inverters typically carry a warranty of around 5 to 15 years, which is shorter than the panels themselves.
- MCS (Microgeneration Certification Scheme)
- The UK quality standard for small-scale renewable energy installs. An MCS certificate is needed to register for the Smart Export Guarantee and to access most finance schemes. It is also required to meet building rules for home generation. Without it, the install is not valid for export payments.
- Smart Export Guarantee (SEG)
- A scheme that requires electricity suppliers with at least 150,000 home customers to offer a tariff for surplus power sent to the grid. Each supplier sets its own rate; that rate must be above zero. SEG is a payment per unit exported, not a grant or subsidy. Rates vary by supplier, so it pays to check them.
- Self-consumption
- The share of a system's output used inside the home rather than sent to the grid. The price you avoid paying on imports is higher than the SEG rate you earn on exports. Raising self-consumption is therefore a direct way to improve the return from photovoltaic panels.
Prices and rates reviewed 30 June 2026
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