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How much can I save with solar panels?

Yearly value, south-facing roof (our calculation)£523 to £603

On our calculation, a 4 kWp system without a battery is worth around £523 to £603 a year on a south-facing roof and £435 to £495 on an east-facing roof, if you buy your electricity from the supplier that pays you 12p per kWh for exports. At an export rate open to anyone (about 4p), a south-facing roof is worth around £299 to £333. That's bill savings plus Smart Export Guarantee payments, for a household using 2,500 kWh a year at the October to December 2026 price cap.

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Common questions about solar panel installation

Answers to the most common questions.

How long does solar panel installation take?

Most domestic installations are completed in one to two days on site once surveys and equipment are confirmed. The lead time from enquiry to installation day can range from a few weeks to a couple of months depending on installer availability and whether any preparatory roof or electrical work is needed.

Does solar panel installation need planning permission?

Most homes qualify under permitted development rights, meaning no planning application is required. Exceptions include listed buildings, properties in conservation areas, and homes in Article 4 direction areas, where local authority rules may restrict panel visibility or placement. Your installer should confirm the position for your property before work begins.

What is the typical payback period for solar panels?

On our calculation, payback is about 11–16 years on a south-facing roof if you also buy your electricity from the supplier that pays 12p per kWh for exports, and about 20–28 years at an open export rate of about 4p; longer if the roof is east-facing or shaded. The exact figure depends on system size, how much of the output you use directly, the tariff you're on, and which Smart Export Guarantee rate you secure for exports.

How does the Smart Export Guarantee work?

Once your system is registered under MCS, you can apply to an electricity supplier that offers a SEG tariff to be paid for every unit of surplus power you export to the grid. The rate is set by each supplier individually and must be above zero; it is not a fixed government rate, so comparing tariff offers after installation can make a meaningful difference to annual income.

Is VAT charged on solar panel installation?

Residential solar panel installation is zero-rated for VAT until 31 March 2027, in line with HMRC VAT Notice 708/6. After that date the reduced rate returns. On a typical installed cost of around £7,600 for a 4.5 kWp system (Energy Saving Trust, 2026), the difference is material, which is one reason to confirm your installation slot well in advance of the deadline.

What warranty should I expect on panels and installation?

Panel product warranties vary by manufacturer, and most inverters have a warranty of at least five years, which can often be extended, according to the Energy Saving Trust. Workmanship warranties covering the installation itself vary between firms. Check both the term and the coverage in writing before signing, and confirm how a warranty claim is handled if the installer ceases trading.

Solar panel installation

Many homeowners lock in the first installer they speak to, then discover later they could have paid less or received a stronger warranty. Solar panel installation is a one-time purchase where the numbers vary significantly by roof, orientation and how much of the output you use directly.

This page helps you cut through that uncertainty. Fill out one short form, and qualified local installers get in touch with proposals built around your home, so you compare real figures before you commit.

In short

  1. Pay 0% VAT on installation, zero-rated until 31 March 2027
  2. Expect a typical 4.5 kWp system to cost around £7,600 installed (Energy Saving Trust, 2026)
  3. Compare offers from MCS-certified installers to check warranties and payback against your own roof

Three types of solar panel installation: which fits your home?

Below is a comparison of what each type is like.

Standard rooftop system

Panels mount on your existing pitched or flat roof. The system is sized to your household's use. This is the most common choice for UK homes and the starting point for most quotes.

Pros

  • Lower upfront cost than a battery-paired system
  • Straightforward to fit on most pitched roofs
  • Qualifies for Smart Export Guarantee payments on surplus power

Cons

  • Surplus power is exported at a supplier-set rate, not stored for later
  • Savings fall on days when you are out and cannot use power directly
  • Less useful if your household mainly runs in the evening

Rooftop system with battery storage

The same roof array, plus a home battery. You store unused daytime power and draw on it in the evening instead of buying from the grid. This suits homes with heavy evening use. The trade-off is a higher total cost and a shorter battery warranty than the panels carry.

Pros

  • More of your own generation is used directly, which helps payback
  • Cuts evening grid draw for households with peak evening use
  • Adds some cover during brief outages

Cons

  • Battery adds to the total cost and lengthens the payback period
  • Battery warranty is typically shorter than the panel warranty
  • May need extra survey work and a larger electrical upgrade

In-roof (integrated) system

Panels replace roof tiles rather than sitting above them. The result is a flush, built-in look. This option is often chosen on new builds or when a re-roof is already planned. The same MCS certification path applies as for an above-roof system. If a re-roof is due anyway, the combined work can reduce overall roofing costs.

Pros

  • Clean finish; useful where local planning rules restrict raised panels
  • Combined work can cut overall roofing costs when a re-roof is already due
  • Same MCS certification path as a standard above-roof system

Cons

  • Higher install cost than an on-roof array of the same size
  • Fewer certified installers stock the specific product lines needed
  • Reduced airflow under panels can raise their temperature and slightly lower output

Which system type fits your home and goals

Match your situation to the right solar setup

Your situationStandard RooftopRooftop with BatteryFlat-Roof / Ground-Mount
Pitched or flat roof availableIncludedIncludedIncluded
Want to store unused generationNot includedIncludedNot included
Eligible for Smart Export GuaranteeIncludedIncludedIncluded
No suitable pitched roofNot includedNot includedIncluded
Reduce evening grid relianceNot includedIncludedNot included
MCS-certified install requiredIncludedIncludedIncluded
Planning permission typically neededNot includedNot includedIncluded

How to choose a solar panel installer

  1. MCS certification and warranty terms: Certification under MCS or an equivalent scheme is required for Smart Export Guarantee payments, so treat it as a firm condition, not a nice-to-have. Check the workmanship warranty separately from the panel and inverter warranties. Panel cover varies by manufacturer, and most inverters have a warranty of at least five years, which can often be extended (Energy Saving Trust). Workmanship terms vary widely, so compare them directly across the quotes you receive.
  2. Roof suitability and system sizing: The right installer surveys your roof before quoting. Pitch, orientation, shading from nearby buildings or trees, and the age of your roof covering all affect what size system fits your home. Some roofs need prep work, such as re-roofing, before panels can go on. An installer who checks first will size the system to your actual roof, not a generic one.
  3. Quote transparency and what is included: A clear quote states system size in kWp, equipment brand, estimated annual yield, payback assumptions, and all labour and materials costs. A quote that shows only a monthly saving figure, without the system size or tariff used, is hard to compare fairly. Look for quotes that lay out every figure so you can weigh them side by side.
  4. Track record in your area: An installer who knows your roof type and local planning rules will handle any permit steps more smoothly. This matters most in conservation areas or on listed buildings, where permitted development rights may not apply. Ask each installer about experience with similar homes nearby, and use the quotes you receive to judge how well they have understood your specific situation.

One form, real quotes, your decision

Filling out one short form connects you with MCS-certified local installers who get in touch directly with quotes built around your home. You receive the offers, compare them on figures that matter: system size, equipment, warranty, payback range, and make the call yourself.

The service is free to use and carries no obligation. Installers compete on transparent figures, not headline savings alone. Installation is currently zero-rated for VAT to 31 March 2027, so the timing on locking in quotes is worth thinking about.

What drives the cost of solar panel installation

System size (kWp)

The single largest lever on price is how many kilowatts-peak of capacity you install. A larger array covers more of a household's consumption but costs more upfront. Installers size a system to your roof area and your annual usage, so two homes with the same roof could need different systems. The Energy Saving Trust puts a typical 4.5 kWp domestic system at around £7,600 installed (2026), and the cost per panel generally falls as system size rises.

Roof type and access

A standard pitched roof with easy access keeps labour costs down. Flat roofs need ballasted mounting frames; older or fragile roof coverings may need repairs before panels can be fixed safely. In-roof integrated systems, where panels replace tiles, carry higher installation costs than an equivalent on-roof array. Scaffolding complexity and roof height also affect the labour component of the quote.

Inverter and equipment specification

The inverter converts DC power from panels into AC for your home; its specification affects both performance and cost. String inverters are the most common and cost-effective option for straightforward roofs. Microinverters or power optimisers add per-panel flexibility on shaded or complex roofs but increase equipment cost. Panel brand and efficiency rating also shift the quote, independent of system size.

Additional works and battery

If your consumer unit needs upgrading, or if the property requires an earthing or wiring upgrade to meet current regulations, that adds to the total. Adding a home battery is covered on our solar and battery page, but it is one of the more significant uplifts to the installed cost. Any scaffolding, planning application fees for properties in conservation areas, or structural surveys for heavier integrated systems should appear as line items in a transparent quote.

Solar panel cost at a glance

Item

Value

Typical payback period

about 11–16 years south-facing and 13–19 east-facing if you buy your electricity from the supplier paying 12p for exports; about 20–28 years south-facing at an open rate of about 4p (our calculation)

Typical panel/product warranty

panels: terms vary by manufacturer; inverters: at least 5 years, often extendable (Energy Saving Trust)

VAT on residential solar installation

0% (zero-rated to 31 Mar 2027)

Typical installed system cost (domestic)

£7,600 approx. for a typical 4.5 kWp home system (Energy Saving Trust, 2026)

Annual benefit incl. Smart Export Guarantee

£523–£603 a year south-facing and £435–£495 east-facing if you buy your electricity from the supplier paying 12p for exports; £299–£333 south-facing at an open rate of about 4p (our calculation, 4 kWp, no battery)

Facts verified as of 2026-10-02.

From signed contract to first generation

Once you have chosen an installer and agreed the quote, the first step is a detailed home survey if one has not already taken place. The installer measures your roof precisely, confirms the structural fixing points, checks your consumer unit and meter setup, and finalises the equipment specification.

Most domestic installations take one to two days on site. Scaffolding goes up first, then panels and mounting hardware, followed by the inverter and any DC cabling inside the loft or roof space. The installer connects the system to your consumer unit and fits a generation meter.

After installation, your installer registers the system with MCS and, where relevant, notifies your Distribution Network Operator. Once registration is confirmed, you can apply to an electricity supplier for a Smart Export Guarantee tariff to receive payment for surplus power you export to the grid. Your installer should provide all commissioning documents and warranty certificates before they leave site.

Five things to check before you sign

  1. Confirm the installer holds a current MCS certificate that covers your system type. An installation certified under MCS or an equivalent scheme is required for Smart Export Guarantee eligibility, so check this first.
  2. Ask for a quote that lists system size in kWp, panel brand and model, inverter type, and all labour and materials costs as separate lines.
  3. Check the workmanship warranty term and what it covers. This is separate from the product warranty. Panel terms vary by manufacturer; inverters around 5–15 years.
  4. If your home is in a conservation area, is listed, or falls under an Article 4 direction, ask whether permitted development rights apply or a planning application is needed.
  5. Make sure the installer will handle MCS registration and hand over all commissioning documents and warranty certificates when the job is done.

Mistakes to avoid when buying solar

  1. Choosing on monthly saving claims aloneA quote that leads with a single monthly saving figure without stating the system size, roof orientation, tariff rate or consumption assumption cannot be verified or compared. On our calculation, a 4 kWp system without a battery is worth around £523 to £603 a year on a south-facing roof and £435 to £495 east-facing, if you also buy your electricity from the supplier that pays 12p per kWh for exports; at an open export rate of about 4p, a south-facing roof is worth around £299 to £333 (household using 2,500 kWh a year). Always ask for the assumptions behind the number before you commit.
  2. Skipping the roof surveyAn accurate quote depends on an accurate survey. Roof age, pitch, shading from chimneys or nearby trees, and the condition of the existing covering all affect whether the system performs as projected and whether preparatory work adds to your cost. An installer who quotes from satellite imagery alone cannot account for on-site variables, which tend to surface as surprises on installation day.
  3. Treating VAT as a permanent savingInstallation is currently zero-rated for VAT to 31 March 2027, which on a typical 4.5 kWp system costing around £7,600 (Energy Saving Trust, 2026) represents a real cost difference versus the 5% rate that applies from 1 April 2027. Some buyers plan around that window without confirming the lead time for surveys, equipment ordering and installation slots. The margin between enquiry and completed installation can be several weeks, so leaving it late risks missing the zero-rate entirely.

Solar panel terms explained

kWp (kilowatt-peak)
The rated output of a solar panel or system under standard test conditions: full, direct sunlight at 25°C. Real-world output is typically lower because of angle, shading and temperature. System size in kWp is the headline figure in every quote and the main driver of installed cost.
MCS (Microgeneration Certification Scheme)
The UK certification framework covering both solar panels and the installers who fit them. An MCS-certified installation is a condition of eligibility for Smart Export Guarantee payments and is the industry benchmark for quality assurance on domestic solar work.
Smart Export Guarantee (SEG)
A legal obligation requiring electricity suppliers with at least 150,000 domestic customers to offer a tariff for surplus solar power exported to the grid. The rate is supplier-set and must be above zero; it varies between suppliers, so comparing tariffs after installation is worth doing.
Inverter
The unit that converts the direct current (DC) produced by solar panels into the alternating current (AC) used by your home appliances and the grid. Inverters carry a separate, generally shorter warranty than panels, typically around 5–15 years, and are one of the components most likely to require replacement over a system's life.
Self-consumption (direct use)
The share of your solar generation that your household uses at the time it is produced, avoiding the need to buy that unit from the grid. Higher self-consumption improves payback speed; households that are mainly out during the day tend to export more and self-consume less, which is why a battery can alter the payback calculation significantly.

Sources

Prices and rates reviewed 2 October 2026

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