0% VAT on Solar Explained
Check what support you actually qualify for
Most UK solar 'grants' have narrow eligibility. Find out what applies to your property — and what an installation would cost after it.
Check My EligibilityFree. We will tell you if nothing applies.
Check what support you actually qualify for
Most UK solar 'grants' have narrow eligibility. Find out what applies to your property — and what an installation would cost after it.
Check My EligibilityHow does 0% VAT on solar panels work?
0% VAT on solar panels — the complete explanation: WHAT: Since April 2022, VAT on residential solar panel installation is 0% (reduced from 5%). This saves £1,000-£1,600 on a typical installation. WHO QUALIFIES: All residential properties in the UK. The property must be used as a dwelling. New builds and existing homes both qualify. Buy-to-let properties qualify if the tenant uses it as a dwelling. Second homes qualify. Holiday lets qualify. WHO DOESN'T QUALIFY: Commercial/industrial buildings (standard VAT applies). Community buildings (some qualify under separate rules). HOW MUCH SAVED: £6,500 system: normally £325 VAT (5%) or £1,300 (20%) → saved with 0%. £9,000 system: normally £450 (5%) or £1,800 (20%) → saved. DURATION: Finance Act 2022 sets 0% until March 2027. May be extended — government decision expected Autumn 2026. HOW TO CLAIM: Automatic — your installer charges 0% VAT on the invoice. No application needed. Check the invoice shows 0% VAT. Source: HMRC VAT Notice 708/6 (gov.uk/guidance/vat-on-energy-saving-materials), Finance Act 2022 Section 7.
Frequently Asked Questions
Related: Home Heating Systems
Solar panels are most powerful when combined with an efficient heating system. Heat pumps use solar-generated electricity to heat your home at 300-400% efficiency — making them the ideal partner for solar.
Heat pump installation typically takes 2-3 days and is best planned alongside solar.
From our sister site Home Heat Pump Guide
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Check what support you actually qualify for
Most UK solar 'grants' have narrow eligibility. Find out what applies to your property — and what an installation would cost after it.
Check My EligibilityFree. We will tell you if nothing applies.