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Forhad Sarker · Energy Grants Researcher · Last updated 28 February 2026

Solar Panel Grants UK 2026: Every Scheme Explained

Solar panel grants available in the UK in 2026 include free solar through the Warm Homes Local Grant (for low-income households in England), ECO4 (for homes with electric heating), 0% VAT on residential installations until March 2027, and Smart Export Guarantee payments for surplus electricity exported to the grid.

By WarmHomeUK · · 10 min read

Quick summary

There are two routes to free solar panels in 2026 (Warm Homes Local Grant + ECO4), one ongoing tax break (0% VAT), and one payment scheme for surplus electricity (SEG). Even if you don't qualify for a free installation, you'll pay no VAT — saving £1,000–£2,000 on a typical system. Check your grant eligibility →

"Can I get free solar panels?" is one of the most searched energy questions in the UK. The answer is more nuanced than most websites admit. This guide covers every scheme available in 2026 — who actually qualifies, what's covered, and how to apply.

Every solar scheme at a glance

Scheme What You Get Who Qualifies Status
Warm Homes: Local Grant Free solar + insulation + heat pump (up to £15,000) Income under £36K*, poor EPC Open ✅
ECO4 Free solar + insulation + heating On qualifying benefits Until Dec 2026
0% VAT Save £1,000–£2,000 on installation All residential installations Until 2027+ ✅
Smart Export Guarantee Get paid 5–15p/kWh for surplus electricity Any MCS-certified installation Ongoing ✅
Boiler Upgrade Scheme £7,500 towards heat pumps (not solar) Replacing fossil fuel heating Not for solar

*Income threshold varies by council. Range: £23,000 (Newcastle) to £38,000 (Isle of Wight). Most councils use £31,000–£36,000.

1. Warm Homes: Local Grant — the main route to free solar

The Warm Homes: Local Grant is the UK government's flagship energy efficiency programme, backed by £500 million in funding. It provides completely free home energy upgrades — including solar panels — to eligible homeowners.

Who qualifies

  • Homeowners or private tenants in England (with landlord consent for tenants)
  • Household income below your council's threshold (typically £31,000–£36,000)
  • EPC rating of D, E, F, or G (meaning your home is energy-inefficient)
  • Not in social housing (different schemes apply)

What's covered

Solar panels are one of several measures that can be installed — but only if a home assessment recommends them. Other measures include wall insulation, loft insulation, underfloor insulation, air source heat pumps, and smart heating controls. The assessor decides what's most cost-effective for your home.

Important: You can't request solar panels specifically. The scheme aims to improve your home's overall energy efficiency, and the assessor may recommend insulation before solar if your home isn't well insulated. This is actually in your interest — solar saves more money when your home doesn't leak heat.

How to apply

  1. Check your eligibility using our free eligibility checker
  2. Contact your local council's energy efficiency team
  3. A surveyor visits your home to assess what improvements are needed
  4. Approved improvements are installed at no cost to you

🏠 Check if you qualify in 2 minutes

Our eligibility checker covers the Warm Homes Local Grant, ECO4, and other schemes. Answer a few questions to find out what you could get for free.

Check Eligibility →

2. ECO4 — funded by your energy supplier

The Energy Company Obligation (ECO4) requires large energy suppliers to fund home energy improvements for vulnerable and low-income households. It has been extended to 31 December 2026.

Who qualifies

  • Receiving qualifying benefits: Universal Credit, Pension Credit, Child Tax Credit, Income Support, Housing Benefit, or Income-based JSA/ESA
  • Home with EPC rating D, E, F, or G
  • Or via your council's ECO Flex pathway (broader criteria including low income without benefits)

Key difference from the Warm Homes Grant

ECO4 is funded by energy suppliers, not the government. This means your energy supplier (or an ECO-accredited installer working on their behalf) arranges and pays for the work. The measures are similar — insulation, heating, and potentially solar panels — but the eligibility route is different.

Act soon: ECO4 ends on 31 December 2026, and there will be no successor scheme. Once suppliers meet their obligations, they stop funding installations. Don't wait until December.

Could you get free solar panels?

The Warm Homes Local Grant can fully fund solar for eligible households. Check if you qualify.

Check Eligibility

3. 0% VAT — for everyone

This is the scheme that benefits every UK homeowner, regardless of income. Since April 2022, residential solar panel installations are charged 0% VAT instead of the standard 20%.

On a typical solar system costing £7,000 before VAT, this saves you £1,400. It applies to:

  • Solar panels (PV systems)
  • Battery storage
  • Solar thermal panels (hot water)
  • Insulation materials
  • Heat pumps

The 0% rate is confirmed until at least March 2027 (HMRC guidance). It applies automatically — your installer handles the VAT.

4. Smart Export Guarantee — get paid for surplus

The Smart Export Guarantee (SEG) isn't a grant — it's a payment scheme. Once your solar panels are installed, energy suppliers must offer you a tariff to buy your surplus electricity.

To qualify, you need:

  • An MCS-certified installation (non-negotiable)
  • A smart meter or SMETS2 meter
  • A system of 5MW or less (all residential systems qualify)

Best SEG rates in 2026

  • Octopus Outgoing Fixed: 15p/kWh — the best fixed rate
  • Octopus Agile Outgoing: Variable (tracks wholesale prices, can exceed 30p/kWh at peaks)
  • Most other suppliers: 4–6p/kWh

Choosing the right export tariff can double or triple your export income. Our solar calculator uses live Octopus Energy rates for your region.

See exactly what solar saves for your home

Enter your postcode and electricity bill. We calculate your savings using real solar data for your exact location.

Calculate My Solar Savings

Don't qualify for a grant? Solar is still worth it.

Most UK homeowners won't qualify for free solar panels — the income thresholds are deliberately targeted at those who need help most. But that doesn't mean solar is out of reach.

With 0% VAT, falling panel costs, and electricity at around 24.50p/kWh (Ofgem price cap, Q2 2026), a typical solar system pays for itself in 8–12 years and then provides 15+ years of near-free electricity. Many installers also offer 0% finance options, spreading the cost over 10–15 years with no interest.

See how much solar could save you

Free calculator · Real satellite data for your postcode · No email required

Try the Calculator →

Watch out for "free solar panel" scams

A warning: if someone cold-calls or knocks on your door offering "free solar panels from the government," be cautious. Legitimate schemes work through councils and energy suppliers, not door-to-door salespeople.

Red flags:

  • Pressure to sign immediately — real grants don't expire in 24 hours
  • Upfront fees — legitimate schemes are free; you should never pay to "apply"
  • No MCS certification — always verify the installer on the MCS register
  • Vague about which scheme — ask specifically: "Is this under the Warm Homes Local Grant or ECO4?"
  • Not TrustMark registered — check on trustmark.org.uk

⏰ ECO4 closes December 2026 — some suppliers have already met their targets

Don't wait until the deadline. Check what you qualify for while both schemes are still open.

Check Before It's Too Late

What's coming next: the Warm Homes Plan

The government's broader Warm Homes Plan includes nearly £15 billion in funding for home energy efficiency over the coming years. This includes:

  • An additional £1.5 billion in capital funding from 2027/28 onwards
  • Proposed low-interest and zero-interest loans for solar and insulation
  • Under the proposed Future Homes Standard, all new-build homes are expected to have solar panels from April 2027

The direction is clear: the UK is moving towards solar being standard on every home. Getting panels now means you benefit from current schemes and start saving immediately, rather than waiting for future programmes that may have different terms.

Frequently asked questions

Can I get free solar panels in the UK in 2026?

Yes, if you meet the eligibility criteria. The Warm Homes: Local Grant and ECO4 scheme can fully fund solar panel installation for low-income households. You typically need a household income under £36,000 and a poor EPC rating (D, E, F, or G). Contact your local council or energy supplier to apply.

What grants are available for solar panels in 2026?

There are four main schemes: the Warm Homes: Local Grant (up to £15,000 of free upgrades including solar), ECO4 (funded by energy suppliers, extended to December 2026), the Boiler Upgrade Scheme (£7,500 towards heat pumps, not solar panels directly), and 0% VAT on all residential solar installations until at least 2027.

Do I have to pay anything for solar panels under the Warm Homes Local Grant?

No. If you qualify for the Warm Homes: Local Grant, the full cost of recommended improvements — including solar panels — is covered. There is no contribution required from the homeowner. The grant is funded by the UK government and administered by your local council.

Can private tenants get solar panel grants?

Private tenants can benefit from ECO4 and the Warm Homes: Local Grant, but the landlord must consent to the installation since they own the property. The tenant typically needs to meet the income eligibility criteria. Some councils require the landlord to make a financial contribution under certain schemes.

What is the income threshold for solar panel grants?

For the Warm Homes: Local Grant, the standard income threshold is £36,000 household income, though this varies by council — some set it as low as £23,000 (Newcastle) or as high as £38,000 (Isle of Wight). For ECO4, eligibility is primarily based on receiving qualifying benefits such as Universal Credit, Pension Credit, or Child Tax Credit.

Is there a grant for solar battery storage?

Battery storage can be included as part of a solar installation under ECO4 and the Warm Homes: Local Grant, but there is no standalone grant specifically for batteries. If a home assessment recommends solar panels, the battery is often included as part of the package to maximise energy savings.

How do I apply for a solar panel grant?

For the Warm Homes: Local Grant, contact your local council's energy team or use the WarmHomeUK eligibility checker to find out if you qualify. For ECO4, contact your energy supplier directly or check with an ECO-accredited installer. Both schemes require a home assessment before installation.

Can I get the 0% VAT on solar panels if I install them myself?

The 0% VAT rate applies to the supply and installation of solar panels by a VAT-registered installer. If you purchase panels separately and install them yourself, you may still pay VAT on the equipment. For the VAT relief to apply, the installation must be carried out on a residential property and the installer must be VAT-registered.

Important: WarmHomeUK is an independent service and is not affiliated with or endorsed by the UK Government, the Department for Energy Security and Net Zero, or Ofgem. Eligibility results are indicative and subject to official assessment. This content does not constitute financial or legal advice.

FS

Written by Forhad Sarker

Forhad has worked inside the UK solar installation industry and now runs WarmHomeUK to make government grant information accessible. He tracks scheme changes across 300+ councils, reads the policy documents, and cross-references every guide against official gov.uk sources.