A Helping Hand Towards a Solar Future
It’s 2025, you want to join the green revolution, but there’s also a cost-of-living-crisis and you’re still feeling the pinch from Christmas. Solar just isn’t for you, right? Wrong! Luckily for British consumers, there are several government grants and incentives offered to encourage the adoption of solar power, even when you think it’s way out of your budget. In this blog, we give you an overview of the key programs available, and are always here to assist if you want them explained in further detail, or to check if you’re eligible for them.
Low-income household? Check out the Energy Company Obligation (ECO4)
The UK Government has big plans to reach net zero emissions by 2050, and to achieve this, solar panels cannot be limited to the rooftops of high-end earners. The ECO4 scheme aims to assist low-income and vulnerable households in improving energy efficiency. Eligible homeowners can receive support for installing solar panels, which can significantly reduce electricity bills in the long-term, as well as make significant social improvements to those living with health conditions made worse by the cold. Eligibility is based on specific criteria, including income level and existing energy efficiency measures in the home, and you can complete a free eligibility check here.

But I own my own wind farm! Well, you need the Smart Export Guarantee (SEG)
Making money off your solar panels just sitting on your roof sounds too good to be true, right? Well, if you have installed solar PV panels in your home or business (or own your own wind farm), you may be able to earn money through the Smart Export Guarantee (SEG). Under the SEG, home or business owners with solar panels can receive payments for surplus electricity exported back to the grid. In actual fact, energy suppliers with over 150,000 customers are mandated to offer this scheme, providing a financial incentive for generating renewable energy. Rates and terms vary by supplier, so it’s advisable to compare offers. Read more about the SEG here.
Tell me more about 0% VAT on Solar Panel Installations…
To encourage renewable energy adoption, in 2022, the UK government implemented a 0% VAT rate on the installation of solar panels for residential properties. This reduction lowers the upfront cost of solar installation, making solar power even more accessible to the average homeowner. The zero VAT approach is currently in effect and is scheduled to last until 2027, after which it will revert to 5%, which is still pretty low compared to other VAT rates! There are a few stipulations in place however: customers must pay for the installation and supplies simultaneously (i.e. you’d need to hire a company that is both selling you the panels and fitting them for you), the solar panels must be new and not second-hand, and they must be fitted by a MCS-registered installer (like us!). On another positive note, you can include other relevant goods or services along with the solar panel’s installation, once it occurs at the same time.
My fossil fuel boiler’s on the blink! Well, upgrade it then…
The Boiler Upgrade Scheme (BUS) supports the decarbonisation of heat in buildings, moving away from traditional fossil fuel heating systems to those with a heat pump or biomass boiler. It provides upfront capital grants to support the installation of heat pumps and biomass boilers in homes and non-domestic buildings in England and Wales.
Acting on behalf of property owners, installers can apply for:
- £7,500 off the cost and installation of an air source heat pump
- £7,500 off the cost and installation of a ground source heat pump, including water source heat pumps
- £5,000 off the cost and installation of a biomass boiler
Think you might be eligible? Find out how to apply for the grant.

Brr…I think I need the Warm Homes Plan
One of the most recent Government initiatives, the Warm Homes Plan is expected to introduce initiatives to support solar energy adoption. The Warm Homes Plan will help people find ways to save money on energy bills and deliver warmer, cleaner to heat homes, with up to 300,000 homes to benefit from upgrades in 2025 alone! Again, there’s support for low-income households, renters and the plan even branches out to include grants for heat pumps too. And, music to our ears, but the one-metre rule that required planning permission to get a heat pump in England is now a thing of the past, removing the barrier of planning permission for many customers.
Well, what do we think? These programs reflect the UK Government’s commitment to increasing renewable energy usage and reducing carbon emissions, and making greener, renewable energy accessible and affordable for all. While the cost of solar panel installation might not be completely free, homeowners who are eligible for any of the above incentives can make significant savings even before they continue to save money in the long-run. Think you might qualify? Contact us for more information or for free advice about which Government initiative is right for you.