Solar panel costs and the VAT deadline

A typical home solar system costs roughly £5,500 to £8,000 installed in 2026, and installation is currently zero-rated for VAT. That 0% rate is due to end on 31 March 2027, after which VAT on installation is due to go up to 5%. On a typical system, that would add a few hundred pounds.

Last reviewed 21 October 2026. Sources are listed at the end of this page.

Typical 4kW system

£5,500 to £8,000

Installed, for a typical three-bedroom home in 2026.

VAT now

0% to 31 March 2027

Due to go up to 5% from 1 April 2027.

Enquiry to installed

About 2 months

For a simple job. Listed homes and larger systems take longer.

What solar costs in 2026

These are indicative ranges, and the same ones we use on our town pages. Your own quote will depend on your roof, the equipment and the installer.

3kW (smaller homes)

£5,000 to £6,500

4kW (typical 3-bed home)

£5,500 to £8,000

5 to 6kW (larger homes)

£7,500 to £9,500

Solar with a battery

£8,000 to £14,000+

The Energy Saving Trust puts the average home system, at around 4.5kW, at about £7,600 installed. Scaffolding, a complex roof, in-roof panels or a stone slate roof can all add to the cost.

The 0% VAT rate

Installing energy-saving materials in a home in Great Britain, including solar panels, is zero-rated for VAT until 31 March 2027. From 1 April 2027 it is due to go back to the reduced rate of 5% (HMRC VAT Notice 708/6). A few points that are easy to miss:

Batteries count too

Batteries installed with solar panels are covered, and since February 2024 so are batteries fitted on their own or added to an existing system.

Supply and installation together

Panels you buy from one company and have fitted by another may not qualify in the same way. Buying and installing through one installer is the simplest route.

The deadline isn’t a booking date

What matters is when the supply is treated as made for VAT. Ask your installer how they will invoice, and whether your installation needs to be finished before 1 April 2027 to get the 0% rate.

What 5% VAT would add

At 5%, VAT adds £5 for every £100 of the price before VAT. For example:

£5,500 before VAT

+£275 at 5%

£7,600 before VAT

+£380 at 5%

£9,500 before VAT

+£475 at 5%

£14,000 before VAT

+£700 at 5%

That’s worth knowing, but it’s not a reason to rush. A system that doesn’t suit your roof or your usage costs more in the long run than the VAT saving.

How long it takes, from enquiry to installed

If you’d like to install before the deadline, allow for each of these steps:

1. Quotes and a survey

A few weeks

Usually a few weeks to compare quotes and have your roof surveyed.

2. Planning or consent, if needed

About 8 weeks

If your home is listed or needs planning permission, the council’s decision usually takes around eight weeks from a valid application.

3. Grid approval, if needed

Days to weeks

Most home systems only need a simple notification to the network operator. Larger systems need a full application, which can take several weeks.

4. Installation

1 to 2 days

Usually one to two days for a typical home, depending on the installer’s schedule.

So a simple installation can often be done within a couple of months of enquiring. A listed home or a larger system needs longer, so it’s worth starting early.

Paying for solar

Most people pay from savings. Some installers offer finance. If you use it, read the terms carefully, and remember that your right to cancel runs from when you receive the finance documents.

SEE TYPICAL COSTS IN YOUR AREA

GOOD QUESTIONS. CLEAR ANSWERS.

Frequently asked questions

A few things worth knowing before you start.

GET STARTED

Thinking of installing before April 2027?

Tell us about your home and we’ll introduce you to MCS-certified installers serving your area, who can tell you what’s realistic for your timing. There is no cost to you and no obligation.

SOURCES

Where this guide’s information comes from

Last reviewed 21 October 2026. Prices and VAT rules change, so check the sources below before you act.

Free, no-obligation introduction to MCS-certified installers.Check if solar suits my home

Cotswold Solar Installers

A local connection for a brighter home.

© 2026 Cotswold Solar Installers. An introduction service, not an installation company. All quotations and installation contracts are agreed directly with your chosen installer.

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