Costs Of Solar Panels In The UK


As the United Kingdom moves toward cleaner and more sustainable energy sources, solar panels have risen in popularity. People view it as a means of producing one’s own power. Solar panels are an excellent way to generate clean and renewable energy. As a result, they may lessen our reliance on fossil fuels and improve our ability to plan for a sustainable future.

However, solar panel installation may be quite an expense, so it is crucial to be aware of the variables that might impact the final price tag in the UK. This article will give you an overall idea of how much solar panels in the UK may cost. It will also shed light on elements that go into determining that price, and what you can do to get the most out of your money.

Factors affecting the costs of solar panels in the UK


Type and Quality of Solar Panels: Solar panel prices vary depending on the manufacturer and efficiency of the panels you choose. Although more expensive, panels with greater efficiency may create more power with the same amount of area. In general, mono-crystalline panels are more efficient and expensive than polycrystalline ones.

Size of Solar Panel System

Your budget and desired quantity of power generation will determine the size of the solar panel system you will require. While larger systems may initially cost more, they may end up saving money in the long run.


Depending on your roof’s location, the costs of installing solar panels may change. For instance, a property in a sunnier zone may require fewer solar panels to generate electricity as a property in a less bright region.

Roof Condition

The price of installing solar panels may also be affected by the state of your roof. Installing solar panels on a roof that needs repairs or renovations might raise the cost of the project.

Installation Costs

There is a wide range of installation costs that may be incurred. These costs depend on the installer you choose and the degree of difficulty of the installation. You should choose a professional that has a solid reputation in the industry. This will ensure proper installation of your solar panel system.

Government Incentives

Several programs, like the Feed-in Tariff (FiT) and the Smart Export Guarantee (SEG), are available by the UK government. These programs help promote the installation of solar panels. Solar panel installation and upkeep may be made more affordable with the aid of these rebates.

Cost of solar panels in the UK

Cost and output for solar panel systems in the UK are broken down by size in the following table. Furthermore, the average cost and yearly production both rise as the size of the system increases. It is important to note that the estimated savings during the system’s lifespan (i.e., 25 years) ae not based on actual savings. The estimated savings presume the system will retain its present efficiency over the lifespan. However, the system’s efficiency may decline with time, which might reduce the expected savings. Along with the environmental benefits, having a solar panel system in the UK can also save you a lot of money in the long run.

Size if system

Average cost (installed)

Average annual output

Payback period

Lifetime savings

1 kWp

£1,500 – £2,500

850 kWh

7-12 years

£5,000 – £7,500

2 kWp

£3,000 – £4,000

1,700 kWh

7-12 years

£10,000 – £15,000

3 kWp

£4,500 – £6,000

2,550 kWh

7-12 years

£15,000 – £22,500

4 kWp

£6,000 – £8,000

3,400 kWh

7-12 years

£20,000 – £30,000

5 kWp

£7,500 – £10,000

4,250 kWh

7-12 years

£25,000 – £37,500

6 kWp

£9,000 – £12,000

5,100 kWh

7-12 years

£30,000 – £45,000

7 kWp

£10,500 – £14,000

5,950 kWh

7-12 years

£35,000 – £52,500

8 kWp

£12,000 – £16,000

6,800 kWh

7-12 years

£40,000 – £60,000


How much do you save with solar panels?

There are several factors which influence the amount of money you can save with solar panels in the UK such as:

  • The solar panel system’s size
  • The roof’s orientation and angle
  • The amount of sunlight your location receives
  • The cost of electricity in your area

Installing a standard 4 kWp solar panel system in the UK may reduce your annual power expenditure by around £200-£300. It’s possible to save between £5,000 and £7,500 throughout the system’s expected 25-year lifespan. However, the variables significantly affect the precision of this assessment.

In addition to these instant savings, you may also make money from the feed-in tariff program run by the government. Even if you utilize the power that your solar panels produce, you may still make money under this plan. Earning potential is proportional to system size, power generation, and the current feed-in tariff rate.

Are solar panels worth it in the UK?

The installation of solar panels may have a significant up-front cost, but it may be financially beneficial in the long run. Installing solar panels may raise the value of your property and provide financial benefits. These include reduced power costs and income through the government’s feed-in tariff program.

Additionally, solar panels are a green method of producing power. You can do your part in the battle against climate change and reduce your carbon footprint by using less power from the grid.

Whether or if solar panels are worthwhile for your home is ultimately a matter of personal preference and budget. Considerations which will play a role in your final selection include:

  • Local power rates
  • Roof orientation and angle
  • Available sunshine

If you can afford solar panels and want to reduce your carbon footprint, you may benefit financially and environmentally.

Comparison of Costs between UK and other countries


The price of solar panels may vary substantially from country to country depending on different factors. These include government regulations, market competitiveness, and the price of labor and materials. The price of solar panels in the United Kingdom is compared to those in many other nations.

A. United States: The average installed cost of residential solar panels in the United States will be around $2.81 per watt, or about £2.02 per watt. This is estimated by the National Renewable Energy Laboratory for 2020. This is less than what solar panels typically cost in the UK.

B. Germany: Over 50 GW of solar power capacity have been built in Germany, making it one of the world’s major solar markets. The average installed price of residential solar panels in Germany will have been about €1.31 per watt, or around £1.14 per watt. Solar Power Europe estimated this value by the year 2020. Compared to the typical price of solar panels in the UK, this is a huge savings.

C. Australia: Thanks to its warm climate, Australia has one of the greatest solar panel adoption rates in the world. In 2020, household solar panels in Australia cost around AUD $1.31 per watt to have installed, which is about like £0.70 per watt. This data comes from Solar Choice. Compared to the typical price of solar panels in the UK, this is a huge savings.

Government Incentives for Solar Panels in the UK

The government of the United Kingdom provides several incentives to promote the use of solar panels.

Feed-in Tariff (FiT)

The FiT was a government program that gave money to those who used solar panels to produce renewable energy. The homeowner received payment for each unit of renewable energy generated and for any excess energy exported to the grid. Those who joined the FiT before the deadline in March 2019 will continue to receive benefits until the end of the program in 2039.

Smart Export Guarantee (SEG)

It is the government’s new program that took the role of the FiT. Energy providers choose the rate at which homes are compensated for exporting surplus energy to the grid under the SEG. The SEG has two major goals which makes it an attractive program. It promotes the use of solar panels and guarantees households a reasonable return on their energy surplus.

Green Homes Grant Scheme

To offset the expense of installing renewable energy sources, the government introduced a grant program in 2020. It is called the Green Homes Grant Scheme, which offers householders vouchers valued up to £5,000. However, owing to poor participation, the program was discontinued as of March 2021.

Other advantages, such as lower VAT and council tax rates, may be available to homeowners whose homes have solar panels. It is crucial to keep up with the latest advancements in solar panel incentives in the UK. This is because the government incentives and laws might change over time.


In conclusion, the cost of solar panels in the UK may change based on several variables. These include the size of the system, the brand of panels used, professional installation fees, and the geographic location of the home. More and more homes in the UK are installing solar panels because to falling prices and government incentives. Some notable incentives include the SEG and the Green Homes Grant Scheme. Homeowners who choose to invest in solar panels may enjoy financial savings. In addition, they also benefit from reduced energy costs, and less environmental impact. Do your research and consult with reputable solar energy contractors to ensure the system you choose is a good fit for your home and budget.

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