0% VAT on Solar Panels and Batteries Is Due to End in March: What It Means for Your Home
In our series answering your questions, here’s one we’re hearing more often: is there VAT on solar panels, and is that about to change?
Is there VAT on solar panels right now?
For most homes, no. A 0% VAT rate currently applies to qualifying energy-saving materials installed in residential properties, including solar panels and batteries. It’s due to end on 31 March 2027, and VAT is expected to go back to 5% after that. You can read the official guidance in HMRC’s VAT Notice 708/6 – on the GOV.UK page.
What does the 0% VAT rate cover?
It applies to the installation as a whole, not just the panels. That includes the panels, the inverter, the labour and batteries fitted with a new system. Since February 2024, it has also covered a battery added to an existing solar system.
How much more could solar cost after March 2027?
It depends on your system, so here is an illustration, not a Tewdric price: If an installation was quoted at £10,000 with no VAT, a 5% rate would add £500. Prices can also move for other reasons, so we’d treat this as a guide to the size of the change, not a forecast.
How long does it take to get solar panels installed?
Most installations take less than a week on site. The longer part is arranging a start date. At the moment we’re booking about 3 to 4 weeks ahead, which leaves time before the deadline. Deadlines tend to bring a rush, so starting now gives you more choice of dates.
The process looks like this:
You book a survey with our team.
We design your system and send your quote.
Once you’ve agreed, we arrange your installation date.
The VAT rate that applies can depend on when the work is carried out and invoiced, so leaving it until the last few weeks of March isn’t a safe plan.
Is solar right for you?
Solar works best if you’re staying in your home and can see the return on investment, and adding a battery means you can use what you generate after dark. If you’re not sure, our surveyors will talk you through what makes sense for your roof and your usage, with no pressure. We install across South Wales, including Cardiff, Monmouthshire and the Vale of Glamorgan.
Book a survey and we’ll help you plan your installation.
Frequently asked questions
Does the 0% VAT rate apply to batteries?
Yes. Batteries fitted with new solar panels qualify, and since February 2024 so does a battery added to an existing solar system.
When does the 0% VAT rate on solar panels end?
It’s due to end on 31 March 2027, with VAT expected to return at 5% from April.
Does the 0% VAT rate apply to businesses?
The rate described here applies to installations in homes. If you’re a business, get in touch and we can talk through your situation.
Is it worth getting solar in autumn and winter?
Yes. Panels run on daylight, not heat, so they keep generating through the cooler months. Read why solar panels are still a smart investment, even in October.
Last updated: 18 October 2026. Rules and rates can change, so please check the official guidance for the latest.