VAT on solar panels: 0% until March 2027

Solar panels installed in homes in Great Britain have 0% VAT until 31 March 2027. On a £7,600 system, 20% VAT would have added £1,520.

Checked 22 October 2026

The short answer

What it saves

SystemPrice with 0% VAT (estimate)If 20% VAT applied
3 kWabout £5,750about £6,900
4.5 kWabout £7,600about £9,120
6 kWabout £9,500about £11,400

Should you rush?

If you were already planning solar, getting it installed before 31 March 2027 avoids the risk of VAT returning. Installers often get busy before deadlines, so it's worth getting quotes early.

See what solar panels cost and whether they're worth it.

Sources: Solar Energy UK, Energy Saving Trust figures via Which?.