The 60-second answer
- No "free solar for everyone" scheme exists. Sites claiming this are misleading. Real routes are targeted, not universal.
- 0% VAT is universal — every homeowner saves ~£1,000–£2,000 on a 4 kW install. Runs to at least March 2027.
- Warm Homes: Local Grant can include solar in a whole-home retrofit package. Locally-determined eligibility, via your council.
- ECO Flex (LA Flex) is the discretionary route through your council for hardship households.
- Smart Export Guarantee (SEG) is the ongoing income from your solar — not a grant, but the real economics live here. 1p-15p/kWh exported, supplier-set.
- Closed schemes: Feed-in Tariff (March 2019), Home Upgrade Grant (March 2025), ECO4 (March 2026). Don't apply.
Independent information
This is an independent information service. We are not a government delivery agent or a solar installer. All scheme detail comes from HMRC, Ofgem, DESNZ guidance, and supplier-published SEG tariff tables. Eligibility and SEG rates change — always verify directly with your local authority, energy supplier, or GOV.UK before applying.
The honest picture for 2026
Search "solar panel grants" and you find two kinds of content: misleading lead-generation sites claiming universal "free solar for all," and outdated government guides still referencing schemes that closed years ago. The truth is narrower than the first and more current than the second.
In 2026 there are four real financial routes for solar in UK homes: a universal VAT rate available to everyone, two targeted government schemes for qualifying households, and one ongoing income mechanism that everyone with solar can join. None of them is "free panels for whoever wants them," but combined they materially change solar economics for anyone making the install decision in 2026 or 2027.
And there are three closed schemes still referenced on most other guides: the Feed-in Tariff (closed March 2019), the Home Upgrade Grant (HUG, closed March 2025), and ECO4 (closed March 2026). Each had specific support for solar. None accepts new applications. Where the closed scheme had a successor, we'll route you to the live one.
The four live routes for solar funding
Universal
0% VAT on residential solar
HMRC zero-rates residential solar panel installations until at least March 2027. The rate covers both the equipment and the installation labour. On a typical 4 kW system costing £5,000–£10,000 before VAT, the saving is £1,000–£2,000 compared to the 20% standard rate. After April 2027 the rate reverts to either 5% (reduced rate for energy-saving materials) or 20% — the policy decision has not been confirmed.
How to use: ensure your installer's quote shows £0 VAT explicitly. Some installers were slow to update systems after the zero-rate took effect; confirm before signing the contract. OVO Solar applies the rate automatically.
Qualifying households
Warm Homes: Local Grant
WH:LG is the consumer-facing route under the Warm Homes Plan umbrella. Solar PV (typically 3-6 kW) and battery storage (5-10 kWh) are commonly included in whole-home retrofit packages for qualifying households, particularly where the property starts at EPC D-G and the retrofit targets EPC C or above. The £30,000 per-property cap covers the full package, not solar alone.
Qualifying routes: EPC D-G + Council Tax A-D (England), means-tested benefits (Universal Credit, Pension Credit, etc.), or off-gas-grid status. Read the full WH:LG guide.
Discretionary
ECO Flex / LA Flex
Local Authority Flexible Eligibility allows councils to nominate households for energy efficiency funding outside the standard income or benefits criteria. Each council publishes a "Statement of Intent" listing the discretionary categories it will consider — typically including high heating costs, vulnerable household members, mental or physical health impacts of cold, or specific demographic factors. Solar can be included in the funded package where the retrofit assessor recommends it.
How to apply: search "[your council] LA Flex Statement of Intent" or contact your council's energy advice service. The route is worth checking even if you do not meet standard income criteria but face energy hardship.
Ongoing income
Smart Export Guarantee
SEG is not a grant — it's the Ofgem-regulated mechanism that requires licensed energy suppliers (over 150,000 customers) to offer a tariff for electricity you export to the grid. Every solar installation in 2026 should be enrolled on a SEG tariff. The economics of solar at this point depend more on the SEG rate you choose than on any upfront grant. See the dedicated SEG section below for current rates and best-tariff guidance.
The Smart Export Guarantee in detail
The Feed-in Tariff (FIT) closed to new applicants in March 2019. SEG launched in January 2020 as its successor — but the two work very differently. FIT paid a generous, government-set rate for both generation and export across a 20-25 year guaranteed contract. SEG pays only for export, at rates set commercially by individual suppliers, on tariffs that can change with as little as 30 days' notice.
For solar economics, this means: shop the SEG tariff like you shop your energy supplier. The rate matters as much as the panel cost when modelling payback.
SEG tariff types
Fixed
Fixed-rate SEG
A single flat rate per kWh exported, locked for the contract term (typically 12 months). Predictable income. Most suppliers offer fixed SEG tariffs in the 3p–15p/kWh range. Octopus Outgoing, EDF Export+, British Gas Export & Earn, OVO SEG, and E.ON Next Export are common comparison points.
Variable
Variable-rate SEG
Rates track wholesale day-ahead electricity prices. Higher in summer afternoons and winter early evenings when grid demand peaks; lower at night and weekend mornings. Octopus Agile Outgoing is the best-known. Variable can beat fixed by 20-40% on the right export profile — particularly for solar without battery, where export concentrates in midday peaks.
Current best SEG tariffs (2026)
| Tariff | Rate | Type | Notes |
|---|---|---|---|
| Octopus Outgoing Fixed | 15p/kWh | Fixed 12mo | Requires Octopus as import supplier |
| Octopus Agile Outgoing | Variable | Half-hourly | Can exceed 25p at peak; requires smart meter |
| EDF Export+ | 8-12p/kWh | Fixed | Available to all customers |
| British Gas Export & Earn | 6.4p/kWh | Fixed | Requires British Gas import account |
| E.ON Next Export | 5.5p/kWh | Fixed | Available to all customers |
| OVO SEG | 4-7p/kWh | Fixed | Requires OVO import account |
| Scottish Power SmartGen | 12p/kWh | Fixed | Requires Scottish Power import account |
Rates as of May 2026. Tariff terms change — verify current rates with the supplier before signing. Ofgem maintains a SEG league table at ofgem.gov.uk showing all eligible tariffs.
How to apply for SEG
- 1. Install MCS-certified solar PV (mandatory — non-MCS installations cannot enrol on SEG).
- 2. Have a smart meter installed if you don't have one — required for half-hourly tariffs like Octopus Agile.
- 3. Choose your SEG tariff. You can pick any SEG tariff regardless of who supplies your imported electricity for most fixed tariffs; variable tariffs and some fixed tariffs require you to also import from the same supplier.
- 4. Apply directly to the chosen supplier. You'll need: MCS certificate, MPAN number, smart meter details, bank account for payments.
- 5. Payments commence at the next billing cycle, typically within 1-3 months of approval.
Solar + battery economics
Adding battery storage to a solar PV install changes the SEG calculation. Without battery: ~50% of solar generation typically exports, paid at the SEG rate. With battery: export drops to 20-30% (you self-consume more), but self-consumption value rises (you offset import at 24p/kWh rather than exporting at 5-15p). On a time-of-use import tariff like Octopus Cosy or Agile, the battery can also arbitrage cheap-night-rate to peak-evening — adding another £150–£400 annual income on top of solar. Total system payback typically improves by 1-2 years with battery on the right tariff.
What's closed — and what replaced it
Three solar-relevant schemes have closed in the past few years. Most online guides still reference them as live. If you arrive at this page after seeing one of them mentioned elsewhere, here's the current state.
Feed-in Tariff (FIT) — closed March 2019
The original generous solar incentive. Paid both generation and export at high government-set rates across a 20-25 year contract. Closed to new applicants in March 2019. Existing FIT-accredited installations continue receiving payments until their contract ends. Successor: Smart Export Guarantee — pays only export, at lower commercial rates.
Home Upgrade Grant (HUG) — closed March 2025
Funded energy efficiency improvements including solar for off-gas-grid homes. HUG1 ran 2022-2023; HUG2 ran 2023-2025. Closed to new applications in March 2025. Successor: Warm Homes: Local Grant (WH:LG) — broader scope, similar off-gas-grid priority, locally-determined eligibility.
ECO4 — closed March 2026
The fourth Energy Company Obligation. Funded insulation, heating, and in some cases solar for low-income households. Closed to new applications in March 2026. Successors: WH:LG for whole-home packages, GBIS for insulation specifically, BUS for heat pumps.
Common misconceptions
What's not true
- "Free solar panels for all" — not real. No universal grant exists. Targeted schemes apply only to qualifying households.
- "You can still apply for FIT" — closed in March 2019. SEG is the successor for export income; there's no equivalent for generation payments.
- "The Boiler Upgrade Scheme covers solar" — no. BUS is heat pumps only. Combine with WH:LG if you want both funded.
- "ECO4 is still open" — closed in March 2026. WH:LG, GBIS, or BUS are the live routes depending on what you need.
- "Government solar grants" — usually misnamed. What people mean is targeted retrofit schemes that may include solar. WH:LG via your council is the direct route.
- "SEG rates are guaranteed for 20 years" — no. SEG tariffs run 12 months typically and can change. Compare rates annually.
Check your eligibility
The widget below queries your current EPC band against your postcode and routes you through Warm Homes: Local Grant eligibility. For SEG enrolment, no eligibility check is needed — your MCS-certified installer handles registration with your chosen supplier.
Warm Homes: Local Grant eligibility check
Postcode + EPC band + Council Tax band — indicative eligibility for whole-home packages including solar.
Key eligibility factors:
- Comprehensive energy upgrade
- Multiple measures
- Owner-occupier
Check your property against the live MHCLG EPC register to see your current band and every grant you qualify for — free, in under a minute.
Check your propertyNo current EPC on file? You'll need one to apply for WH:LG. Book an EPC via energyperformancecertificates.co.uk.
Check your solar funding options
Tell us your postcode and household situation. We'll route you to the relevant scheme — WH:LG via your council, an MCS solar installer for SEG enrolment, or both. Single-enquiry routing.
No multi-broker lead sales. Your details go to one matched specialist.
Frequently asked questions
What solar panel grants are available in 2026?
Four routes: 0% VAT on residential solar (universal, no application needed, runs to at least March 2027); Warm Homes: Local Grant including solar in whole-home retrofit packages for qualifying households; ECO Flex via local authority for discretionary nomination; and Smart Export Guarantee (not a grant, but the ongoing income from exported solar power).
What is the Smart Export Guarantee?
SEG is the Ofgem-regulated successor to the Feed-in Tariff. It requires licensed energy suppliers (over 150,000 customers) to offer a tariff for electricity you export to the grid. Each supplier sets their own rate — current 2026 rates range from 1p to 15p per kWh exported.
What are the best SEG tariffs in 2026?
Octopus Outgoing (15p/kWh fixed, requires Octopus as import supplier), Scottish Power SmartGen (12p/kWh), EDF Export+ (8-12p), British Gas Export & Earn (6.4p), E.ON Next Export (5.5p), OVO SEG (4-7p). Octopus Agile Outgoing can exceed 25p at peak times. Rates change quarterly — verify before signing.
Did I miss the Feed-in Tariff deadline?
Yes — FIT closed to new applicants in March 2019. Existing accredited installations continue payments through their contract term. Smart Export Guarantee is the successor for new installs.
Does the Boiler Upgrade Scheme cover solar?
No. BUS pays £7,500 specifically for replacing fossil fuel heating with a heat pump. Solar is not covered. But some Warm Homes: Local Grant packages combine heat pump + solar funding — worth asking your council's delivery partner.
Is the 0% VAT rate going to expire?
It runs until at least March 2027. Beyond that, the rate reverts to either 5% (reduced rate for energy-saving materials) or 20% — the policy decision has not been confirmed. On a typical 4kW install, the 0% rate saves around £1,000-£2,000.
Can I qualify for solar grants if I own my home outright?
Yes. Warm Homes: Local Grant qualification is based on property and household (EPC band, Council Tax band, income or benefits, off-gas-grid status), not mortgage status. Owner-occupiers and private tenants both apply via WH:LG.
Do I need an EPC to apply?
For WH:LG yes — your current EPC band is used to assess eligibility. For ECO Flex, the council determines requirements. For 0% VAT and SEG, no EPC needed.
Does battery storage improve the SEG economics?
Usually yes. Battery reduces export volume but increases self-consumption value (offsetting 24p/kWh import vs 5-15p export). On time-of-use tariffs like Octopus Cosy or Agile, the battery also arbitrages cheap-night-rate to peak-evening for another £150-£400/year. Whole-system payback typically improves by 1-2 years.
Can private tenants apply?
Yes, with landlord consent. WH:LG allows tenant applications where the landlord signs the works agreement. Social tenants apply through their landlord under WH:SHF. The 0% VAT applies regardless of who pays.
Are solar grants the same across the UK?
No — devolved schemes apply. Scotland: Warmer Homes Scotland and Home Energy Scotland. Wales: Nest scheme. Northern Ireland: NISEP. 0% VAT and SEG apply UK-wide regardless.
What was the Home Upgrade Grant and is it still available?
HUG funded energy efficiency in off-gas-grid homes 2022-2025. HUG2 closed March 2025. It has been superseded by Warm Homes: Local Grant. If you previously qualified for HUG but did not apply in time, WH:LG via your council is the live equivalent.
Related guides
Costs
Solar panel costs
What solar costs if you're paying out of pocket, by system size, plus payback analysis with SEG income factored in.
See costs →Up to £30,000
Warm Homes Plan
Up to £30,000 whole-home retrofit packages. The umbrella scheme that includes WH:LG for solar.
Read WHP guide →Export tariff
Smart Export Guarantee
SEG tariff comparison and the export economics in detail.
SEG guide →Storage
Solar battery storage
When battery improves payback, sizing, and tariff combinations.
Battery guide →All grants
All UK energy grants
Every live grant scheme — WH:LG, BUS, GBIS — with current eligibility criteria.
Grants hub →EPC
EPC ratings explained
Your EPC band determines WH:LG eligibility. How the bands work and how to check yours.
EPC guide →Check your solar funding routes
Start with the eligibility widget, or compare SEG tariffs at Ofgem's official league table.