A 2026 update on installation growth, new technology, funding and what it means for your home

Solar panel installation is having its biggest year in over a decade. More UK homes switched to solar in the first few months of 2026 than in any comparable period since 2012, and government data shows installation costs are falling even as demand climbs. Rising household energy bills, global fuel price pressure and a wave of new government support have combined to push solar firmly into the mainstream, rather than a niche upgrade reserved for early adopters. If you have been weighing up a solar PV installation for your own home, this is a useful moment to understand what has changed, what it means for your bills, and what to check before you choose an installer.

UK Solar Installations Hit a New Milestone

The UK passed two million total solar installations in March 2026, according to the Department for Energy Security and Net Zero. Total installed capacity reached roughly 22.3 GW by the end of April 2026, up over 11% year on year, with rooftop solar accounting for the vast majority of new systems.

March 2026 alone saw more than 27,600 new installations added in a single month, the strongest monthly total in more than a decade, and two-thirds of those were homes rather than commercial or ground-mounted sites. 2025 was already a record-breaking year, with around 269,000 installations completed across the UK, meaning a new rooftop solar system was fitted roughly every two minutes.

Rising energy bills, global fuel price volatility and falling equipment costs are the main drivers. Government figures show the average cost of buying and installing a solar PV system has dropped by up to 9%, while a typical rooftop system can save a household as much as £480 a year on electricity bills.

What’s New in Solar PV Technology

Panel technology has moved on quickly. A few developments are worth knowing about if you are comparing quotes or wondering whether to wait:

• Higher-efficiency panels: Monocrystalline panels remain the most reliable, cost-effective choice for most UK homes, and continued manufacturing improvements mean today’s panels convert more sunlight into usable electricity than those installed even three or four years ago.
• Perovskite-silicon tandem cells: Early commercial tandem panels are now reaching module efficiencies in the mid-20% range, well above standard monocrystalline output, though they remain a small share of the market while long-term durability data builds up.
• Smarter battery storage: Lithium iron phosphate (LFP) batteries have become the standard choice for home storage, valued for their safety profile, long cycle life and stable performance compared with older lithium-ion chemistries.
• Automated energy management: Smart monitoring and battery dispatch tools increasingly shift stored energy automatically to match tariff pricing, helping households get more value from every kWh they generate rather than just generating more power.

For most homeowners, the practical takeaway is that proven, well-tested monocrystalline panels paired with LFP battery storage remain the sensible choice today, while emerging technology continues to mature.

0% VAT and the Financial Case for Going Solar

One of the biggest incentives currently available is 0% VAT on the supply and installation of solar panels, batteries and related energy-saving materials for residential properties. This relief is in place until March 2027, meaning homeowners who install now avoid VAT entirely on qualifying solar and battery systems.

Alongside VAT relief, the Smart Export Guarantee (SEG) allows homeowners to earn payments for surplus electricity exported back to the grid, rather than losing it for free. Combined with falling installation costs, this has shortened typical payback periods and improved the long-term financial case for solar.

Financing has also become more accessible. Many households now spread the cost of a system through FCA-regulated finance providers, allowing solar and battery storage to be installed with manageable monthly repayments rather than a single upfront cost.

New-Build Homes and the Future Homes Standard

Policy is shifting too. The Future Homes Standard is set to require solar PV as a standard feature on new-build homes in England, reflecting a wider government target of at least 45 GW of UK solar capacity by 2030. Developers and housebuilders are already adjusting specifications ahead of this change, and it signals a long-term direction: solar is moving from an optional upgrade to a baseline expectation for new housing stock.

For existing homeowners, this shift matters too. As solar becomes more common in a neighbourhood, awareness grows, second-hand market data on solar-equipped homes improves, and confidence in the technology continues to rise.

Why Installer Standards Still Matter

With installation volumes at record highs, choosing the right installer is more important than ever. The Microgeneration Certification Scheme (MCS) sets the technical benchmark for solar PV and battery installations in the UK, and MCS-certified systems are typically required to access schemes such as the Smart Export Guarantee.

Beyond MCS, membership of a body such as RECC (Renewable Energy Consumer Code) provides consumer protection standards covering sales practices, contracts and complaints handling. When comparing installers, it is worth asking directly about certification status, installer experience, warranty terms and what happens if something goes wrong after installation.

A well-run installer should also be transparent about system design: panel orientation and shading, inverter sizing, battery capacity relative to household usage, and realistic generation and savings estimates based on your actual roof, rather than generic figures.

Battery Storage: Getting More From Every Panel

Battery storage has become a near-standard addition to residential solar rather than an optional extra. Storing excess daytime generation for use in the evening reduces reliance on grid electricity, and LFP battery chemistry has become the preferred option thanks to its stability, safety and longer working life compared with earlier battery types.

For households with higher evening electricity use, or those considering an electric vehicle, sizing a battery correctly alongside a solar PV system can significantly increase self-consumption and long-term savings, making the overall investment more effective than panels alone. Households charging an EV overnight, for example, often see the biggest gains from a correctly sized battery, since stored solar energy can offset a meaningful share of that charging cost rather than drawing entirely from the grid.

What to Expect From a Professional Installation

A properly managed solar PV installation should include a site survey to assess roof condition, orientation and shading, a clear system design matched to household energy use, transparent pricing with no hidden costs, and aftercare support once the system is live.

Long-term service cover is also worth checking. A comprehensive service plan covering monitoring, maintenance and component cover over the lifespan of a system gives homeowners confidence that their investment is protected well beyond the installation date, not just during the initial warranty period.

The Bottom Line

2026 is shaping up to be the strongest year on record for UK solar installations, driven by falling costs, 0% VAT until March 2027, improving battery technology and a clear government direction toward solar becoming standard on UK homes. For homeowners considering a solar PV installation, the fundamentals are stronger than they have been in years: proven technology, meaningful financial incentives, and a maturing installer market.

The key is choosing an installer who is transparent about standards, realistic about savings, and focused on a system designed around your home rather than a one-size-fits-all package.

Frequently Asked Questions

How long does a solar PV installation take?

Most domestic solar PV installations are completed in one to two days, including panel fitting, inverter setup and initial system testing. Battery storage can usually be installed alongside panels in the same visit, with commissioning and handover completed before the installer leaves site.

Will solar panels work on any roof?

Most roof types can support solar panels, but orientation, pitch and shading all affect output. South-facing roofs with minimal shading perform best, though east- and west-facing roofs can still generate significant savings, particularly when paired with battery storage that captures generation across the day rather than relying on a single peak period.

Is 0% VAT available on battery storage too?

Yes. The current 0% VAT relief covers qualifying battery storage as well as solar panels, whether installed at the same time as a new system or added later to an existing one, provided the installation is on a residential property and meets the relevant conditions.

Do I need MCS certification to get paid for exported electricity?

Generally, yes. Access to the Smart Export Guarantee normally requires the installation to be carried out to MCS standards, which is why checking an installer’s certification status and installation approach is one of the most important steps before signing a contract.

Thinking about solar for your home? EZECO’s team can talk you through system design, 0% VAT eligibility and finance options, with a 25-year all-inclusive service plan built in. Get in touch at ezeco.uk to book a survey.