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The average cost of solar panels in the UK, including installation and a battery, ranges between £6,200 and £12,000 depending on the size of your household.
For a 3-bedroom house in the UK:
Backed by our survey of over 2,000 solar panel owners*, we explain the factors that influence the overall cost of solar panels in the UK, how to find deals on the best solar panels, and what assistance you might be eligible for.
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The average home can save more than £1,100 every year with solar panels!
According to the latest UK government data[1], the cost of solar panels in the UK is at its lowest level in almost 2 years. In fact, between March 2023 and 2024, the median cost per kilowatt (kW) for a 0 to 4kW solar panel system has dropped more than 20 per cent.
Combine that with the falling costs of solar battery storage, and the fact the energy price cap rose 10 per cent in October 2024[2], you’ll find that now is a great time to get solar panels in the UK.
The table below gives the average cost of a solar panel system according to property and system size, as well as how much money you could save annually and over 25 years.
| Property size | System size | Number of 375W panels | Estimated cost of solar panels and installation | Estimated cost of solar battery storage | Total cost of solar panel installation, with battery |
|---|---|---|---|---|---|
| 1 bedroom | 1.5kW | 4 | £5,200 | £1,000 | £6,200 |
| 2 bedrooms | 3kW | 8 | £6,200 | £2,000 | £8,200 |
| 3 bedrooms | 4.5kW | 12 | £7,100 | £2,500 | £9,600 |
| 4+ bedrooms | 6kW | 16 | £8,000 | £4,000 | £12,000 |
Source: Federation of Master Builders. Based on FMB’s solar panel costs calculator.
The actual cost of your solar panels will depend on a number of factors, including:
While your installer will usually determine the system size necessary for your property and energy requirements, it’s good to know exactly what you’re paying for when you buy solar panels.
Below, we’ve broken down the different elements of a solar panel system, what they do, and how much each part costs.
Solar panels usually make up about a third of the total cost of the project. So if you live in a 3-bedroom house, and pay £7,100 for your system and installation, you can expect the cost of your solar panels specifically to be around £2,400. However, the actual price depends on the efficiency, power and brand of your solar panels.
More efficient panels are typically costlier but can produce more electricity from the same amount of sunlight. This means you might need fewer panels overall.
The same is true of more powerful panels – the higher the wattage of the panel, the more expensive it’ll be, but the fewer you’ll need.
There are 3 main types of solar panel cells commonly used on residential and commercial properties. Which one you end up with will affect the cost of your solar panel system:
| Type of panel | Efficiency | Average price per watt |
|---|---|---|
| Monocrystalline | 15 to 20% | £1 to £1.50 |
| Polycrystalline | 13 to 16% | £0.90 to £1.00 |
| Thin-film | 10 to 13% | £0.40 to £0.80 |
Installation, labour and mounting costs (meaning the mounting system needed for the panels and the scaffolding that will surround the site) can vary widely, but as a guideline, they account for around 10–20 per cent of the overall system cost. For example, if you pay £7,100 to install a 4.5kWh system, your solar panel installation costs could range between £710 and £1,420.
Factors that might affect your solar panel installation costs include:
Where you live in the UK will also impact the cost of your solar panel installation. For instance, you can expect to pay higher installation costs in London than in other areas of the country. However, you should still shop around and get as many quotes as you can to find the best deal.
While it is possible to DIY your own solar panel system, we don’t recommend it. Opting to work with experienced labourers and installers ensures the system is set up correctly and mitigates risks to security and safety. Other disadvantages of self-installation include not benefitting from a manufacturer’s warranty and the fact that only MCS-certified solar panel installations can sell surplus energy back to the national grid.
Solar batteries are an optional part of a solar system, but they can help you save even more money. If you opt for solar batteries, this will make up about 22 per cent of the system’s expense. A battery suitable for a 3-bedroom home will typically cost around £2,500. It is normally cheaper to install a battery at the same time as your solar panel system, instead of on its own after the fact. And any increase to solar panel installation costs should be marginal.
As well as the above, there are a number of other factors that’ll make up the overall cost of your solar panels:
Most solar panel manufacturers offer a performance guarantee that the panels will produce at least 80–90 per cent of their rated power after 25 years. Workmanship warranties, provided by many installers, typically last 10 years and cover any defects or problems with the installation.
How much you can save on your electricity bills with solar panels depends on the size of the system, how you maximise your use of solar energy, and the cost of electricity.
For example, your potential savings are now on average 8.8 per cent higher following the rise in energy prices in October to December 2024, when compared to the previous quarter.
Below we detail how much you can save annually, your total savings over 25 years, and the profit you’ll have made at the end of that period.
Average solar panel savings based on system size
| Property size | System size | Total solar panel costs (including battery) | Approximate annual savings, including SEG payments, with a battery | Approximate savings after 25 years | Average solar panel profit after 25 years |
|---|---|---|---|---|---|
| 1 bedroom | 1.5kW | £6,200 | £335.17 | £8,379.25 | £2,179.25 |
| 2 bedrooms | 3kW | £8,200 | £669.93 | £16,748.25 | £8,548.25 |
| 3 bedrooms | 4.5kW | £9,600 | £888.83 | £22,220.75 | £12,620.75 |
| 4+ bedrooms | 6kW | £12,000 | £1,115.92 | £27,898 | £15,898 |
Source: Federation of Master Builders. Based on average figures across the UK (SEG isn’t available in Northern Ireland, and hasn’t been applied to calculations for that country), with someone at home for half the day. Ofgem unit rate data for October to December 2024.
The time it takes for the savings from your solar panel system to equal the initial investment is known as the payback period, or break-even point. This period can vary greatly depending on factors such as current electricity prices in your area, your household’s energy consumption and your system’s initial cost.
We estimate that the average payback period for solar panels in the UK is:
This means that, due to the energy price cap increase for October to December 2024, you can now pay back your solar panels 1.2 years quicker than you would’ve using electricity prices for July to September.
Since different areas of the country have varying electricity unit rates and hours of sunlight, your savings and break even point will also depend on where you’re based.
For example, a 3-bedroom home in Greater London would take around 9.9 years to pay back its solar panels – 2 whole years faster on average than the same home in Scotland.
| Location | Potential annual energy bill savings (with SEG and solar battery) | Payback period (if total costs are £9,600) |
|---|---|---|
| Northern Ireland | £821.00 (excl. SEG) | 11.7 years |
| Scotland | £809 | 11.9 years |
| Wales | £880 | 10.9 years |
| East Midlands | £871 | 11 years |
| East of England | £970 | 9.9 years |
| Greater London | £967 | 9.9 years |
| North East | £867 | 11.1 years |
| North West | £889 | 10.8 years |
| South East | £952 | 10.1 years |
| South West | £889 | 10.8 years |
| West Midlands | £873 | 11 years |
| Yorkshire and Humber | £878 | 10.9 years |
Source: Federation of Master Builders, based on someone at home for half the day using Ofgem unit rate figures for October to December 2024.
Although your upfront costs will increase, installing a battery alongside your solar panel system can help you save money in the long run as it enables you to store your excess electricity. You can then decide whether to sell it back to the grid, or use it to power your home. For example, the average 3-bedroom home in Great Britain could save an extra £341.40 a year by installing a battery alongside their solar panel system.
While you can export any excess energy you generate to the grid through the Smart Export Guarantee (SEG), currently, it’s best to use as much of the energy your panels produce in your own home. This is because the price you pay to use electricity is much higher than the money you’ll receive through most SEG tariffs. Therefore, the more solar energy you use, the more you’ll save on your bills, and the quicker you will pay back your initial investment.
You could even consider using a “time-of-use” tariff. This is when you are charged different rates for “peak” and “off-peak” usage hours; peak hours being times when more people are using energy, making it more expensive. Thanks to a solar battery, you could store the excess energy generated during off-peak hours and use it during those pricier peak periods, further cutting the cost of your energy bills. Just over half (50.10 per cent) of survey respondents with a solar battery said benefiting from time-of-use tariffs influenced their decision to install a storage system.
While the SEG scheme won’t match the unit rates you pay to import electricity, exporting your excess solar energy back to the national grid can still significantly increase your savings. Your total savings could exceed £25,000 over 25 years, if you opt to include a solar battery and register for SEG payments.
The average 3-bedroom house in the UK can expect the following solar panel costs:
“For electricity and gas, the prices were significantly increasing. The solar panel and battery system was the one I chose. It charges up during the daytime, and excessive kWs go to the national grid. It’s a 75 per cent saving in usage – a straightforward benefit.Since installation, prices for all electricity are down, and hardly anything is used. Even now in mid-February, there are days when we’re not using any [grid] electricity, the battery is charged up to 70 per cent, and it lasts until 10 or 11pm. As the days get longer, the savings are just going to get better, and it’s one of the best things I’ve ever done.”
There are a number of solar panel grants and schemes available to eligible households who wish to improve their property’s energy rating and reduce energy bills.
| UK grant or scheme | How much can you save? | Eligibility period |
|---|---|---|
| Energy Company Obligation 4 (ECO4) including LA Flex | If eligible, you can receive free solar panels (excludes Northern Ireland) | April 2022 to March 2026 |
| Home Upgrade Scheme (HUG2) | Up to £10,000, depending on your local authority | April 2023 to March 2025 |
| Solar Together | Between 10 and 25 per cent off the cost of your solar panels | Ongoing |
| Welsh Government Warm Homes Nest Scheme | If eligible, you can receive free solar panels | Ongoing |
| Zero per cent VAT | 20 per cent VAT on solar panels and installation costs (excludes Northern Ireland) | April 2022 to March 2027 |
Solar panel subscriptions enable customers to access solar energy without the large upfront cost. Schemes offered by installers such as Otovo and Sunsave allow you to spread the cost of your solar panels over 20 years. With Otovo, you own the panels at the end of the contract; with Sunsave, you own the system from day one.
An alternative is Effective Home’s Energy Shield, where panels are installed on your roof that you never own. Instead you buy the energy generated by those panels at a unit rate that is fixed every 5 years.
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Yes, solar panels are worth it for many homeowners. They reduce both your electricity bills and your carbon footprint, and in some cases, can also increase your property’s value.
Thanks to incentives such as solar panel grants, the SEG scheme and 0 per cent VAT on solar installations until 2027, solar panels are becoming increasingly more cost-effective. They can help shield you from future energy price rises, and will become more attractive the faster electricity rates climb.
However, if you’re planning to move home within the next 10 years, solar panels might not be worth it; solar panels are a long-term investment, and typically take more than a decade to pay off in full.
To assess the various costs of installing a solar panel system accurately, we used several reputable sources to assess the different components of a solar installation. These include the Energy Saving Trust (EST), Ofgem and the Microgeneration Certificate Scheme. We did our own market research, and our team is constantly speaking to industry experts to understand any changes in products and/or pricing.
1. Cost of a solar system
We based our calculations on the average price of a standard solar panel system according to the EST. This price includes the cost of the panels, installation and basic hardware. It doesn’t include a battery. We spoke to solar companies and installers to understand how much a battery would affect these prices.
2. System requirements and solar energy production
Your house size, annual energy consumption and other factors, such as your roof’s shade level and where you live in the UK, will determine which elements of a solar panel system your property requires. We used EST data to determine the cost of various solar system sizes. We used those to calculate potential savings, depending on your energy consumption. We verified this data against other sources and with trusted solar panel providers.
3. SEG payments and payback periods
We incorporated Ofgem data on SEG payments and savings into our calculations to give a clear picture of what panel owners could save and what the break-even point of their solar system would likely be if they used the scheme.
We also used data from Ofgem to predict how energy rates may change in the future. This helps show how the break-even point of solar panels changes depending on the current energy rate.
We cross-referenced our research against the MCS’s data, which references solar panel system installation across the UK and the average costs of installations over time. We combined this data with our market research and conversations with solar companies and installers. It’s worth noting that MCS data only relates to MCS-certified installations and doesn’t account for the price of a battery or any other additional costs.
*FMB survey of 2,004 solar panel owners, June 2024.
[1]Solar PV cost data, Department of Energy, Security and Net Zero, last updated 30 May 2024.
[2]Ofgem energy price cap, October 2024.
It can cost between £5,200 and £8,000 to get solar panels fitted in the UK, depending on the size of your home and your energy consumption. That price includes solar panels, as well as the cost of a solar panel installation.
A single solar panel can cost anywhere between £60 to £300. However, you typically buy solar panels as part of an overall system, which includes installation costs and other essential items such as an inverter. This means it’s better – and more accurate cost-wise – to compare quotes for an entire system rather than the price of a single solar panel.
Finding the cheapest price for solar panels involves research, comparison and consideration of various factors, such as upfront costs, installation costs, and long-term maintenance costs. Using FMB’s online quote form is a great place to start. It provides you with up to 5 quotes from our trusted solar panel installers, allowing you to compare the costs of each.
With so many solar panel providers, it can be difficult to determine which one is right for you, let alone who offers the cheapest panels. A good provider will offer a range of panels to suit different budgets, power outputs and unique features. In our research into the best solar panels, we found that Jinko provided the cheapest solar panels when looking at cost per panel.
Finding the best price for solar panels requires some research. You should consider the system’s longevity, efficiency and potential savings over time while comparing various quotes, as well as researching solar panel grants and other incentives. Read reviews and seek recommendations for both panels and installers to ensure you’re getting a quality product and service.
