Solar Panel Grants & Incentives

A complete guide to 0% VAT, the Smart Export Guarantee, government grants, and council schemes available to Wiltshire homeowners in 2026.

The financial case for solar panels in Wiltshire in 2026 is compelling — and it is made significantly stronger by a combination of government incentives, tax treatment, and export payments that collectively reduce both the upfront cost and the payback period of a typical installation. Understanding what is available, who qualifies, and how to access each scheme is important before you commit to any purchase.

The single most impactful financial factor for most homeowners is not a grant at all — it is the 0% VAT rate that has applied to residential solar installations since April 2022. On a typical 4-5kW system costing £6,000-£7,500, the absence of 20% VAT represents a saving of £1,200-£1,500 compared to what the same installation would cost at the standard rate. This zero rating currently runs until March 2027, which creates a clear time incentive to install before that date.

Beyond VAT, the Smart Export Guarantee provides ongoing income for the lifetime of your system. It is not a grant — it is a payment mechanism that requires energy suppliers above a certain size to offer export tariffs to eligible generators. The current rate of approximately 10.8p/kWh is modest compared to the value of self-consumed electricity (typically 24-28p/kWh), but for a well-sized system it contributes meaningfully to the financial case over the 25-year panel warranty period.

Government grant schemes — principally ECO4 and the Great British Insulation Scheme — are available but targeted at a specific demographic: lower-income households in properties with low energy efficiency ratings. If you meet the criteria, these schemes can cover a substantial proportion or even the full cost of a solar installation. If you do not meet the criteria, these schemes are not available to you — and any installer who suggests otherwise should be treated with scepticism.

Available Incentives in 2026

All available grants, schemes, and financial incentives for solar installation in Wiltshire and the South West.

0% VAT

Automatic

Solar panel installations are zero-rated for VAT. This applies to panels, inverters, battery storage (with solar), and installation. Automatic — no application required.

All Lumos Energy installations

Up to £2,000 saving

Active until March 2027

Smart Export Guarantee (SEG)

Get paid approximately 10.8p for every kWh of surplus electricity you export to the grid. Requires MCS certified installation. We handle registration.

Paid quarterly by your energy supplier

~£150/year income

Ongoing

Great British Insulation Scheme

For households with EPC D-G and income under £31,000. May cover solar panels as part of a wider insulation package. Contact your energy supplier to apply.

Check eligibility with your supplier

Grants up to £10,000

Active 2026

ECO4 Scheme

Energy Company Obligation scheme supporting fuel-poor households to install energy efficiency measures including solar panels. Apply through energy suppliers.

Apply via your energy supplier

Grants up to £20,000

Active 2026

Solar Together Wiltshire

Wiltshire Council's collective purchasing scheme for solar panels. Competitive prices through group bargaining. Register interest at wiltshire.gov.uk/solar.

Register at wiltshire.gov.uk

Group discount pricing

Registration open periodically

How Much Could the SEG Pay You?

Estimated cumulative Smart Export Guarantee income at 10.8p/kWh, assuming 30% of generated electricity is exported (a typical household figure).

System Size After 5 years After 10 years After 15 years After 25 years
4 kWp £270 £540 £810 £1,350
6 kWp £405 £810 £1,215 £2,025
8 kWp £540 £1,080 £1,620 £2,700

Figures are estimates based on current SEG rate of 10.8p/kWh. Actual income depends on your tariff, export percentage, and future rate changes.

Am I Eligible for Grants?

Check the criteria below. All three conditions must be met to qualify for GBIS or ECO4 grant funding.

EPC rating of D, E, F, or G

Check your EPC at the government register at find-energy-certificate.service.gov.uk

Household income under £31,000/year

Or receiving qualifying benefits (Universal Credit, Pension Credit, Child Tax Credit, etc.)

You own your property (or have landlord consent)

Tenants need written landlord consent. Some schemes available to social housing tenants.

If you meet all three criteria:

You may qualify for up to £20,000 in grant funding through ECO4 or GBIS. Contact us for a free eligibility check — we handle the paperwork.

Get a Free Eligibility Check

Grant Deadlines & Key Dates

Important timelines to be aware of when planning your solar installation.

March 2027

0% VAT ends

Current zero-rate VAT on solar panels and batteries expires. Installations before this date avoid 20% VAT.

March 2026

ECO4 review

The ECO4 obligation period is reviewed. Funding levels and eligibility criteria may change.

Ongoing

SEG payments

Smart Export Guarantee payments continue indefinitely for MCS-certified systems.

Ongoing

GBIS applications

Great British Insulation Scheme applications accepted on a rolling basis through energy suppliers.

The Smart Export Guarantee: What You Need to Know

The Smart Export Guarantee replaced the old Feed-in Tariff (FiT) scheme in January 2020. Unlike the FiT — which paid a generation tariff on all electricity produced and a separate export tariff — the SEG pays only for electricity you actually export to the grid. This distinction matters significantly for how you size and use your system.

Under the FiT, there was a financial incentive to generate as much electricity as possible regardless of whether you used it. Under the SEG, the economics reward self-consumption: using the electricity you generate directly is worth approximately 2.5x the export rate (24-28p/kWh used vs 10.8p/kWh exported). This means the optimal strategy for maximising financial return is to size your system to match your daytime consumption as closely as possible, run high-consumption appliances during the day, and consider battery storage to capture excess generation for evening use.

To qualify for the SEG, your system must be installed by an MCS certified installer and the panels must be certified under MCS. We handle all SEG registration on your behalf as part of every installation — you simply provide us with your preferred energy supplier and we complete the paperwork. SEG payments are typically made quarterly by your energy supplier directly to your bank account.

One practical note: the SEG rate is not fixed. Suppliers can change their rates, and while 10.8p/kWh is the current leading rate, it can go up or down. The figures in the SEG income table on this page assume the current rate holds — in practice, rates may improve as competition between suppliers increases, or they may decline if grid conditions change. The government is consulting on minimum floor rates to provide greater certainty. For the most current rates, Ofgem publishes a comparison of SEG tariffs at ofgem.gov.uk.

Solar Together Wiltshire: How It Compares

Solar Together is a group purchasing scheme run by Wiltshire Council in partnership with iChoosr. The principle is straightforward: by aggregating demand from many householders, the scheme negotiates a discounted price with a vetted installer. The scheme has run three times in Wiltshire, with 3,400+ registrations and approximately 8.9 MW of installed capacity across the county.

The scheme works by inviting residents to register interest, collecting demand, tendering to approved installers, and then presenting a fixed price offer to registrants who can accept or decline. There is no obligation to proceed at the registration stage. The prices are typically competitive, though the discount varies between rounds and depends on the volume of registrations.

The main considerations when comparing Solar Together prices with an independent quote are: Solar Together uses a single installer for a given round, meaning less flexibility on system specification; the price includes a group discount but may not account for property-specific complications that emerge at survey; and the customer relationship is mediated by the scheme rather than direct. We offer independent quotes that are consistently competitive with Solar Together pricing, and we have had customers compare both approaches and choose us on the basis of local knowledge, personalised specification, and direct accountability. The best approach is to register your interest in the next Solar Together round while also obtaining an independent quote — the comparison is informative.

Grants FAQs

Households in Wiltshire may qualify for the Great British Insulation Scheme (GBIS) or ECO4, offering grants up to £10,000 for properties with an EPC rating of D, E, F, or G and household income below £31,000. Wiltshire Council also runs the Solar Together bulk-buy scheme offering competitive group pricing, and has previously offered grants of up to £10,000 for qualifying households.

Yes. Solar panel installations have been zero-rated for VAT (0%) since April 2022. This applies to residential solar panels, battery storage (when installed alongside solar), and installation labour. The 0% rate is currently guaranteed until March 2027, saving you typically £1,000–£2,000 on a standard installation.

The Smart Export Guarantee (SEG) is a government-backed scheme that pays you for surplus electricity you export back to the grid. Current rates are approximately 10.8p per kWh. Your system must be MCS certified to qualify. All Lumos Energy installations are MCS registered, and we handle the SEG registration paperwork for you.

For government grant schemes like GBIS and ECO4, you generally apply through your energy supplier or an approved installer. We can advise you on eligibility at your free site survey. For the 0% VAT and SEG, no application is needed — these are automatic if you use an MCS certified installer like Lumos Energy.

Solar Together Wiltshire is a group purchasing scheme run by Wiltshire Council in partnership with iChoosr. The scheme pools buyer demand to negotiate competitive prices with vetted installers. Three rounds have completed with 3,400+ registrations and 8.9 MW of installed capacity. Lumos Energy offers independent quotes that are fully competitive with Solar Together pricing, with more personalised service.

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Our free site survey includes a full incentive review -- we'll confirm which grants you qualify for and ensure your system is correctly registered for the SEG.

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