Pricing guide — 2026
How much do solar panels cost in 2026?
A typical 4kW solar panel system costs £6,200–£7,500 including 0% VAT in 2026. Larger 5-6kW systems cost £8,000–£10,500. Adding a battery adds around from £5,500. With annual savings of £400-£700, most systems pay back in 7-10 years.
System pricing
Solar panel system costs in 2026
The total cost depends on system size, panel brand, inverter type, and whether you add a battery. Here are typical ranges for Dundee installations.
| System | Typical cost | Annual output | Best for |
|---|---|---|---|
| 4kW (8-10 panels) | £6,200–£7,500 | ~3,400 kWh | 3-bed homes |
| 5-6kW (12-14 panels) | £8,000–£10,500 | ~4,500 kWh | 4-bed / heat pump |
| Solar + battery | £6,200–£7,500 + from £5,500 | ~3,400 kWh + storage | Max self-consumption |
Prices include 0% VAT and installation by MCS-certified partners. Actual quotes vary based on roof type, access, and component choices.
What affects price
What factors affect the cost of solar panels?
System size is the biggest factor, but panel brand, inverter type, roof complexity, scaffolding access, and battery inclusion all influence the final price.
System size
More panels means more generation but higher cost. A 4kW system is the most common choice for UK homes; larger systems suit homes with higher usage or heat pumps.
Panel brand and tier
Tier-1 brands (Longi, JA Solar, Trina, REC) cost more but offer better warranties and proven UK support. Budget panels may save upfront but degrade faster.
Inverter type
String inverters are standard and cost-effective. Microinverters or power optimisers add cost but perform better on shaded or complex roofs.
Battery inclusion
Adding a battery increases upfront cost by from £5,500 but can double your self-consumption rate and unlock grid arbitrage savings.
Roof complexity
Simple south-facing roofs are quickest to install. Multi-angle roofs, slate, or difficult access may add scaffolding and labour costs.
VAT rate
0% VAT applies to residential solar and battery installations until 31 March 2027, reducing the total cost significantly compared to the standard 20% rate.
Tax relief
How does 0% VAT affect solar panel costs?
0% VAT on solar panels and batteries runs until 31 March 2027. On a £6,200–£7,500 system, this saves around £1,100 compared to the standard 20% rate.
The UK government reduced VAT on residential solar and battery installations to0%, making solar significantly more affordable. The relief applies to the full installation — panels, inverter, battery, mounting and labour — for residential properties. The current rate runs until 31 March 2027.
All pricing on this page already includes the 0% VAT rate. There's nothing extra to claim — the saving is built into the quote you receive.
Source: GOV.UK, Ofgem, checked October 2026. VAT rules may change — confirm current rates at the time of installation.
Spreading the cost
Can I spread the cost of solar panels?
Yes — interest-free credit up to £30,000 is available, subject to status. See our solar finance guide for full details.
If paying upfront isn't right for you, interest-free credit lets you spread the cost over 2-5 years with no interest charges. A £6,200–£7,500 system over 36 months costs around £111/month — and your electricity savings partially offset this from day one.
See finance optionsCommon questions
Frequently asked questions about solar costs in 2026
How much do solar panels cost in 2026?
A typical 4kW system costs around £6,200–£7,500 including 0% VAT. Larger 5-6kW systems run £8,000–£10,500. Adding a battery adds from £5,500.
Has the cost of solar panels gone down in 2026?
Panel prices have continued to fall, but overall installation costs have stabilised due to labour and inverter pricing. The 0% VAT rate until March 2027 helps offset this.
What is the 0% VAT rate on solar panels?
Solar panel installations benefit from 0% VAT until 31 March 2027. This applies to panels, batteries, and installation costs for residential properties.
How much does a battery add to the cost?
A 9-10kWh battery typically adds from £5,500 to the system cost. Batteries also qualify for 0% VAT until 31 March 2027.
Are there any grants for solar panels in Scotland?
The main national grant schemes have closed, but interest-free credit up to £30,000 is available subject to status. Some local authority schemes may offer support — check with your council.
What size solar system do I need?
A 4kW system suits most 3-bed homes. Larger homes or those with heat pumps or EVs may benefit from 5-6kW. Your surveyor recommends the right size after assessing your roof and usage.
More answers at Scottish Energy Efficiency questions.
Last updated: 1 November 2026
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