The cost of solar panels has dropped significantly in recent years, making them a more viable option for many homeowners. However, the initial investment is still relatively high, which can be a barrier for many people.

There are several different schemes available in the country, but it can be difficult to know where to start. This guide provides an overview of the main solar panel grants and funding options available in the UK. We’ll explain how to qualify for solar panel grants.

Solar panels are devices that capture sunlight and convert it into electricity. Solar panels consist of a series of cells that contain a photovoltaic material. When sunlight hits the cells, the photovoltaic material creates an electric field across the cell. The electric field causes electrons to flow through the material and generate electricity.

Solar PV gets its name because solar panels are made from photovoltaic cells, that are placed between layers of silicone. Essentially, solar PV is the generation of electricity using energy from the sun. Although, it might seem pointless to have solar panels in a location that does not always have sunny weather, modern solar panels produce electricity from daylight and do not require direct sunlight. However, on bright and sunny days, more electricity will be produced.

Solar panel grants are a type of financial incentive that can help offset the cost of installing solar panels. In most cases, solar panel grants in the country are provided by government agencies, while in other cases, they may be offered by utility companies or other organisations. This is intended to make solar power more accessible and encourage people to switch to renewable energy sources.

Typically, solar panel grants are awarded based on the solar installation size, with larger installations receiving more funding. Grants may also be awarded based on the specific purpose of the installation, such as providing power for low-income housing development.

The UK government has been phasing out its solar panel grants, and most programs no longer exist. The ECO4 and LA Flex programs are two of the few remaining programs that are still helping people install solar panels. These programs provide financial incentives to help offset the cost of installing solar panels, making them more affordable for homeowners and businesses.

These grants from the government are just one part of the overall effort to achieve net zero emissions in the energy sector by 2050. The government is also investing in other renewable energy sources, such as wind and hydro power to meet this goal.

You can get a grant for solar panels through the Government’s ECO scheme. The ECO scheme was implemented by the government, to help low-income households make home energy efficiency improvements. Not only is this scheme designed to help households reduce their carbon footprint, but it also intends to save people money on their energy bills.

The free solar PV grant under the UK Government’s ECO4 scheme remains available to homeowners and private tenants with specific eligibility criteria. The ECO4 Scheme, which is part of the ECO initiative, continues to offer funding to low-income, fuel-poor, and vulnerable households.

The scheme aims to help households reduce their carbon footprint and save on energy bills. The total funding available for those receiving government benefits is approximately £1.3 billion, and it is estimated that 6.5 million households are eligible for the scheme. The government’s objective is to make energy-saving improvements to 900,000 homes. However, a significant portion of this funding has not been claimed, leaving many lower-income households paying more than necessary for their energy bills.

The Energy Company Obligation (ECO) scheme has been in operation since 2013 and has helped many people reduce their energy bills and improve their homes’ energy efficiency. It provides free or discounted energy-saving measures to low-income and vulnerable households and those living in fuel poverty.

To date ECO has installed over 3.1 million energy efficiency measures in over 2.3 million homes, saving households an average of £1000 per year on their energy bills. The ECO is currently in its fourth phase (ECO4), which began in July and will continue until 2026. The UK government has committed £1 billion per year to the initiative.

The ECO3 and ECO4 schemes are very similar. However, the ECO4 program seeks to remove obligation thresholds and replace it with a buy-out mechanism. This means that any household or business that meets the criteria for the scheme will be eligible for funding, regardless of their income or whether they receive certain benefits.

The government has announced that it is removing some benefits that were previously available under ECO3 to better target low-income households. The benefits being removed include:

• Severe Disablement Allowance
• Disability Living Allowance (DLA)
• Carer’s Allowance
• Industrial Injuries Disablement Benefit
• Attendance Allowance
• Constant Attendance Allowance
• Personal Independence Payment (PIP)
• Armed Forces Independence Payment
• Mobility Supplement
• War Pensions

Under the ECO4 scheme solar panel grants are available to homeowners, landlords and tenants looking to reduce their energy bills. Grants are available up to install solar panels as well as other renewable technologies.

ECO4 is available to:

• Homeowners, landlords and private tenants
• Households with inefficient electric heating
• Households receiving income related benefits

The Local Authority Flexible Eligibility (LA Flex) scheme is an extension of the government’s Energy Company Obligation (ECO) scheme. The LA Flex makes it easier for councils and local authorities to expand the eligibility criteria for the ECO scheme in their areas.

Your Local Authority is responsible for defining the eligibility criteria for the scheme. This means that more people will be able to benefit from the scheme, which is great news for those who are not eligible for the ECO4 scheme. The wider eligibility criteria will also help to target those households that are most in need of support.

There are two main eligibility categories for Local Authority Flexible Eligibility (LA Flex): Low-income and fuel-poor households.

Low-income households have an annual income below 60% of the national median, and fuel-poor families spend more than 10% of their income on fuel.

Three routes to securing funding through the LA Flex scheme 

Low household income: Yearly household income of less than £31,000

Health: Health problems caused by living in a house that is cold; such as cardiovascular, respiratory and mobility issues, or immune-suppressed conditions.

Multi Eligibility: Having a property that is in energy bands E, F or G and meeting any two of the following criteria:

• House is in the LSOA 1–3 area.
• The householder receives a Council Tax rebate based on low income only.
• The householder is vulnerable to living in a cold home, as identified in the NationaI Institute for Health and Care Excellence (NICE) guidance.
• The Local Authority Delivery (LAD) scheme, which aims to support vulnerable and low-income households, has referred the householder.
• Members of the household receive free school meals.
• The household struggles with sustained debt on mortgage payments and utility bills, and has been advised to seek support from the local authority by the mortgage lender, the energy supplier or Citizens Advice.

The process for LA Flex to secure ECO funding is relatively simple. First, households must submit an application to the government agency that provides the funding. Once the application is approved, they will receive a grant that can be used to cover the costs of their project.