0% VAT on Solar Panels: What It Covers and When It Ends

The 0% VAT rate on solar panels, battery storage and EV chargers is one of the most significant financial incentives for UK homeowners considering these upgrades. Here is exactly what it covers, what it does not cover, and when the rate is expected to change.

What Does 0% VAT Cover?

The UK's 0% reduced rate for energy-saving materials (ESMs) applies to the supply and installation of:

• **Solar PV panels:** Panels, mounting hardware, DC cabling, and inverter
• **Battery storage systems:** Battery unit, management system, AC or DC coupling equipment and cabling
• **EV charger units:** Supply and installation of a home EV charger as an energy-saving improvement at a residential property
• **Monitoring equipment:** Energy monitoring systems installed alongside ESMs

What Is NOT Covered?

• Scaffolding hired separately from the solar installation
• Consumer unit upgrades required purely for reasons unrelated to the energy-saving installation
• Works on commercial buildings — the 0% rate applies to residential dwellings only
• Stand-alone supply of materials without installation

When Does the 0% VAT Rate End?

The UK government confirmed the 0% rate on ESMs applies until at least March 2027. After that date, the rate has not been confirmed. The previous reduced rate was 5%.

The financial difference is significant on a typical installation: - 0% vs 20% standard rate on an £8,000 solar + battery job: saves £1,600 - 0% vs 5% reduced rate on an £8,000 solar + battery job: saves £400

Installing before March 2027 locks in the 0% rate.

How VAT Appears on Your Invoice

When Amppro Electrical provides a written quote, it is fully inclusive of 0% VAT — the price you see is the price you pay. On the installation certificate and invoice, the VAT treatment is documented correctly as required by HMRC.

If you receive a quote from any installer at 5% or 20% VAT for a standard domestic solar installation in 2026, this is likely an error. All qualifying domestic installations should be zero-rated.

For a fully itemised, 0% VAT-inclusive quote on solar panels, battery storage or an EV charger in Yorkshire, contact Amppro Electrical for a free survey.