Solar panels for business in the UK
Business solar panels typically cost £650-£1,100 per kWp installed and pay back in 4-7 years, then keep generating for 25 years or more. Whether you buy outright, finance the system or take a £0-upfront PPA, the starting point is the same: a feasibility review built on your actual electricity data.
Why businesses install solar panels
Cut daytime electricity costs
Electricity generated and used on site displaces power bought at your full import rate. For businesses with steady daytime load, that is the single biggest saving available without changing how you operate.
Fix part of your energy price for 25 years
Once installed, the marginal cost of solar generation is close to zero. Every kWh your roof produces is a kWh insulated from the next price spike or contract renewal shock.
Pay back in years, not decades
Well-matched UK commercial systems typically pay back in 4-7 years, then keep generating for 25 years or more. Full Expensing can shorten that further for profit-making limited companies.
Meet customer and tender requirements
Supply-chain questionnaires, public sector tenders and corporate net-zero commitments increasingly ask for evidence of on-site renewables. A monitored array is auditable evidence.
Three ways to pay for business solar panels
Buy outright
Highest lifetime return. Capex of indicatively £650-£1,100 per kWp, with capital allowances and Full Expensing reducing the effective cost for limited companies.
Asset finance or lease
Spread the cost over 5-10 years. In many cases the monthly finance payment is below the monthly electricity saving, so the system is cash-flow positive from year one.
Power Purchase Agreement (PPA)
£0 upfront. A funder installs and owns the array; you buy the power it generates at an agreed rate below your import price, typically for 10-25 years.
All figures are indicative UK ranges. Every project needs a site-specific review before any saving, price or payback is relied on.
Which businesses see the fastest payback?
Payback is driven by self-consumption: the more of your generation you use on site, the faster the system pays. These sectors consistently model well.
Where to read further
Frequently asked questions
How much do solar panels for business cost in the UK?
Indicatively £650-£1,100 per kWp installed, with the per-kWp cost falling as systems get larger. A 100 kWp system typically lands around £75,000-£90,000; a 250 kWp system around £180,000-£220,000. Every quote needs a site-specific survey.
How much can a business save with solar panels?
Savings depend on how much of the generation you use on site and what you currently pay per kWh. Businesses with strong daytime demand commonly offset a substantial share of their electricity bill; the feasibility model uses your actual half-hourly data to quantify it.
Is my business suitable for solar panels?
The strongest candidates own or long-lease their premises, have a roof in reasonable condition, and use most of their electricity during daylight hours. High-consumption sites such as warehouses, factories, cold stores and leisure facilities tend to see the fastest payback.
Can a business get solar panels with no upfront cost?
Yes. A Power Purchase Agreement funds the installation entirely; you simply buy the electricity it generates at a rate below your grid price. Asset finance and lease structures also spread the cost without a large upfront payment.
Do business solar panels need planning permission?
Most rooftop arrays in England are permitted development, but listed buildings, conservation areas and ground-mounted systems are common exceptions. A quick site-specific check at feasibility stage removes the uncertainty.
What grants are available for business solar panels?
There is no single national grant for commercial rooftop solar. The meaningful support is capital allowances and Full Expensing, occasional regional or sector schemes, and finance structures that remove the upfront cost. Our grants and funding page sets out what is actually claimable.
Find out whether solar works for your business
Tell us about your premises and electricity use. We will outline a suitable system size, likely savings and payback, plus the funding routes that fit your priorities. Prefer to explore numbers yourself first? Run the calculator or contact us directly.
- Indicative cost and annual saving
- Outright purchase, finance and PPA compared
- Payback based on your business profile