# 0% VAT on Solar Ends 31 March 2027 | Eco Solar

> HMRC's 0% VAT rate on solar panels and batteries in homes runs until 31 March 2027. What it covers, what it doesn't, and how the timing affects a Derby install.

URL: https://ecosolarpanelsderby.co.uk/blog/zero-vat-solar-ends-march-2027/

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# 0% VAT on home solar and batteries ends on 31 March 2027

[Eco Solar Panels UK](https://ecosolarpanelsderby.co.uk/) fits solar panels and batteries across Derby. The 0% VAT rate on home installs has a fixed end date, and this post sets out what HMRC's rules say.

Published 30 September 2026 · By Eco Solar Panels UK

## What HMRC’s notice says

HMRC applies a zero rate of VAT to installing certain energy-saving materials from 1 May 2023 to 31 March 2027 ([HMRC VAT Notice 708/6](https://www.gov.uk/guidance/vat-on-energy-saving-materials-and-heating-equipment-notice-7086)). The materials include solar panels and batteries for storing electricity.

The relief applies to installations in residential accommodation, and to buildings used solely for relevant charitable purposes. Business premises are not covered, so commercial solar is charged VAT at the standard rate.

## Batteries count too

The notice covers batteries fitted as part of a new solar system, and it also covers retrofitting a battery to store electricity from existing solar panels. HMRC also says that from 1 February 2024, stand-alone electrical storage batteries installed in homes qualify for the zero rate.

## Why the date matters

The zero rate is set to end on 31 March 2027. If it does, a home installation after that date would be charged VAT at whatever rate then applies. On a system at Checkatrade’s Derby average of £9,831, the difference between 0% and a standard rate would be a large sum.

What counts is when the work is done and supplied under HMRC’s rules, not when you first ask for a quote. If you are planning an install or a battery, allow time for the survey, any planning check, ordering equipment and the grid notification.

## Checking your quote

A quote for a home install before the end date should show VAT at 0%. If it shows VAT at the standard rate for a home, ask why. [Is this a good solar quote?](https://ecosolarpanelsderby.co.uk/guide/check-a-solar-quote/) has a full checklist, and [how much solar panels cost in Derby](https://ecosolarpanelsderby.co.uk/guide/solar-panel-cost-derby/) sets out the published prices.

Sources

-   [HMRC VAT Notice 708/6: energy-saving materials and heating equipment](https://www.gov.uk/guidance/vat-on-energy-saving-materials-and-heating-equipment-notice-7086)

## Related guides

-   [Decision Guide How much do solar panels cost in Derby?](https://ecosolarpanelsderby.co.uk/guide/solar-panel-cost-derby/)
-   [Decision Guide Are there solar panel grants in Derby?](https://ecosolarpanelsderby.co.uk/guide/solar-panel-grants-derby/)
-   [Decision Guide Is this a good solar quote?](https://ecosolarpanelsderby.co.uk/guide/check-a-solar-quote/)
-   [Decision Guide Is a home battery worth it without solar panels?](https://ecosolarpanelsderby.co.uk/guide/home-battery-without-solar/)

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