How Much Do Solar Panels Save in the UK?

SEAB Group Ltd
Dec 11
2 min read

With energy prices staying high and more homeowners looking for long-term solutions, solar panels have become one of the most effective ways to save money on electricity bills. But how much can solar actually save the average UK household in 2025? Here’s a clear, realistic breakdown.

How Solar Savings Work

Your annual savings depend on a few key factors:

Your electricity usage
The size of your solar system
Roof direction and sunlight
Whether you add a solar battery
Export payments under the SEG (Smart Export Guarantee)

On average, a well-designed solar system can reduce household energy bills by £600–£1,100 per year, depending on usage and system size.

Typical Annual Savings for UK Homes

Without a Solar Battery

A solar-only system will directly power your home during the day. You typically use 40–50% of the solar energy you generate.

Average yearly savings:

£400–£700 for most UK households
With a Solar Battery

A battery stores unused solar energy for evenings and nights - when most families use the most power.

You can use 70–80% of the energy your system generates.

Average yearly savings:

£700–£1,300

Adding a battery usually increases your savings by £250–£600 per year.

Smart Export Guarantee (SEG) Payments

Any extra energy you don’t use or store can be exported back to the grid for money.

Typical SEG rates: 2–15p per kWh
Average export income: £80–£180 per year

Solar Panel Payback Period in the UK

The “payback period” is how long it takes for your energy savings to cover the cost of installation.

Average payback periods:

Solar only: 6–9 years
Solar + battery: 8–12 years

Because panels last 25+ years, everything after the payback period is essentially free electricity.

Do Solar Panels Increase Home Value?

Yes - multiple UK property reports show that solar can increase the value of a home by:

3–8%, depending on location and system size

Buyers like lower running costs, making solar-equipped homes more attractive.

Are Solar Panels Worth It in the UK?

Absolutely. Even in cloudy British weather, modern systems generate enough electricity to create significant, long-term savings.

Solar panels are especially worth it if:

Your home has a south, southeast or southwest-facing roof
You plan to stay in your home long-term
Your energy usage is medium to high
You want protection from rising energy costs

Final Thoughts

For most UK homeowners, solar panels offer:

Lower energy bills
Long-term savings
More control over energy usage
Reduced carbon footprint
Higher property value

It’s one of the best home improvements with both financial and environmental benefits.

Book a Free Solar Assessment

SEAB Group provides free consultations, tailored system designs, and accurate savings forecasts for your home. Contact us today to find out how much you could save.