How 16% of homes with solar panels say the tech isn’t saving them money on their energy bills

Nearly one in five solar panel owners say installing these devices hasn’t helped them reduce their energy bills – and some have even seen costs increase.

Around 1.3 million UK homes are now fitted with solar panels, the main reason being to reduce energy bills by generating renewable electricity.

But a Halifax Bank study found that while 84 per cent of solar panel owners said the devices reduced their energy bills, 16 per cent did not.

Three percent of people with solar panels said their energy bills had increased, while 13 percent said it had made no difference.

This is despite the fact that 39% of solar panel owners say reducing their energy bills was the main reason for installing them.

Installing solar panels costs on average £7,000 for a typical 3.5 kilowatt-peak PV system.

The Halifax research did not establish why energy bills might increase after installing solar panels. Possible explanations are that households used more energy after installing solar panels, or that the devices did not work as expected.

More than half (56%) of homeowners surveyed said they had recently adapted their home, through measures such as adding insulation, double glazing or solar panels.

Those who have installed solar panels report great benefits, with the majority of those surveyed happy to have installed them.

Half saw an improvement in the energy efficiency of their home thanks to an updated EPC with an improved rating.

Energy Saving Trust estimates that savings of around £400-£500 a year could be made on energy bills by switching to solar.

Those who install solar panels can also benefit financially from excess energy, by receiving payments or returning energy to the grid under the Smart Export Guarantee.

Halifax has launched a £1,000 discount for those fitting solar panels with installer Effective Home, until April 21.

To be eligible, candidates must:

• Register details with Effective Home via the Halifax website by April 21, 2024.
• Take a virtual solar survey by Effective Home
• Pay a deposit of £500 and book a technical survey of the property within two weeks of receiving the quote.
• The £1,000 discount will be automatically applied to any quote from Effective Home

Ben Williams, Commercial Director at Effective Home, said: “Our recent research highlights growing interest among UK consumers in adopting solar panel technology, although the anticipated expense associated with installation remains a significant barrier for many.

“We believe this initiative will allow more homeowners to enjoy the significant benefits and cost savings that solar panels offer.”

Have you had solar panels installed in recent years? Let us know how you get on: editor@thisismoney.co.uk