Business Grants for Commercial Solar Panels | UK Solar Funding & Incentives

Business grants and financial incentives play an important role in improving the viability of commercial solar panel installations. Various UK schemes can reduce upfront capital costs, improve cash flow, and shorten payback periods for businesses investing in solar energy.

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    Business Grants for Commercial Solar Panels

    Installing commercial solar panels represents a significant capital investment. Grants, incentives and tax relief help reduce initial costs — improving the business case, shortening payback periods, and supporting long-term energy cost reduction and sustainability objectives.

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    50kWp

    from £34,995

    Save around £15,000 per year for your typical Office building.

    100kWp

    from £69,995

    Save around £30,000 per year for your typical Warehouse.

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    Available Grants for Commercial Solar Panels in the UK

    A number of grants and funding mechanisms are available to support UK organisations investing in commercial solar panels. Availability and eligibility vary by scheme, sector and location, but the options below represent the most relevant routes for businesses and public sector bodies.

    Smart Export Guarantee (SEG)

    The Smart Export Guarantee (SEG) is a government-backed mechanism that allows organisations to receive payment for surplus electricity exported to the national grid from a solar PV system.
    Solar is one of the easiest ways to add value to existing infrastructure.

    • Eligibility: Commercial solar panel systems with a capacity of up to 5 MW are eligible, provided they meet technical and metering requirements.
    • Payments: Licensed electricity suppliers with more than 150,000 customers are required to offer at least one SEG tariff. Export rates vary by supplier and contract terms, so comparison is recommended.
    • Benefits: SEG provides an ongoing export revenue stream that can contribute to overall project returns and help offset operational costs over the system’s lifetime.

    Local Authority Grants and Regional Funding

    In addition to national schemes, some local authorities and regional bodies offer funding to support commercial solar installations.

    • Eligibility: Criteria vary by region and scheme, often targeting small and medium-sized enterprises (SMEs) or specific sectors.
    • Funding levels: Grant values, match-funding requirements and application windows differ between local authorities.
    • Benefits: Local grants can help reduce initial capital requirements and improve project viability where national schemes may not apply.

    Salix Finance

    Salix Finance is a government-funded organisation that supports energy efficiency and low-carbon projects within the public sector.

    arehouses require continuous lighting, heating, and cooling. Solar PV can power high-bay lighting, HVAC systems, and ventilation, cutting one of the largest operational expenses.

    • Eligibility: Public sector organisations, including schools, NHS trusts, universities and local authorities.
    • Funding: Interest-free loans covering up to 100% of eligible project costs, including solar PV installations.
    • Repayment: Loans are repaid from the energy cost savings generated by the project.
    • Benefits: Enables public sector organisations to deploy solar panels without upfront capital expenditure, while reducing long-term energy costs and carbon emissions.

    UK Shared Prosperity Fund (UKSPF)

    The UK Shared Prosperity Fund was established to support economic development, productivity and sustainability across the UK. In some regions, UKSPF funding has been allocated to programmes that support low-carbon technologies, including commercial solar panels.


    Access to UKSPF-backed funding depends on local delivery bodies and programme priorities. Businesses should consult regional growth hubs or local authorities to determine whether relevant solar or decarbonisation funding is currently available.

    Discuss Funding Options for Your Commercial Solar Project

    Enquire today to understand how grants, incentives and export tariffs could reduce project costs and support long-term value from a solar installation.

    Future Power Team Ltd is an Introducer Appointed Representative (Financial Services Register No. 934744) of Phoenix Financial Consultants Limited (Phoenix).
    Phoenix is a credit broker, not a lender. Phoenix is authorised and regulated by the Financial Conduct Authority (FRN: 539195), and offers finance from its panel of lenders. All finance subject to status and credit checks.