Government proposes major VAT hike for domestic solar installations

Madeleine Cuff
clock

Proposal to boost VAT rate from five per cent to 20 per cent likely to add £900 to the average cost of domestic solar projects, say campaigners

HM Revenue and Customs (HMRC) yesterday proposed a major tax hike for domestic solar panels and other green energy installations, after the EU ruled earlier this year the current level violated its laws....

To continue reading this article...

Join BusinessGreen

In just a few clicks you can start your free BusinessGreen Lite membership for 12 months, providing you access to:

  • Three complimentary articles per month covering the latest real-time news, analysis, and opinion from Europe’s leading source of information on the Green economy and business
  • Receive important and breaking news stories via our daily news alert
  • Our weekly newsletter with the best of the week’s green business news and analysis

Join now

 

Already a BusinessGreen member?

Login

More on Solar

E.ON launches 'UK-first' trial to 'share' solar power via household smart meters

E.ON launches 'UK-first' trial to 'share' solar power via household smart meters

Community energy pilot taking place in East London will show how locally generated solar power can be shared virtually with nearby homes

clock 04 August 2025 • 3 min read
RWE gets green light for 180MW solar and battery storage project

RWE gets green light for 180MW solar and battery storage project

Once operational Stockton project could provide clean power for up to 70,000 UK homes

clock 24 July 2025 • 3 min read
HDM Energies and Paragon launch £100m solar PPA scheme for SMEs

HDM Energies and Paragon launch £100m solar PPA scheme for SMEs

New scheme designed to provide smaller businesses with access to solar power with no upfront costs, allowing them to benefit from fixed discounted rates for over a decade

clock 23 July 2025 • 2 min read