By installing solar panels, an average UK household will break-even on the cost after 14.1 years and save 64% on electricity bills.
The costs and savings of installing solar panels depend on many factors including:
Where you live
How much electricity you use and when you use it
The size of your solar PV system
Electricity prices
How much you get paid for the solar energy you export to the grid
Solar panels are worth it if they generate enough electricity for your needs and if you plan to stay in the same place long enough to recoup the cost of installation. You’ll also be reducing your carbon footprint and protecting the environment by using renewable energy.
How many solar panels do I need?
An average one-bedroom house will need six solar panels, a three-bedroom house needs 10 panels, and a five-bedroom house will usually need 14 panels to generate around 46% of the household’s annual electricity usage.
House size | Solar PV System | No. of Panels | Energy Output |
|---|---|---|---|
1-2 bedroom | 2 kWp | 6 | 1,590 kWh |
3 bedroom | 3.5 kWp | 10 | 2,645 kWh |
4-5 bedroom | 5 kWp | 14 | 3,700 kWh |
How much do solar panels cost to install?
The average cost for installing a 4 kW solar panel or photovoltaic (PV) system is around £8,000. The cost of installing solar panels depends on the size of the system, the types of fittings needed, the price of an inverter, plus the cost of labour for installing and testing.
You can expect to pay between £300 and £500 per person, per day to install solar panels. It usually takes 1-2 days to install an average 4 kW system, so you can expect labour costs to be between £600 and £1,200.
Factors including the power efficiency, output and warranty on your solar panels can also drive up initial costs but increase the long-term savings on electricity.
Larger systems will cost more and take longer to install. Adding battery storage will also increase the cost of the initial installation but increase the amount saved on energy bills.
You can also sell excess energy back to the National Grid via the Smart Export Guarantee Scheme (SEG). But generally, you get a lower price per kWh for electricity that you generate through solar panels than you pay for energy that you consume.
How much power do solar panels produce?
Individual solar panels can typically produce between 200 to 450 kW of electricity per hour.
In the UK, a typical domestic solar panel system will consist of 10 to 14 panels which can generate 2,600 - 3,700 kWh of electricity per year. This is enough energy for the average 3 to 4 bedroom house.
The amount of power that solar panels produce depends on the type of panels, the location, size, orientation and angle of the solar panel system and how much sunlight they are exposed to.
How long do solar panels last?
Solar panels usually last between 25 to 30 years and most will still continue to produce electricity after this, but at a lower rate of efficiency. The latest models of solar panels could have a useful life of up to 40 years or more.
Solar panels will be covered by a manufacturer’s warranty for between 10 to 25 years with a guaranteed electricity production rate of 80% at 25 years. Modern solar panels degrade at a rate of around 0.2% to 0.3% each year.
Other components including inverters and batteries are typically covered for between 5 to 15 years.
Conclusion
As the cost of solar panels comes down and their efficiency, longevity and availability increases, the potential for long-term energy savings makes installation an attractive option.
By considering the factors in this guide – installation costs, the number of panels required, the amount of power they produce and that you consume, and how long they last, we hope we can help you make an informed decision about whether solar panels are a worthwhile investment.
As the UK embraces more renewable energy options, solar panels have the potential to reduce energy bills and contribute to a greener and more sustainable future.