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Local Authority Solar Grants: Council Funding Guide

Updated 7 April 20268 min read
Local council office building representing local authority grant programmes

Beyond the headline national schemes like ECO4 and HUG2, some local authorities run their own solar funding programmes. These vary enormously by area and tend to be less well-publicised. Here's how to find out what your council offers and make the most of it.

Why Councils Get Involved

Local authorities have legal duties around fuel poverty, housing standards, and carbon reduction. While most of the heavy lifting on solar funding comes from national schemes (ECO4 until December 2026, and the Warm Homes: Local Grant from 2025), some councils go further with their own programmes. GBIS closed in March 2026 and HUG2 has been replaced by the Warm Homes: Local Grant. Reasons include:

  • Climate commitments: Many councils have declared climate emergencies and set net-zero targets, with household solar as part of their strategy
  • Fuel poverty duties: Councils have a responsibility to address fuel poverty in their area
  • Government funding: Some councils receive dedicated pots for energy efficiency beyond the main national schemes
  • Community energy initiatives: Partnerships with community energy organisations to deliver group-buying or solar co-ops

Types of Council Solar Support

Direct Grants

Some councils offer cash grants towards solar installation costs. These are typically:

  • £500–3,000 per household
  • Limited to specific postcodes or council tax bands
  • Subject to eligibility criteria (often income-based)
  • Available until the budget runs out

Interest-Free Loans

Council-backed loan schemes similar to Home Energy Scotland's model, where you borrow towards solar costs and repay at 0% interest over several years.

Group Buying Schemes

Councils partner with organisations like Solar Together or iChoosr to run collective purchasing programmes. By aggregating demand from hundreds of households, they negotiate bulk discounts with pre-vetted installers. Typical savings: 20–30% off standard retail prices.

These schemes run periodically — often once or twice a year — and are open to all homeowners in the council area regardless of income.

Council Tax Discounts

A small number of councils have trialled council tax rebates or discounts for households that install solar panels or achieve high EPC ratings. This is uncommon but worth checking.

LA Flex Referrals

Under ECO4's Local Authority Flex mechanism, your council can refer you to the ECO4 scheme even if you don't receive qualifying benefits. This isn't a council grant per se, but it's a council-facilitated route to free solar. Contact your council's energy efficiency or housing team to ask about LA Flex referrals.

Check whether you may qualify for funding with the eligibility checker below.

Grant and scheme eligibility

Check which UK solar grants and schemes you may be eligible for. This is a quick guide — always check the official scheme for full criteria.

ECO4 Scheme (Extended)

The Energy Company Obligation 4 (ECO4) scheme requires large energy suppliers to fund energy efficiency improvements for low-income and vulnerable households. Eligible measures include solar panels, heat pumps, insulation and heating upgrades. Private renters need landlord consent. The scheme was extended by 9 months beyond its original March 2026 end date.

Means-tested

Warm Homes Plan (National Framework)

Up to £15

The Warm Homes Plan is the government's flagship energy efficiency programme, published January 2026. It commits £15 billion to upgrade up to 5 million homes by 2030 and aims to lift 1 million families out of fuel poverty. The plan has three pillars: fully funded upgrades for low-income homes (via the Warm Homes: Local Grant), government-backed 0% interest loans for all homeowners (the Consumer Loan Scheme, launching April 2027), and renter protections. Eligible measures include solar panels, batteries, heat pumps, insulation and smart controls.

Means-tested

Boiler Upgrade Scheme (BUS)

Up to £7,500

Government grant of £7,500 towards installing an air source heat pump (ASHP) or ground source heat pump (GSHP) as a replacement for a fossil fuel boiler. New for 2025-26: £2,500 grants for air-to-air heat pumps and heat batteries. Applied for by your MCS certified installer, not directly by homeowners. Relevant to solar owners as solar combined with a heat pump creates a highly efficient low-carbon heating and energy system.

Zero-Rate VAT on Solar Installations

Since April 2022, solar panel installations, battery storage systems, heat pumps and other qualifying energy-saving materials installed in residential properties in Great Britain are subject to 0% VAT (down from 5%, and originally reduced from 20%). This is not a grant but a government tax relief that automatically applies to all eligible installations. Northern Ireland has different rules under the Windsor Framework.

Smart Export Guarantee (SEG)

Not a grant but guaranteed income — energy suppliers must pay you for electricity you export to the grid. Requires MCS-certified installation.

MCS required

Solar Together

Solar Together is one of the most established group-buying schemes, operating in partnership with multiple councils across England. Registration is free and there's no obligation to proceed. Check solartogether.co.uk to see if your council is participating in the current round.

How to Find Your Council's Solar Support

There's no single database of all council solar schemes, which makes this harder than it should be. Here's how to find out:

  1. Check your council's website — Search for "solar", "energy efficiency", "green homes", or "climate action" on your local council's site
  2. Call the housing or environment team — Ask directly whether the council offers any solar funding, grants, loans, or group-buying schemes
  3. Check Simple Energy Advice — The government's portal (simpleenergyadvice.org.uk) can sometimes flag local schemes
  4. Search "Solar Together [your council]" — To see if your area participates in group buying
  5. Contact your local Citizens Advice — They often know about locally available grants and support
  6. Ask local solar installers — Good local companies usually know about any council schemes in their area

Limited Budgets

Council solar schemes typically have fixed budgets that deplete quickly. Some have been fully subscribed within days of launching. If you find a scheme you qualify for, act immediately. Don't assume it will still be available next month. Sign up for your council's energy or sustainability newsletter to get early notification of new schemes.

Examples of Council Solar Initiatives

To give you an idea of what exists (though availability changes regularly):

Greater Manchester Combined Authority has run retrofit programmes including solar for social and private housing, funded through various government grants.

Bristol City Council has partnered with Bristol Energy Co-operative on community solar schemes and offered council-backed interest-free loans.

Cornwall Council has run solar programmes targeting off-gas-grid rural properties through HUG2 delivery.

London boroughs — Several London councils have run Solar Together rounds, and some offer additional top-up grants for lower-income households.

These are examples, not an exhaustive list. Your council may have something similar, or may have nothing beyond the national schemes.

Community solar installation on residential rooftops
Community energy schemes and group buying can deliver 20-30% savings on solar

Community Energy Schemes

Beyond council-run programmes, community energy organisations sometimes offer routes to affordable solar:

  • Community solar co-ops — You invest in shared solar arrays and receive returns
  • Community bulk-buy schemes — Similar to Solar Together but organised by local community groups
  • Rent-a-roof schemes — Largely phased out since the Feed-in Tariff ended, but some community energy models still operate

Community Energy England (communityenergyengland.org) maintains a directory of local groups.

Combining Council Support with National Schemes

In many cases, you can combine local council support with national schemes:

  • Use LA Flex to access ECO4 through your council
  • Stack a council grant on top of 0% VAT
  • Participate in Solar Together for the best price, then claim any available council rebate

Check the terms of each scheme — some prohibit stacking while others encourage it.

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What If Your Council Offers Nothing?

Many councils don't run their own solar programmes. If that's your situation:

20-30%

typical Solar Together discount

Find local options

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