Back in April 2022, Chancellor Rushi Sunak announced that there be no VAT to pay on solar panels and associated installations for the next five years. This was a welcome announcement for anybody considering installing a solar system on their house, not least set against the backdrop of increased energy prices. With wholesale prices of energy quadrupling in the past year, Ofgem then stated “The energy price cap will increase from 1 April for approximately 22 million customers. Those on default tariffs paying by direct debit will see an increase of £693 from £1,277 to £1,971 per year.”
Wow, those heady days of early 2022, when we thought we had seen it all. Since then, the political merry go-round keeps turning, with ever evolving situations in the Ukraine, China and Taiwan. These factors continue to push energy to the forefront of headlines around the world and has led to price increases throughout the supply chain.
0% VAT for solar and energy storage has never seemed so attractive. Since that 2022 announcement, we have continued to support businesses and homeowners to reduce their energy usage.
Of course, the 0% VAT incentive is only achievable when purchasing the equipment and installation through a VAT registered installer. Has this put off the self-installers and those with their own team of trades people? It seems not.
John in Scotland told us “I have access to an electrician who is happy to help me set up and with a possible £400 plus saving on my electricity bill a month, I just wanted to get on with it and not have to wait on a registered installer’s waiting list, whilst the equipment costs go up”.
However, a sizable proportion of our customers are not able or willing to take on such a significant task independently, and value the expertise, liability cover and peace of mind that comes with using an established installer. It’s worth the wait, for many. At iJo Power, we are constantly extending the reach of our preferred network, so if you are looking for an installer, we can put you in touch. We only put people in touch with installers who we have already worked with and who we trust to install your system to the highest quality. To see the standards expected of our installers, click here.
If you are considering reducing your energy bills and are interested in a system for your home, you can answer the questions in our online iJo Power Cost Calculator. It takes less than 2 minutes, giving you a quick and comprehensive guide to costs, and projected pay back period. We can then setup a phone conversation or Zoom call with one of our solar experts, who will be able to answer any questions you may have and who can demonstrate the system to you – under no obligation and free of charge.