The UK Warm Homes Loan Scheme for solar makes borrowing for solar panels cheaper. It supports lenders so they can offer lower-rate solar loans, with or without a home battery, to homeowners who want to spread the cost rather than pay it all upfront. It is part of the government’s Warm Homes Plan, the plan to 2030 for cheaper, warmer homes (GOV.UK: Warm Homes Plan).
Through UKEM, the Warm Homes Loan for solar is 4.6%APR Representative over up to 10 years, or 6.0%APR Representative over 15 years, with no deposit. Subject to status and affordability.
The Warm Homes Loan is a lower-rate loan supported by the government's Warm Homes Loan Scheme. This mark covers the Warm Homes Loan only, not our other finance options.
How the Warm Homes Loan Scheme for solar works
Most government help with home energy comes as a grant tied to benefits or income, and most of it leaves solar out. The Warm Homes Loan Scheme works differently. The government supports the lender, and the lender passes that on as a lower interest rate than it would normally charge. You still borrow the money and pay it back monthly, but each payment is smaller than it would be on a standard loan.
That makes it the part of the Warm Homes Plan built for ordinary homeowners: people who want solar, would rather not pay for it in one go, and would never qualify for a fully funded grant.
What a Warm Homes Loan pays for
Warm Homes Loan Scheme solar loans through UKEM cover up to £15,000 for:
- Solar panels on their own
- Solar panels with a home battery, fitted together as one system
It does not cover a battery on its own (including one added to existing solar), and it is not for a like-for-like replacement of a system you already have (swapping old panels for new ones, for example). The same scheme also covers air source heat pumps, where it works alongside the heat pump grant.
Who can get a Warm Homes Loan
The installer also has to be MCS-certified. UKEM is, so every system we fit qualifies on that point.
Solar panel finance: other ways to pay
The Warm Homes Loan is the lowest-rate way to spread the cost of solar over several years, but it isn’t the only option. Here is how our three solar panel loans and finance options compare.
| Warm Homes Loan | Pay Monthly Finance | 0% Interest Free Credit | |
|---|---|---|---|
| Rate | 4.6%APR Representative up to 10 years; 6.0%APR Representative over 15 years | 9.9%APR Representative | 0% |
| Term | Up to 15 years | 4 to 15 years | 12 or 24 months |
| Deposit | None | None needed | 25% |
| Solar panels only | Yes | Yes | No, needs a battery in the system |
| Solar with a battery | Yes | Yes | Yes |
All finance is subject to status and affordability. Our finance page has a representative example for each option.
A short 0% plan suits you if you can pay a deposit and clear the balance within two years. If you would rather keep monthly payments low over a longer term with nothing upfront, the Warm Homes Loan is the better fit. Either way, your panels start cutting your bills from the day they are switched on, and the Smart Export Guarantee pays you for the power you send back to the grid.
How to get a Warm Homes Loan for solar through UKEM
- Get your price. Our quote tool gives you a fixed price for a solar panel system or a solar and battery system.
- Apply. Choose the Warm Homes Loan with your quote. The lender checks eligibility, status and affordability.
- We install. Our MCS-certified engineers fit the system, and your monthly payments start after installation.
Finance is subject to status and affordability. UK Energy Management Group Ltd (FCA reference 1043484) is an Appointed Representative of Shermin Finance Limited (FRN 727594), which is authorised and regulated by the Financial Conduct Authority. Shermin Finance Limited acts as a credit broker, not a lender.
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