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Guides2 April 20257 min readBy GL Solar

Cardiff Solar Incentives: Grants & Schemes in 2025

Going solar in Cardiff in 2025 is more financially attractive than ever. Between government grants, zero-rate VAT and the Smart Export Guarantee, Cardiff homeowners can significantly reduce the upfront cost and accelerate their payback period. Here's everything you need to know.

Important Note

Grant schemes and eligibility criteria change regularly. The information below is accurate as of April 2025. We always recommend contacting us directly to confirm current availability and your eligibility before making any decisions.

Available Schemes for Cardiff Homeowners

Smart Export Guarantee (SEG)

Active

Get paid for every unit of solar electricity you export back to the grid. Cardiff homeowners are currently earning 4p–20p per kWh depending on their energy supplier.

Eligibility
Any MCS-certified solar installation under 5MW. You must have a smart meter.
How to Apply
Apply directly to your energy supplier after installation. We provide all the MCS documentation you need.
Estimated Value
£150–£300/year

ECO4 Scheme

Active

Government-funded energy efficiency scheme that can cover the full cost of solar panels for eligible Cardiff households. Aimed at low-income and fuel-poor households.

Eligibility
Cardiff homeowners receiving certain benefits (Universal Credit, Pension Credit, etc.) or with an EPC rating of D, E, F or G.
How to Apply
Contact us — we can check your eligibility and manage the application process on your behalf.
Estimated Value
Up to £10,000 (full system cost)

Welsh Government Warm Homes Programme

Active

Welsh Government funding for energy efficiency improvements including solar panels. Available to owner-occupiers and private renters in Wales meeting income criteria.

Eligibility
Welsh residents with household income under £36,000 or receiving means-tested benefits. Property must have an EPC below C.
How to Apply
Apply through the Nest scheme (funded by Welsh Government). We can guide you through the process.
Estimated Value
Up to £25,000 for whole-house improvements

VAT Reduction on Solar

Active

Solar panel installations in the UK are currently zero-rated for VAT (0%), saving Cardiff homeowners around £500–£1,000 on a typical system. This applies to panels, batteries and installation.

Eligibility
All residential solar installations in the UK. No application needed — automatically applied.
How to Apply
Automatically applied by your installer. All GL Solar quotes include zero-rated VAT.
Estimated Value
£500–£1,000 saving on system cost

Boiler Upgrade Scheme (Heat Pumps)

Active

While not directly for solar, pairing solar with a heat pump qualifies for a £7,500 government grant. Many Cardiff homeowners are combining solar + heat pump for maximum savings.

Eligibility
Owner-occupiers in England and Wales replacing a gas or oil boiler with a heat pump.
How to Apply
Applied for by your MCS-certified installer. Ask us about solar + heat pump packages.
Estimated Value
£7,500 grant

Can You Stack Multiple Schemes?

Yes — in many cases you can benefit from multiple schemes simultaneously. For example, a Cardiff homeowner could:

Pay 0% VAT on their solar installation (saving ~£700)
Receive ECO4 funding if eligible (potentially covering the full cost)
Earn SEG payments for exported electricity (£150–£300/year)
Claim the Boiler Upgrade Scheme grant if adding a heat pump (£7,500)

What About the Old Feed-in Tariff?

The Feed-in Tariff (FiT) closed to new applicants in March 2019. If you already have a FiT agreement, you'll continue to receive payments until your contract ends. If you're installing solar for the first time, the Smart Export Guarantee is the current equivalent.

Existing FiT customers can still add battery storage to their system — and we can advise on how to do this without affecting your FiT payments.

Check Your Eligibility — Free

Our Cardiff team will check which grants and schemes you qualify for as part of your free consultation. No obligation, no pressure.