How Much Do Solar Panels Actually Save You?

With energy prices continuing to put pressure on household budgets, many homeowners are looking for ways to reduce their electricity bills. Solar panels have become one of the most popular long-term solutions, but one question always seems to comes up: how much can solar power save you?

The answer depends on your home, your energy usage and whether you choose to install battery storage, with recent research showing that for many UK households, solar panels can deliver significant savings over their lifetime while reducing reliance on the National Grid.

Why Are Energy Bills So Expensive?

Your electricity bill is based on the amount of power you use from the Grid. This means your costs are influenced by wholesale energy prices, supplier tariffs and other charges that are largely outside of your control.

By installing solar panels, you can generate your own electricity from daylight rather than purchasing all of your energy from your supplier. This reduces the amount of electricity you need to import, helping to lower your monthly bills.

If you also install battery storage, you can save any unused electricity generated during the day and use it later, such as during the evening or when electricity prices are higher.

Rather than relying entirely on the grid, solar gives you greater control over how your home is powered.

How Do Solar Panels Save You Money?

Solar panels work by converting daylight into usable electricity for your home.

The process is straightforward:

Your solar panels generate electricity during daylight hours.
That electricity powers your home’s appliances and electrical systems.
Any unused electricity can either be stored in a battery or exported to the grid.
Stored energy can then be used later, helping to reduce the amount of electricity you buy from your supplier.

Without a battery, many households typically use around 20-40% of the electricity their panels generate, with the remainder exported back to the grid.

By adding battery storage, homeowners can often increase this to around 60–80%, allowing them to make much better use of the energy they generate and further reduce their electricity bills.

How Much Could You Save?

Research from the MCS Foundation’s 2024 Future Homes Savings Report highlights the potential financial benefits of installing solar panels on new-build homes.

According to the report:

A typical semi-detached new-build home with solar panels could save more than £1,000 per year on energy bills.
Adding battery storage could increase those savings by around £300 annually.
Over a typical 25-year mortgage, a three-bedroom semi-detached home could save up to £38,811.
A terraced property with solar panels and battery storage could reduce average monthly energy bills to around £24.
Depending on the size and type of property, total savings over 25 years range from £7,990 to £58,798.

These figures demonstrate how investing in solar can provide both immediate reductions in energy costs and substantial long-term financial benefits.

Average Annual Energy Costs

These figures are based on the MCS Foundation’s 2024 Future Homes Savings Report and relate to new-build homes designed to modern energy efficiency standards.

What Affects Your Solar Savings?

Every property is different, which means the amount you can save will vary depending on several factors.

These include:

The direction and pitch of your roof.
Any shading from nearby buildings or trees.
The size and efficiency of your solar PV system.
Whether battery storage is installed.
Your household’s electricity usage throughout the day.

Homes with south-facing roofs and minimal shading generally achieve the highest electricity generation, while battery storage allows you to use more of the electricity you produce instead of exporting it.

Get a Personalised Estimate

Average savings are useful as a guide, but every home is unique.

The best way to understand what solar could save you is through a personalised assessment that considers factors such as:

Your property’s location.
Roof size and orientation.
Current electricity usage.
Your household’s energy habits.

A professional solar survey can provide a much more accurate estimate of both installation costs and potential long-term savings.

Are Solar Panels Suitable for Older Homes?

Absolutely. While the figures above are based on new-build properties, many older homes can also benefit massively from solar panels.

If your roof is suitable and your property has reasonable levels of insulation, solar can still significantly reduce your electricity bills. Many homeowners choose to combine solar with other energy efficiency improvements to maximise their overall savings.

Are Solar Panels Worth It?

For many homeowners, the answer is yes.

Solar panels can reduce your dependence on the National Grid, lower your electricity bills and provide long-term savings that often outweigh the initial installation cost. When paired with battery storage, they can also help you make far better use of the renewable electricity your system generates.

At Eden Power, we design and install solar PV systems tailored to your home’s energy needs. Whether you’re looking to reduce your bills, increase your energy independence or invest in a more sustainable future, our experienced team can help you find the right solution.

If you’re interested in installing solar panels onto your property in Shropshire, Telford, Shrewsbury, Hereford, Ludlow or surrounding areas, don’t hesitate to get in touch.