Skip to content
CommercialSolarSurveys.com

Solar panels for care homes

A care home never closes, so much of its electricity is used while the sun is up: kitchens, laundry, lifts, lighting and hot water. That makes it a strong fit for solar. HMRC also treats homes providing care for the elderly or disabled as residential accommodation, so installing panels or a battery is zero-rated for VAT until 31 March 2027. Checked on 2 November 2026.

Why care homes use power all day

Many businesses empty out at 5pm. A care home is busy every day of the year, with staff on shift around the clock and much of the work done in daylight:

  • Kitchens: Breakfast, lunch and tea, every day, often with electric ovens, dishwashers and cold storage
  • Laundry: Washers and dryers running for much of the day
  • Lifts, hoists and equipment: Lifts, beds, call systems, medical and office equipment
  • Lighting and comfort: Communal areas lit and kept warm or cool, all year
  • Weekends: Use barely drops, so weekend output is used rather than exported

That steady daytime demand is what makes solar pay: panel output replaces electricity the home would otherwise buy. Our guide to half-hourly data explains how to see the home's own pattern before a survey.

VAT: care homes count as residential

HMRC's Notice 708/6 lists what counts as residential accommodation for the energy-saving materials relief, which covers solar panels and, since February 2024, batteries (Notice 708/6):

Care settings and VAT on solar, from HMRC Notice 708/6 (checked 2 November 2026)

Setting VAT on supply and installation
Homes providing care for the elderly, disabled people, or people who suffer or have suffered from drug or alcohol dependency or mental disorder Zero rate until 31 March 2027, then 5%
Children's homes Zero rate until 31 March 2027, then 5%
Hospices Zero rate until 31 March 2027, then 5%
Hospitals Standard rate, 20%

A group with a care home and a separate head office pays the standard rate at the office. Ask the installer to price each building separately. More in VAT on solar panels.

Roofs and sites

  • Purpose-built homes: Often have large pitched or flat roofs with few obstructions
  • Converted older buildings: May have complex roofs, dormers and chimneys; extensions and outbuildings can be simpler
  • Grounds and car parks: A ground array or a carport can work where the roof doesn't
  • Listed or conservation area buildings: Need planning checks first

The survey checks the roof structure, shading, where the inverters and cables can go and the electricity supply. See planning permission, flat roof solar and solar carports.

Keeping residents comfortable during installation

Installation is building work in a place where people live. Agree in writing before anyone arrives:

  • Working hours: Avoid mealtimes and quiet hours for noisy work
  • Access and scaffolding: Routes that keep fire exits, gardens and ambulance access clear
  • The switchover: A planned, short power-down at a time that suits the home, with care equipment covered
  • Who is on site: Contractor sign-in and supervision in line with your safeguarding policy
  • Paperwork: The construction health and safety requirements apply to the work

The handover file from the installer may form the health and safety file required under the Construction (Design and Management) Regulations (RC62, HSE). Tell your insurer before the work: see fire risk and insurance.

Batteries and resilience

A care home uses power through the evening and night too, so some homes look at a battery to store midday output. Two separate questions: whether a battery saves enough to pay for itself, and whether you want backup power in a cut. A grid-connected solar system is not a backup supply on its own. If resilience matters, ask the installer to design for it and keep your existing emergency arrangements. See commercial battery storage.

Paying for it

A care home business that buys the system can usually claim capital allowances. If capital is tight, a lease, a loan or a power purchase agreement spreads or removes the upfront cost: see paying for commercial solar. Great British Energy has funded some local projects through mayoral authorities, including rooftop solar on care homes on Merseyside, announced in July 2025 (GBE); check what your area offers.

Note: General information, not tax advice. Your accountant confirms the VAT position for your home.

Sources

HMRC Notice 708/6, RC62, the HSE and Great British Energy pages were read on 2 November 2026.

Frequently asked questions

Are solar panels worth it for a care home?

Care homes are occupied around the clock, so a lot of their electricity is used in daylight: kitchens, laundry, lifts, lighting, hot water and equipment. That is the kind of use solar replaces. Whether it pays depends on the roof, the size of the home and what it pays per unit, which a site survey works out from the home's own bills.

Do care homes pay VAT on solar panels?

Often not. HMRC's Notice 708/6 lists homes providing care for the elderly, disabled people, or people with drug or alcohol dependency or mental disorder, as well as children's homes and hospices, as residential accommodation for the energy-saving materials relief. Installing solar panels or a battery there is zero-rated until 31 March 2027, then 5%. Hospitals are standard-rated.

Will installation disturb residents?

There will be scaffolding, deliveries and some noise for the days the work takes, and a short planned power-down when the system is connected. Agree working hours, access routes, where materials are stored and how the switchover is managed with the installer before work starts, as you would for any building work.

Will solar keep the home running in a power cut?

Not unless it is designed to. A solar system connected to the grid is not a backup supply on its own. If resilience matters, ask the installer whether a battery with backup capability makes sense, and keep your existing emergency arrangements.

Are there grants for solar on care homes?

There is no national grant just for care home solar that we could confirm on 2 November 2026. Great British Energy has funded some local schemes through mayoral authorities, including rooftop solar on care homes on Merseyside announced in July 2025. Capital allowances can reduce tax for a care home business that buys the system.

Free, with no obligation

See what your business could qualify for

Find out which grants, tax relief (capital allowances) and finance options your business may qualify for, and roughly what solar could save. It comes from a free call with us and a free survey with one MCS certified installer.

Tell us about the site in under two minutes. We review every enquiry, call you to understand the building and your electricity use, and if the site looks suitable we arrange a free survey with one MCS certified installer matched to it. We match you with one of 130+ MCS certified installers across the UK, and only those who pass our checks.

  • On site or by video callWhichever suits the project and its stage.
  • Roof, structure, grid and energy useThe four things that decide whether solar works.
  • A clear proposalSystem size, cost range, savings and payback for your board.
  • One installer onlyYour details are not passed around a list of companies.

Want the detail first? Read how a survey works and what the survey includes.

See what your business could qualify for

Grants, tax relief and finance your business may qualify for, and roughly what solar could save. Six quick questions.

Step 1 of 7
Question 1 of 6: What kind of site is it?
Question 2 of 6: Do you own the building, or is it leased?
Question 3 of 6: Roughly what do you spend on electricity a month?
Question 4 of 6: Is this your first time looking into solar?
Question 5 of 6: When are you hoping to go ahead?
Question 6 of 6: What kind of survey would you like?
Where is the site, and who should we ask for?

Free site survey, no obligation. Your details go to one matched installer only.

See what you qualify for