Cost guide · Factory sector · Updated 12 May 2026

Factory solar panel cost in the UK (2026)

UK factories & manufacturers typically invest £110,000-£1,100,000 on commercial solar installations ranging from 150-1500 kWp. Sector-typical load profile delivers 80% self-consumption and payback in 2-4 years post-tax-and-grant.

Last reviewed 12 May 2026 3 min read By Sector cost guides

Factory solar cost snapshot

Typical system size150 – 1,500 kWp
2026 capex range£110,000 – £1,100,000
£/Wp£0.65 – £1.10 (size-dependent)
Self-consumption rate80% typical
Load patternhigh constant daytime industrial load
Best grant stackIETF (30-50% match) + Full Expensing (limited co) + SEG + REGO
Typical payback2-4 years post-tax-and-grant

Post-tax economics for factories & manufacturers

Capex (mid)£605,000
Full Expensing-£151,250
Net cost£453,750

For limited companies, 100% Full Expensing reduces effective net cost by 25% in year one. Partnerships and sole traders use AIA at their marginal income tax rate (typically 19-45%).

Factory grant stack in detail

UK factories & manufacturers typically access this combination:

Next steps for factories & manufacturers

  1. Read the full factories & manufacturers sector guide for grant stack, watch-outs and case studies
  2. Compare system sizes with the cost-by-size hub
  3. Run the free eligibility calculator for a personalised funding match
  4. Browse case studies for factory sector projects
Donovan Fawcett · Director, SEO Dons Ltd Twelve years in UK commercial solar SEO and grant advisory. Editorial policy & independence.
FAQs

Factory solar cost · FAQs

How much does factory solar cost?

At 2026 prices, UK factories & manufacturers typically invest £110,000-£1,100,000 on commercial solar installations of 150-1500 kWp. Net of 100% Full Expensing tax relief for limited companies, that's £82,500-£825,000.

What's the typical factory payback period?

Typical post-tax payback for UK factory solar: 2-4 years post-tax-and-grant. Strong self-consumption rates (80% typical for this sector) compress payback.

Which grants apply to factories & manufacturers?

The typical grant stack for UK factories & manufacturers: IETF (30-50% match) + Full Expensing (limited co) + SEG + REGO. See the sector page for full eligibility and worked examples.

How does factory load profile affect solar economics?

Factory load profile is characterised by: high constant daytime industrial load. This delivers 80% typical self-consumption rate — materially affecting payback compared to lower-utilisation sectors.

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