Mayor of London Business Climate Challenge
Free decarbonisation advice and matched-funding grants for SMEs above certain energy spend thresholds.
Location guide · London · Updated 12 May 2026
Solar panel grants for businesses in London
London-based businesses access a particular stack of regional schemes alongside the UK-wide tax reliefs and export tariffs. This page maps the local landscape — London Environment Strategy, Greater London Authority's net zero commitments by 2030, and the regional growth hub funding for SMEs across the London region.
London commercial energy context
London is home to around 8,908,081 residents, with a diverse commercial base across the sectors that define the regional economy. A typical SME of 50-250 employees in London spends approximately £95,000 per year on electricity — making solar PV one of the most material capital projects available for protecting operating margins against energy price volatility.
London Plan supports rooftop solar across commercial and residential. London Energy Efficiency Fund provides finance to public buildings. PV expected on all major new commercial development under London Plan Policy SI 2.
Postcodes served
We support eligibility checks for businesses across all London postcodes including: E, EC, N, NW, SE, SW, W, WC.
Key industrial & business areas in London
Commercial solar projects in London are concentrated around these industrial and business areas where rooftop area is largest and grid connection capacity strongest:
- Park Royal
- Brent Cross
- Greenwich Peninsula
- Old Kent Road industrial area
- Stratford
Neighbouring areas also served
Our advisory covers businesses across the wider London commercial region, including: Croydon, Bromley, Dartford, Watford, Slough, and the broader London corridor.
Regional schemes for London businesses
Alongside the UK-wide tax reliefs and SEG income, businesses in London can access these region-specific schemes:
London Energy Efficiency Fund (LEEF)
Soft-loan finance for energy efficiency in public buildings and not-for-profits.
Local borough green business funds
Several London boroughs run their own SME green grants — typically £500-£10,000.
UK-wide schemes that apply in London
Most London commercial solar projects stack the regional schemes above with these UK-wide reliefs:
- 100% Full Expensing — limited companies deduct 100% of solar capex from corporation tax in year one. Uncapped. 25p saved per £1 spent at the 25% main rate.
- Annual Investment Allowance — sole traders, partnerships and limited companies deduct 100% of plant and machinery up to £1m per year. 19-25% saving for Ltd; up to 45% for higher-rate sole traders.
- Smart Export Guarantee — Ofgem-licensed suppliers pay 3p-15p per kWh exported. Typical annual revenue £900-£3,500 on a 100kWp commercial system.
- PSDS — 100% capital grants for public sector buildings in London including schools, NHS, council and university estate.
- IETF — 30-50% match-funded grants for energy-intensive manufacturing in London.
London sector focus
The strongest 2026 commercial solar opportunities in London are across these sectors — see the dedicated sector guides for full eligibility and grant stacks:
- Factories & manufacturers in London's industrial corridors
- Warehouses & logistics on the big-box estate
- Offices & professional services in the London central business district
- Hotels & hospitality across London's visitor accommodation
- Retail & food service on London high streets and out-of-town parks
- Schools in the London maintained estate
- Healthcare & NHS across the London acute and primary care estate
Free eligibility check · London
Tell us your business — we map every active 2026 grant to your sector, size and postcode.
FAQs
Solar grants in London · FAQs
What grants are available for solar panels in London businesses in 2026?
London-based SMEs typically access a stack of: 100% Full Expensing or AIA tax relief; Smart Export Guarantee export tariffs; and regional schemes specific to the London region — most prominently Mayor of London Business Climate Challenge. Eligibility varies by sector, size and exact postcode.
Does my London business qualify for regional solar grants?
Most London growth hub and combined authority schemes require: (a) trading address inside the geographic boundary, (b) SME status (under 250 employees, under £43m turnover), (c) commercial premises with material energy spend. Use the eligibility calculator for a personalised answer.
How much does commercial solar cost for a typical London business?
Typical commercial solar capex in London for a 100kWp rooftop system is £80,000-£105,000 (2026 prices). After 100% Full Expensing for a limited company at the 25% main CT rate, net cost is around £60,000-£79,000. Annual electricity savings of £18,000-£28,000 deliver typical post-tax payback of 3-5 years.
Are there London-specific planning issues for commercial solar?
London planning falls under Greater London Authority. London Plan supports rooftop solar across commercial and residential. London Energy Efficiency Fund provides finance to public buildings. PV expected on all major new commercial development under London Plan Policy SI 2. Listed buildings and conservation area properties require Listed Building Consent and conservation area consent respectively.
Can a London business stack multiple solar grants?
Yes — most successful 2026 commercial solar projects in London stack at least 3 schemes. Typical stack: tax relief (Full Expensing or AIA) + SEG export tariff + a regional capital grant. We map the stack to your specific business in the free eligibility check.
What is London's net zero target?
Greater London Authority targets net zero by 2030. The published framework is London Environment Strategy. London Plan supports rooftop solar across commercial and residential. London Energy Efficiency Fund provides finance to public buildings. PV expected on all major new commercial development under London Plan Policy SI 2.
Find out what London solar grants your business qualifies for
Free 60-second eligibility check tells you which UK and London schemes apply to your specific London business — and how to stack them.
Start eligibility check Or call 0800 246 1132