The VAT relief extension for battery storage took effect on 1 February 2024. This article explains that historical change and where to check the rules for a new installation. It is not a current special offer or a guarantee that every battery purchase qualifies.
What changed in 2024?
The relief widened to include qualifying installations of electrical battery storage in residential accommodation, including standalone storage and batteries added to existing solar. Previously, the treatment depended more narrowly on how storage was supplied with other energy-saving equipment.
HMRC’s explanation of the extension describes the change. The distinction between installation and a supply-only purchase remains important.
What VAT rate should homeowners expect?
Qualifying installed energy-saving materials currently benefit from a temporary zero rate until 31 March 2027. A 5% reduced rate is scheduled from 1 April 2027. Check HMRC Notice 708/6 for the applicable conditions and any subsequent changes.
Our detailed solar and battery VAT changes guide explains timing and example costs. A booking date alone does not settle the VAT treatment of every payment or installation.
Does zero VAT make every battery worthwhile?
No. Compare the full installed price, usable storage, output power, warranty and expected annual benefit. A battery may store solar electricity or charge on a suitable off-peak tariff, but losses and daily consumption affect savings. Backup power needs a compatible, separately specified design.
Request a property-specific quotation
Our battery storage service covers assessment and installation in Edinburgh, East Lothian and our wider Scottish service area. Contact us with your existing equipment and annual electricity use. Your written quotation should state the scope, VAT treatment and any exclusions.
Historical announcement updated and reviewed 27 September 2026. Earlier promotional prices have been removed.
