Rooftop solar panels could cut poorer households’ energy bills by almost a quarter, new research has found.
The Resolution Foundation found that for the 3.6 million ‘fuel poor’ families who spend over a tenth of their disposable income on energy bills, savings from rooftop solar panels could reduce their energy bills by 24%.
The think-tank said successfully rolling out rooftop solar panels to lower-income households could lift as many as 1.2 million families in Britain out of fuel poverty.
But just 8% of roofs have solar panels installed.
A key reason for poor take-up is high upfront costs, with a 3KW currently solar panel costing around £6,500, while three-fifths of low-income households have less than £1,000 in savings, according to the report.
Researchers found that reductions in government support were also a factor.
In 2015, 35% of solar panels were installed in the poorest areas, with 31% in the richest. But by 2023, solar panels were more than twice as likely to be installed in the richest neighbourhoods than the poorest ones.
The Resolution Foundation said the Government should consider offering means-tested grants or loans to cover upfront costs.
