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It gives you a return on your investment…

The government's Feed-in Tariff (FIT) essentially pays you in return for having solar panels on your roof. It guarantees cash payments to households that generate their own electricity using renewable technology. 

Under the government's Fit scheme, you receive cash in return for generating your own electricity using renewable energy. 

Payments are guaranteed for between 20 and 25 years (depending on when you had the panels installed). The price per kilowatt hour (kWh) of energy is index-linked, meaning that it will rise annually with the Retail Prices Index (RPI) measure of inflation. All proceeds you make are tax-free.  Inflation will increase the generation and export tariffs each year. The Bank of England's target rate of inflation is 2% – this is a useful figure to use when calculating what future tariffs may be.  Electricity price increases will affect how much you save on your electricity bills. The higher electricity prices go, the greater your savings.

Cost of solar panel installation has fallen swiftly since the launch of the FIT scheme. If this trend continues, the rates of return you receive from solar panels could be potentially higher as it will take less time to repay your initial outlay.  

PV can increase your property’s Energy Performance rating, which increases the value of the property value.  The attraction to buy a house with free electricity and the income from the Feed in Tariff for the remainder of the contract period is a great incentive to the housing market and makes financial sense.

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Solar Electric Panel Installers Abingdon, Oxford, Oxfordshire
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