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Solar panel payments to drop sooner than expected

Changes to take place a month early


Payments given to homeowners with solar panels are to be cut sooner than expected.

The government has announced that the current Feed-in tariff (FIT) rates will be reduced earlier than planned.

The Feed-in tariff pays homeowners who have solar panels, hydroelectric systems, micro combined heat and power systems, anaerobic digesters or wind turbines.

Originally, panels installed and registered between 1st May 2013 and 1st August 2013 would have benefited from the current rates, but the next reduction will now take place a month earlier. Existing panel owners will not be affected by the next set of cuts. 

In order to be eligible for the current rates, you must have your panels installed and registered for payments by the 1st July 2013. For more information on the FIT scheme, including how to enrol, see our guide to Feed-in tariffs.

Solar panel imports

The European commission is also investigating the impact of cheap solar panels from China on European manufacturers.

One option it’s considering is to introduce a new import duty on the panels, which could in theory drive up costs for UK consumers. However, any changes are unlikely to happen for some time.

If you’re thinking of buying solar panels then read our guide to whether you should invest in solar panels.

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