UK farm solar in 2026–2027: trends, costs, and what’s changing

The UK farm-building solar market is in a period of substantial change. Costs continue to fall; technology continues to improve; regulation continues to tighten around supplier-level emissions disclosure; supermarket Scope 3 supplier audits continue to intensify. Here’s our view of what’s actually changing over the next 24 months and what it means for UK farms considering solar installations.

Cost trajectory through 2027

Panel and inverter costs have continued their steady downward trajectory through 2024–2025 and the trend is expected to continue through 2027. Modern 540W modules from JA Solar, LONGi, and Jinko are now £85–£100 per panel landed in the UK (vs £140–£170 in 2022). Inverter costs from SolarEdge, Huawei, Goodwe and SMA have similarly fallen 25–35% over the same period. Installation labour costs, by contrast, have risen modestly with general UK construction wage inflation. Net effect: cost per kW for farm-building installs has fallen from £950–£1,200/kW in 2022 to £700–£950/kW in 2026 — and is forecast to reach £650–£850/kW by late 2027 for systems above 100 kW.

The dominant uncertainty is panel pricing through 2027. Chinese manufacturer overcapacity has driven 2023–2025 prices to historic lows; some forecasters expect prices to stabilise or rise modestly in 2026–2027 as overcapacity rationalises. Conservative project economics should not assume further panel price falls beyond mid-2026.

DNO grid connection — getting worse before it gets better

UK DNO connection capacity has tightened consistently since 2022 as renewable generation demand has outpaced network reinforcement. As of early 2026, typical G99 connection timelines are 6–18 months on most rural feeders; up to 24 months on capacity-constrained networks; effectively closed to new export connection in parts of West Wales, the Highlands, and South Devon. The expected trajectory through 2026–2027 is for connection timelines to continue lengthening as more renewable projects compete for capacity, before reinforcement programmes (under the ED2 RIIO settlement) start delivering material network upgrades from 2027–2028 onwards.

Practical implication: submit G99 applications as early as possible (we do this immediately after structural survey); design for self-consumption where feasible (a 100 kW self-consumption system connects in 6–8 weeks vs 18 months for export-capable); consider battery storage as a connection workaround rather than a separate investment.

Supermarket supplier audits — material acceleration

Every major UK retailer has intensified supplier-level emissions disclosure requirements through 2024–2025. Tesco’s Stronger Starts, Sainsbury’s Plan for Better, M&S Plan A, Waitrose First Generation, Morrisons’ British-farming net-zero commitment by 2030 — all now flow through to supplier Scope 2 expectations via CDP Supply Chain, EcoVadis, and contract-level disclosure. For producer-level farm suppliers (dairy, eggs, meat, fresh produce, horticulture), the audit landscape is moving from “informational” to “contract-relevant” — meaning solar generation evidence increasingly features in supply contract negotiations and renewals.

Our farm clients who installed solar between 2022 and 2024 have consistently reported that the supplier-audit positioning has become more material than they originally projected. Several have cited the solar install as a determining factor in contract renewal terms with major retailers. Looking ahead through 2027, we expect this dynamic to intensify rather than ease — supplier-audit value will be one of the strongest drivers of new farm solar installation alongside direct grid-cost avoidance.

Battery storage — falling capex, expanding role

Commercial battery storage capex has fallen from £700–£900/kWh in 2022 to £400–£700/kWh in 2026, with forecast trajectory to £350–£550/kWh by late 2027. The economic case for adding battery alongside farm-building solar has shifted accordingly: in 2022 we recommended battery only for narrow scenarios (grain stores with autumn drying peaks, DNO-constrained sites); in 2026 we recommend battery consideration for a wider range of farm types; by 2027 battery will likely be a default consideration for any farm install above 100 kW.

The two main drivers: (1) battery time-shifts excess summer generation into autumn-winter shoulder-season demand, lifting effective self-consumption ratios from 60% to 80%+ on many farm types; (2) battery provides ride-through during grid outages, increasingly important as rural networks face more weather-related disruptions.

Fleet electrification — accelerating quickly

The pace of farm fleet electrification has accelerated through 2024–2025. ATV/Gator electrification is now mainstream (Polaris Ranger EV, John Deere TE Gator, Honda Foreman EV); light pickup electrification is established for parts and feed runs (Ford E-Transit, Maxus eDeliver, Volkswagen ID Buzz); tractor electrification is in commercial trial (John Deere SESAM, Fendt e100 Vario, New Holland T4 Electric Power). The pairing with rooftop solar is increasingly material — farms commissioning solar in 2026 routinely also plan EV charging infrastructure for the next 3–5 years of fleet electrification.

Practical implication: if you’re commissioning a farm install in 2026, plan for EV charging infrastructure even if you haven’t electrified yet. Workshop chargers (7–22 kW typical), yard chargers for ATVs, and dedicated 50 kW DC chargers for future tractor electrification all benefit from on-site PV at marginal cost approaching zero.

Asbestos cement re-roofing — the wave is coming

Pre-2000 asbestos cement roof cladding remains widespread on UK farm buildings. Most farms with significant AC roofing now face a 5–15 year decision window: re-roof now alongside PV installation (combined business case typically pays for both); re-roof later as building maintenance becomes unavoidable (PV opportunity may have closed by then due to grid capacity or panel price changes); or accept eventual building replacement. We’re seeing a marked acceleration in combined re-roof + PV projects through 2024–2026 as the maintenance window closes for the largest cohort of AC-clad buildings (those built 1965–1985, now reaching 40–60 years of service).

Practical implication: if you have AC-clad buildings on the holding, plan the combined re-roof + PV decision rather than waiting. The economics are typically stronger now than they will be in 5 years, and DNO connection capacity is more available now than it will be by 2028.

What this means for your project

For UK farms considering solar through 2026–2027: the economics are getting better (panel costs, battery costs, supplier-audit value); the constraints are getting tighter (DNO connection, capital availability after autumn 2024 tax changes); the strategic urgency is increasing (supermarket supplier audits, fleet electrification, AC re-roofing waves). The right move for most farms is to commission the desk feasibility study now, plan installation in the next 12–18 months, and integrate the solar decision with broader farm modernisation programmes — building maintenance, fleet electrification, succession planning, and supplier-relationship strategy.