Solar Panels Set to Become Standard on New Homes

What It Means for Buyers, Developers and the Future of Housing

The housing market in England is poised for a major shift. This week, the government in The Times revealed that the government is preparing to mandate solar panels as a standard in new homes across England by 2027.

This policy is a cornerstone of the UK’s net-zero strategy and energy security plans — but it also holds significant implications for buyers, developers, and investors alike.

At Centrick Invest, we’ve long championed innovation and sustainability in property. With expertise across acquisitions, sales, lettings, and portfolio management, we view this as both a win for the planet and a valuable market opportunity.

In this article, we unpack the upcoming changes, why they matter, and how they could affect your property decisions — featuring insights from Andy Butts, Centrick Invest’s New Homes & Investments Director, and Cherelle Brandy, our New Homes Manager.

Future Homes Standard: What’s Changing?

Under the government’s forthcoming Future Homes Standard, most new homes will be legally required to feature solar panels. Key figures:

• 80% of new homes will meet the solar panel requirement.

• 19% will have slightly reduced coverage, due to roof pitch, orientation, or shading.

• Just 1% of new builds will be exempt entirely.

For developers, the additional build costs are estimated at £3,300 for a semi-detached or terraced home, and around £4,000 for a detached property. However, the payoff is clear for buyers and investors. For example, a typical three-bedroom semi could save over £1,000 a year on energy bills, recouping the initial investment in just four years.

Why the Change? Key Drivers Behind the Mandate?

This shift is driven by three main factors:

1. Net Zero Targets
   The UK is legally committed to reaching net-zero emissions by 2050. Buildings currently account for 17% of national emissions, making them a critical focus area. Tackling residential carbon footprints is key to meeting climate goals.

2. Cost of Living Relief
   With global energy prices fluctuating, homeowners and tenants are increasingly looking for ways to reduce their energy bills. Solar power offers a sustainable solution to deliver long-term cost savings.

3. Build-Stage Efficiency
   Retrofitting solar panels onto older homes is costly and disruptive. Installing them during the construction of new builds is more efficient, making this policy an obvious choice for policymakers.

Andy Butts: “A Positive and Much-Needed Step”

Andy Butts, New Homes & Investments Director at Centrick Invest, works hand-in-hand with developers from land acquisition through to sale, advising on everything from site viability to investor returns. He sees this shift as a win for the market:

“This is a hugely positive and much-needed step. Buyer and investor appetite for energy-efficient homes has surged in recent years — people want lower bills, greener living, and future-ready homes.

For developers, this isn’t just about compliance; it’s about market differentiation. Solar panels are no longer a niche feature — they’re becoming a mainstream expectation, and the most forward-thinking developers will use this to strengthen their offer and deliver added value.”

Andy’s view is reflected in Rightmove research, which shows that energy-efficient homes consistently sell faster and at a premium.

Expert Insight: What Developers Need to Know

Some developers have pushed back, arguing that solar doesn’t suit every site or roof design. But industry bodies like the Home Builders Federation now acknowledge that solar is essential to meet tightening environmental standards.

Here’s what we expect:

• Integrated Solar Designs: Developers will increasingly opt for in-roof or integrated solar panel designs to preserve the aesthetic appeal of homes.

• Sustainability as a Selling Point: Builders will focus on sustainability as a key selling and marketing tool, moving beyond it as just a compliance requirement.

• Smart Energy Management: The growth of battery storage and smart energy systems will allow developers to increase the financial returns of on-site energy generation.

At Centrick Invest, we support developers in navigating these changes, from land sourcing and feasibility studies to off-plan sales and long-term portfolio strategy.

Cherelle Brandy: “A Real Game-Changer for Buyers”

From a buyer’s perspective, the move to standardise solar panels on new homes is truly game-changing. Cherelle Brandy, New Homes Manager at Centrick Invest, notes:

“For buyers, this is a game-changer. One of the first questions we hear now is: ‘How energy-efficient is this home?’

With solar panels as standard, buyers will have the reassurance of lower running costs and better sustainability credentials right from day one. It’s a real point of difference — especially for first-time buyers and families looking for affordability and long-term security.”

Cherelle’s experience aligns with Savills research, which shows that sustainability is now a key driver in property choices — particularly among younger generations.

A Game-Changer for Buyers: Energy-Efficient Homes as the New Standard

While the new solar panel mandate focuses on new builds, there is also a growing focus on retrofitting existing homes.

The government is preparing loans and grants to help homeowners and landlords upgrade their properties. If you’re an investor or landlord, this is an opportunity to enhance your Energy Performance Certificate (EPC) ratings, attract eco-conscious tenants, and potentially access green mortgage products. It’s worth keeping an eye on programs like the Energy Company Obligation (ECO) or consulting with local authorities about available grants.

Bigger Picture: A Greener, Smarter Market

This policy goes beyond simply adding panels to roofs – it’s about reshaping how value is defined in the housing market:

• Resale and Investment Value: Energy-efficient homes are being valued higher and selling faster, as buyers increasingly prioritise sustainability.

• Mortgage Incentives: Green mortgages offer preferential rates for efficient homes, benefiting both buyers and landlords.

• National Energy Security: The UK’s goal of achieving 47GW of solar capacity by 2030 represents a significant step toward reducing reliance on imported energy.

At Centrick Invest, we view this policy as a long-term catalyst for residential investment performance.

For buyers, it’s an opportunity to secure a home that’s future-proof—kind to both the planet and your wallet.

For developers, it’s a chance to stay ahead of the curve, create homes people are proud to live in, and differentiate themselves in a competitive market.

And for investors, it’s a reminder to rethink what makes a property resilient—because the homes of the future will be energy-efficient, sustainable, and adaptable.

Wherever you are in the market, we’re here to help you navigate these changes. Whether that’s sourcing standout opportunities, advising on ESG strategies, or helping you build a portfolio that’s built for the next chapter.

Ready to Invest in Energy-Efficient Homes?

Whether you’re looking to invest in the latest energy-efficient developments or want to secure your next home, we’d love to help.

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Or get in touch with the Centrick Invest team — we’re here to guide you every step of the way.