Solar Strategies

Cost & ROI by system size

What commercial solar costs, by system size

See real UK installed-cost ranges, typical payback and building fit at 100kW, 250kW, 500kW and 1MW+. Moreover, this guide includes the capital-allowances detail most guides get wrong. Every figure links to a source you can check yourself.

100kW

100kW Commercial Solar

The typical entry point for a serious commercial system.

Installed cost, payback and building fit for a 100kWp commercial solar system — the size where economies of scale start to bite and MCS's small-scale standard no longer applies.

Typical cost
£80,000–£100,000 installed (approx. £800–£1,000 per kWp, ex-VAT)
Typical payback
5–7 years before finance costs, shorter once capital allowances are applied
See the full breakdown →
250kW

250kW Commercial Solar

The sweet spot for larger warehouses, distribution units and business parks.

Installed cost, payback and building fit for a 250kWp commercial solar system — where grid-connection headroom starts to matter and per-kWp pricing improves further.

Typical cost
£175,000–£215,000 installed (approx. £700–£850 per kWp, ex-VAT)
Typical payback
4.5–6.5 years before finance costs, shorter once capital allowances are applied
See the full breakdown →
500kW

500kW Commercial Solar

Large-roof industrial and logistics buildings, where the economics are strongest.

Installed cost, payback and building fit for a 500kWp commercial solar system — large-roof industrial and logistics territory, and where capital allowances need careful modelling.

Typical cost
£300,000–£375,000 installed (approx. £600–£750 per kWp, ex-VAT)
Typical payback
4–6 years before finance costs, shorter once capital allowances are applied
See the full breakdown →
1MW+

1MW+ Commercial Solar

Major logistics, manufacturing and multi-building estates.

Installed cost, payback and building fit for a 1MW+ commercial solar system — where grid connection becomes the critical path and portfolio thinking starts to pay off.

Typical cost
£600,000–£720,000+ installed for 1MWp (approx. £600–£720 per kWp, ex-VAT), falling further at larger scale
Typical payback
4–6.5 years before finance costs; more sensitive to export share and grid terms than smaller bands
See the full breakdown →

Not sure which band fits your site?

Most of these figures shift with roof condition, grid capacity, your tariffs and your load profile. As a result, no single range fits every building. A feasibility study or ROI model gives you numbers for your actual site instead.