Glossary
What Is a Feed-in Tariff (FiT)? Plain-English Guide (2026)
Definition: The UK scheme (now closed) that paid solar panel owners for electricity generated
Feed-in Tariff (FiT) Explained
The previous export scheme was a UK government scheme that paid households a generation tariff for every kWh their solar panels produced. The previous export scheme closed to new applicants in March 2019 and was replaced by the export tariff.
How Does a Feed-in Tariff (FiT) Work?
- Solar panels installed and properly certified before March 2019
- Household registered with a licensed payment licensee
- Generation meter read quarterly
- Payment made for units generated plus units exported
Pros and Cons of a Feed-in Tariff (FiT)
| Pros | Cons |
|---|---|
| Payments for 20-25 years for existing recipients | Closed to new applicants since March 2019 |
| Paid for all generation not just exports | Replaced by the less generous export tariff scheme |
| Index-linked so payments rise with inflation | Generation meters need regular reading |
| Helped drive early UK solar adoption | Switching energy supplier can cause payment delays |
Frequently Asked Questions
What is a Feed-in Tariff (FiT)?
The UK scheme (now closed) that paid solar panel owners for electricity generated
How does a Feed-in Tariff (FiT) work?
The previous export scheme was a UK government scheme that paid households a generation tariff for every kWh their solar panels produced. The previous export scheme closed to new applicants in March 2019 and was replaced by the export tariff.
Why is a Feed-in Tariff (FiT) important for homeowners?
Understanding feed-in tariff (fit) helps you make informed decisions about energy improvements to your home and may affect the grants, savings and payback periods available to you.
Is a Feed-in Tariff (FiT) relevant to home energy improvements?
Yes — feed-in tariff (fit) is a key concept in home energy improvements. It may affect system sizing, efficiency and eligibility for government grants and incentives.
Where can I learn more about feed-in tariff (fit)?
You can find more information on renewable energy terminology and policy by searching online or consulting with a qualified installer in your area.