
It has been announced that activities by the state-owned renewable energy investment body will kick off with a £180million public sector investment.
In England, around £80million will support the installation of solar panels on around 200 schools, alongside £100million for almost 200 NHS sites – a third of all NHS trusts.
This would save on their energy bills and has the potential for leftover energy to be sold back to the grid, the Department for Energy Security and Net Zero (DESNZ) says.
Work will begin immediately, with the first panels expected to be installed by the end of the summer.
The NHS is the single biggest public sector energy user with an estimated annual energy bill of £1.4bn – which has more than doubled since 2019.
This investment could save the average NHS site up to £45,000 per year and the average school up to £25,000 per year if they had solar panels and complementary technologies such as batteries, the government says.
As well as this, local authorities and community energy groups will be supported by nearly £12million to help build local clean energy projects. Again any profits could be reinvested into the community or to take money off people’s energy bills.
Warm industry reaction to solar rooftop plan
‘Wise piece of public investment’ – Solar Energy UK
Chris Hewett, Solar Energy UK Chief Executive, said: “This is a very wise piece of public investment. Slashing bills while cutting emissions is exactly why Great British Energy was established.
“Just like households, schools and hospitals alike have been beset by high energy bills over recent years, pulling precious funds from where they should be going. So every penny put into solar photovoltaics and energy storage for public buildings means more cash for the services we all depend on – and help teach the next generation the value of renewable energy.”
‘This shows how shift can benefit communities’ – Energy UK
Charles Wood, Deputy Director, Energy UK, said: “Cutting energy bills not only means more funding for these essential public services but also shows how the shift to clean energy can directly benefit local communities and give them a real stake in such initiatives.
“So we hope that these projects are just the start of a real growth in community-led energy, creating jobs, boosting growth, and lowering energy costs by making the most of local resources.”
‘Positive first step for GB Energy’ – Energy Saving Trust
Stew Horne, Head of Policy at Energy Saving Trust, said: “Today’s announcement marks a positive first step for Great British Energy.
“Using public buildings is an effective way to rapidly roll out solar, contributing to the clean power mission and the 8 GW local power plan target. Reinvesting savings from cheap, local power into public services will also demonstrate that communities can feel tangible benefits from the shift to renewables.
“The focus on installing solar panels in disadvantaged areas is welcome to support a fairer energy transition, in which everyone can benefit. We now look forward to helping the UK government to shape the Local Power Plan to ensure it supports the community energy sector to grow.”
‘GB Energy should now go further and faster’ – REA
Trevor Hutchings, CEO of the Renewable Energy Association, said: “I welcome this announcement as it will reduce emissions from our schools and hospitals and save millions on energy bills.
“It will also help engage and excite our young people on net zero and the clean technologies of the future. Leadership on decarbonising the huge public sector estate is essential, and we would encourage Great British Energy to go further and faster, especially in innovative areas where mainstream sources of funding are less available, such as decarbonising heat and transport.
‘Solar on schools is a proven success’ – Let’s Go Zero
Alex Green, Head of Let’s Go Zero, the zero carbon schools campaign run by climate solutions charity, Ashden, says: “At Let’s Go Zero we see solar on schools is a proven success—cutting bills, inspiring young people, and strengthening vital public services.
“Schools often lead local clean energy initiatives, partnering with community energy groups or local authorities. These efforts rely heavily on school fundraising, but with greater government support, they can scale more quickly and effectively.
“Embedding behaviour change alongside renewable energy investments is also key to unlocking their full potential. When staff and students are actively involved in energy-saving habits and sustainability initiatives, schools maximise savings, deepen learning, and create a culture of climate action that extends beyond the school gates.”
Choosing schools and hospitals
Currently only about 20% of schools and under 10% of hospitals have solar panels installed, but the technology has huge potential to save money on bills.
Examples cited by the government include Leeds Teaching Hospitals NHS Trust which installed a solar canopy over the car park at its Wharfedale Hospital site that will reduce carbon emissions by 43.7 tonnes per year and save the trust £75,000 annually.
And a large project at Hull University Teaching Hospital with 11,000 solar panels, saving around £250,000 a month last summer. The Royal Wolverhampton NHS Trust’s new solar farm at a former landfill site is expected to power the entire hospital site with self-generated renewable energy for around 288 days a year – saving around £15-20million over the next two decades.
The support will target schools and hospitals with buildings that are able to accommodate solar panels in areas of England most in need. Schools will be primarily clustered in areas of deprivation in the North East, West Midlands and North West, as well as at least 10 schools in each region.
Each cluster will include a further education college which will work with the contractors appointed to promote careers in renewables to support growth in the construction and renewables workforce. This could be through work placements, skills bootcamps and workshops.
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