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National Lottery Community Fund Solar Panel Grants

Are you part of a community group looking to reduce your environmental impact? As individuals, we are all trying to play our part in helping to halt the climate emergency, but this can sometimes be difficult, especially in the middle of a cost-of-living crisis!

However, help could be at hand in the form of funding projects for local groups. These projects provide funding for voluntary and community organisations to invest in and encourage community-led climate action. Grants are issued to selected groups to spend on initiatives and methods that will reduce carbon emissions and help tackle climate change.

Solar panels are probably the most popular and practical option, as they are effective, relatively easy for specialists to install, and help to reduce energy use (which, in turn, will deliver lower energy costs!).

As a leading name in the UK solar panel industry, Panelit Solar is proud to be part of the green technology revolution, with more panels being installed than ever before.

Even so, some grants can't be used to fund the direct purchase of solar panels, although they can be used to increase public awareness of environmental issues and the need to transition to greener energy production.

We are also pleased to be able to share these funding projects with the UK public, which will benefit the natural environment.

One of the biggest providers is the National Lottery Community Fund, so we'll explain exactly how community institutions can apply and what criteria are necessary.

Community Fund Solar Panel Grants

The Climate Action Fund (Our Shared Future)

The idea behind this initiative is to get more people - and young people, in particular - involved in taking bold, positive climate action at a local level and to support communities across the UK.

The Community Fund providers are keen to point out that the funds aren't only available to local groups with an environmental focus (although at least one partner is expected to have some experience in environmental or climate-related work). However, they are clear in their aims...

Funding is available for:

  • Inspiring positive environmental action that affects the everyday lives of the local community.
  • Campaigns that inspire and link communities across all the UK countries as well as at a local level.

Who Can Apply?

The Climate Action Fund is open to a diverse range of organisations working together in partnerships. Here's a breakdown of the eligible groups: 

Community Organisations 

  • Registered Charities - This includes organisations like environmental or social justice charities that operate for public benefit and are registered with the Charity Commission. 
  • Established Voluntary or Community Organisations - These are non-profit groups run by volunteers, with a clear constitution or governing document demonstrating their purpose and structure. 
  • Community Interest Companies (CICs) - A Community Interest Company is a social enterprise with a clear social or environmental purpose, operating as a limited company with asset locks to ensure their assets benefit the community. 
  • Social Enterprises - These are businesses that trade with a primary focus on social or environmental impact alongside generating profit, which is then reinvested in their mission. 
  • Vulnerable Groups - Applications are welcomed from projects involving "people, places and communities experiencing poverty, discrimination and disadvantage."

Schools And Universities 

Educational institutions can participate in partnerships with the Climate Action Fund if the project demonstrably benefits and involves the wider local community. This could involve projects like: 

  • Sustainability education programmes engage students and the local community in environmental awareness and action. 
  • Community gardens or renewable energy installations on school grounds, provide educational opportunities and practical benefits for the wider community. 
  • Climate action workshops or events co-organised with local groups, fostering collaboration and knowledge sharing. 

Public Sector Bodies 

  • Local Authorities
  • Town, Parish, and Community Councils

By encouraging partnerships between these diverse groups, the Climate Action Fund aims to foster collaboration, knowledge sharing, and impactful community energy projects that address climate change at a local level. 

How Much Can You Claim?

The minimum grant is £500,000, although the usual amount is between £1 million and £1.5 million over a period of three to five years.

How Can The Funds Be Spent?

With the Climate Action Fund, there are strict rules as to what you can spend the money on.

Here's a quick rundown of how the grant can be spent:

  • General project costs (including staff, volunteer expenses, running costs)
  • Equipment
  • Targeted campaigns and engagement projects
  • Communication
  • Management and development costs
  • Costs relating to engaging with the community and other groups

Funding cannot be spent on capital costs for energy generation, political or religious activities, loan repayments, overseas travel, or any funded projects intended to make private gain or profit.

What's The Application Process?

The application process takes about six months, so it pays to get it in early!

There are several stages involved following the initial application:

  • The National Lottery Community fund organisers may contact you for more information or to discuss your project.
  • They aim to let you know within ten weeks whether your project has made it through to the next round or not and will request a full proposal.
  • You have six weeks to submit the proposal.
  • You'll be advised whether your application was successful, and, if so, they will advise you on the next steps.

The easiest way to do this is to apply online, although you can find other options on their website.

application process

Sustainable Community Buildings (Northern Ireland only)

This is another funding initiative linked with the National Lottery Community Fund (all of the grant money comes from National Lottery players). In this case, the funds can be invested in solar energy, as it's designed to make community buildings more environmentally friendly and save money on bills. 

Who Can Apply? 

Eligible applicants include a variety of organisations that manage community buildings in Northern Ireland. Here are some examples: 

  • Registered charities 
  • Constituted community groups 
  • Social enterprises 
  • Schools (for non-commercial community use of buildings) 
  • Church halls (for non-religious community use) 

There are some general restrictions on who can apply. The applicant organisation should: 

  • Be properly constituted with a governing document and committee. 
  • Have a bank account in the name of the organisation. 
  • Not be a statutory body or government department. 

How Much Is Available? 

The Sustainable Community Buildings Fund offers development grants of up to £50,000. However, the exact amount awarded will depend on several factors, such as: 

  • The scale and ambition of your proposed project 
  • The number of people who will benefit from the improvements 
  • The financial health of your organisation 

It's important to demonstrate a clear need for funding and a well-developed plan for how you will use the grant. 

What Can It Be Spent On? 

The funding is specifically for capital improvements that will make your community building more sustainable and energy efficient. Here are some specific examples of eligible uses: 

  • Installing solar panels to generate renewable electricity for the building 
  • Upgrading insulation in walls, floors, and lofts to reduce heat loss 
  • Replacing old heating systems with more efficient models, such as air-source heat pumps 
  • Installing energy-efficient lighting systems like LED lights 

The funding cannot be used for: 

  • Repairs or general maintenance of the building (e.g., fixing a leaky roof or painting the walls).
  • Paying staff salaries or running costs.
  • Activities that are not directly related to improving the sustainability of the building. 

Northern Powergrid Foundation

Aside from the National Lottery Community Fund, several other options are available, often on a regional basis. The Northern Powergrid Foundation is one example, and here's how this programme might help a community-led climate action group or partnership in the North East, Yorkshire, or northern Lincolnshire:

Take a look: Solar Power Purchase Agreement

Northern Powergrid Foundation 2

Grant Size

One-off grants from £1,000 to £20,000 per project.

Who Can Apply?

  • Parish councils 
  • Village halls and community centres 
  • Community hubs and associations 
  • Registered charities 

What Type Of Projects?

Anything that helps with energy resilience, reduces fuel poverty or prepares for future energy needs. Solar panels fit comfortably into this category, as they contribute to a more sustainable and low-carbon energy system.

Panelit Solar - Empowering Green Energy

Our express aim is to promote and encourage a swift and smooth transition to renewable energy resources, which will ease the pressure on our environment.

These funding projects can help, but they are by no means the only options. If you need advice about these or any other grants, contact us for more details!

Panelit Solar Empowering Green Energy
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