The Solar Brief: Market Volatility, Regulations, and the Road to 2027
31 Mar 26
13 minute read
Wind & Sun: Q1 2026 Industry Update
And just like that, the first quarter of 2026 has come to pass. A lot has happened over the past few months, marking a turning point for the UK’s renewable sector. While global geopolitical tensions have introduced new risks, the domestic regulatory landscape is moving in the right direction—providing a clearer roadmap for solar growth.
Here’s everything you need to know from the past couple of months.
The UK Regulatory Landscape:
For UK installers, Q1 has brought several announcements that will change the landscape for solar installations.
MCS – Redeveloped Installer Scheme:
The redeveloped installer scheme is based on the evolving needs of the rapidly expanding industry based on feedback from the sector and extensive response to public consultation. Key changes include:
- Enhanced consumer protections and MCS-approved financial protection products
- Risk-based assessment model
- Certification creation windows will be 30 days instead of 14 days
- A new Installer Agreement held directly with MCS
- Consumer Code membership no longer mandatory
- Clearer standards, simplified requirements
- Centralised complaints management
- A dedicated MCS account manager for support and guidance
A Certification Body will manage your move to the redeveloped Scheme; you’ll need to complete a series of checks and applications with MCS. Once your application has been submitted and reviewed, you’ll be introduced to your new MCS account manager.
Find out more information here.
BS 7671 Amendment 4 (2026):
The upcoming Electrical Standard changes (BS 7671 Amendment 4) will be published on 15 April 2026. It introduces significant changes to the UK wiring regulations affecting every electrician holding or applying for an 18th Edition certificate. Key changes include:
- Battery Energy Storage Systems: domestic, commercial energy storage systems and grid-connected battery arrays have new requirements addressing ventilation, fire protection, disconnection arrangements and overcurrent protection specific to battery installations.
- ICT and Data Network Earthing: the regulation provides clearer guidance on how the ICT installations, functional earthing and protective earthing interact with the main electrical installation.
- Power over Ethernet: Section 716 to be introduced to establish requirements for power over Ethernet installations.
- Medical Locations: Section 710 has been redrafted to include extended requirements for medical insulation monitoring devices, supplementary equipotential bonding, and a new Annex B710 model.
- Arc Fault Detection Devices: amendment 4 expands the guidance on where AFDDs should be installed.
- Energy Efficiency: the amendment includes topics such as power factor correction and efficient circuit layouts.
Find out more here.
New Apprenticeships:
The Department for Work and Pensions announced on 16 March 2026 its plans to help unlock 200,000 new jobs and apprenticeships for the next generation which includes introducing new apprenticeship courses. New apprenticeship courses include:
- Electric vehicle charging point installation and maintenance
- Solar PV installation and maintenance
Find out more information here.
The roadmap to 2027:
Wales to mandate rooftop solar on new builds:
Amendments coming to Welsh Building Regulations states that from 4 March 2027, “a system for renewable electricity generation” will need to be installed on-site at any newly built residential building.
Learn more here.
Welsh Government aims to deliver 1.5GW of locally owned renewable energy capacity by 2035:
The Welsh government and the country’s renewable energy industry have signed a deal to help the country achieve their renewable energy targets.
Learn more here.
The Future Homes Standard:
Confirmed to start on 24th March 2027, the Future Homes Standard will mandate solar panels and low-carbon heating for all new homes in England.
Learn more here.
Warm Home Plan:
The Warm Homes Plan, launched in January 2026, is a landmark £15 billion government initiative designed to transform UK residential energy efficiency. The plan is built around four central pillars: delivering fully funded energy efficiency packages for low-income households; maintaining universal access to the Boiler Upgrade Scheme; introducing new government-backed, low or zero-interest loans specifically for solar and battery installations; and establishing stricter requirements for all rental properties to achieve a minimum EPC rating of C by 2030.
Learn more here.
Global Market Trends
Alongside domestic policy changes, global market dynamics continue to shape pricing, availability, and long-term planning across the solar industry.
Raw Materials & Supply Constraints:
Ongoing supply challenges for key materials—including lithium, nickel, cobalt, copper, and rare earth elements—remain a risk for the renewable energy sector. While not yet causing major disruption, these constraints could place upward pressure on component costs over time.
Learn more here.
China Market Pricing Signals
China will remove VAT export rebates on photovoltaic products, which may impact export pricing structures. The Chinese Ministry of Finance announced in January that “export tax rebates for the value added tax of photovoltaic products will be cancelled starting from April 1, 2026.”.
Learn more here.
As the world’s largest solar manufacturing hub, pricing trends in China continue to influence global module costs.
N-type M10 and G12 wafer prices remained stable week-on-week at $0.153/pc and $0.174/pc, signalling short-term price stability.
More information here.
Polysilicon prices have fallen over 13% year-to-date, with below-cost selling persisting across parts of the market.
More information here.
The OPIS benchmark for TOPCon modules rose 3.45% to $0.120/W FOB China (as of early March).
More information here.
Silver Pricing
Silver pricing has stabilised at around $70/oz. While high, this stability provides some predictability for manufacturers after recent volatility. Learn more here.
Geopolitical News:
The recent situation in the Middle East has introduced a new layer of complexity to the global market. While the situation is concerning, it is important to note that UK operation and component availability remain stable. The long-term impact on the industry will largely depend on the duration and scale of the conflict.
Energy Market and Surging Demand for Solar Autonomy
The UK gas prices have surged over 60% since the start of the conflict. This has created pressure on utility bills, but it reinforces the “Solar Autonomy” argument. With many renewable energy companies seeing a spike in Solar enquiries in late February and March.
Learn more here.
Supply Chain and Logistics Risks
Disruption to shipping routes through the Strait of Hormuz has led to cargo rerouting, including materials such as aluminium used in solar panel production. Some manufacturers may experience longer lead times and higher freight surcharges due to the rerouting to avoid conflict zone.
Read more here.
How will this affect Wind & Sun?
The current climate reinforces the importance of energy independence. While we remain largely unaffected, Wind & Sun will continue to monitor developments closely. We are maintaining strong stock levels to ensure you can accommodate the increase in solar enquiries.
Key Takeaways (TL;DR):
| Factor | Status | Impact on your business |
|---|---|---|
| MCS – Redeveloped Installer Scheme | Current – throughout 2026 | MCS has redeveloped its installer Scheme, creating a simple, robust and rewarding program. Certification Bodies will support installers to move onto the redeveloped Scheme – a series of checks and applications will need to be fulfilled. |
| BS 7671 Amendment 4 | 15 April 2026 | The Electrical Standard changes (BS 7671 Amendment 4) introduce significant changes to the UK wiring regulations affecting every electrician holding or applying for an 18th Edition certificate. |
| New Apprenticeships | From Autumn 2026 | New apprenticeship courses include: 'Electric vehicle charging point installation and maintenance' and 'Solar PV installation and maintenance' |
| Wales to mandate rooftop solar on new builds | From 4 March 2027 | New builds will need “a system for renewable electricity generation” installed. |
| The Future Homes Standard | From 24th March 2027 | Solar panels and low-carbon heating for all new homes in England. |
| Warm Homes Plan | Increased Budget | Better access to funding for low-income solar/heat pump installs. |