UK plans to use community batteries to cut energy bills by up to £180 a year
Key Points
- The UK government opened a call for evidence on 4 June on community batteries, shared storage that lets several homes use locally generated renewable power.
- The stated aim is to help renters and people in flats, who cannot install their own battery, store cheaper electricity and cut bills.
- A Brixton flats trial at Elmore House delivered savings of around £180 a year per household.
- A separate Bridport development using a full microgrid, not a community battery alone, cut energy costs by around £1,300 per home a year.
- Energy Minister Michael Shanks said the move puts power back into the hands of local people; the call for evidence is open for responses.
The UK government has launched a call for evidence on community batteries, shared storage systems that let multiple homes use locally generated renewable electricity.
The Department for Energy Security and Net Zero opened the call for evidence on Thursday (4 June), seeking views on how to scale up deployment across the country.
Community batteries store electricity when it is cheaper and more abundant, including from renewable sources, and release it when demand is higher.
The government said the systems allow multiple homes to access stored power, for example by capturing excess solar generation during the day and using it later, so households can make better use of cheaper clean energy.
According to the department, this can reduce reliance on expensive peak-time electricity while making the wider energy system more flexible.
The call for evidence will gather views on how to remove regulatory and commercial barriers, ensure safety, and make sure the benefits reach people who cannot install their own battery, including renters and those living in flats.
The government described the UK market for community batteries as currently underdeveloped. It said the work forms part of what it called the biggest investment in community energy in UK history, alongside support for locally owned generation projects such as solar panels on libraries, leisure centres and community centres.
Energy Minister Michael Shanks said community batteries can help deliver a more flexible energy system and give renters and people living in flats the chance to store cheaper renewable electricity and cut their bills.
Shanks said the move was about putting power back into the hands of local people and ending reliance on fossil fuel markets that he said were driving the affordability crisis.
What the trials have shown
The government pointed to two existing projects. In 2021, a community battery was installed alongside solar panels at Elmore House, a Lambeth Council-owned block of flats in Brixton, to test how shared storage could lower bills.
During the trial, participating households received savings equivalent to around £180 a year through a combination of solar generation, battery use and flexibility payments.
A second project went further. In 2023, a partnership led by Bridport Cohousing delivered a 54 home net zero development in Bridport, Dorset.
That scheme uses a local microgrid combining rooftop solar, battery storage, EV charging and wind power, rather than a community battery alone. By lowering electricity imports and generating export revenues, the system reduced energy costs by the equivalent of around £1,300 per home a year.
The government said countries including Australia already use community batteries at scale, helping neighbourhoods store excess solar power and share the benefits more widely.
How it fits wider energy plans
The department said the call for evidence comes as the government moves forward with rules to make new homes cheaper to run, with solar panels and clean heating set as standard.
It added that plans to make plug-in solar available in stores within months are also progressing, which it said would help more households generate their own renewable electricity and lower bills.
The call for evidence is open for responses. Households, renters, energy companies and community groups can submit views on how shared battery storage should be rolled out across the UK.