The Role of Batteries in Reducing Grid Reliance

Guide

The Role of Batteries in Reducing Grid Reliance

Wondering how battery storage can help reduce reliance on the Grid, maximise the value of your solar panels (if you have them installed), lower your electricity bills, and improve your overall energy security? Read on to find out!

How Do Batteries Help Reduce Grid Reliance?

Right now, the UK’s energy prices are volatile, and there’s no clear sign of when they’ll stabilise. In response, more homeowners are looking for smarter ways to control energy usage and avoid peak-time costs.

Home battery storage offers a powerful solution. It allows homeowners to store electricity during off-peak hours—when energy is cheaper—and use it during expensive peak periods, provided you have a time-of-use (TOU) tariff (and there are plenty of great options available).

This flexibility helps reduce electricity bills and lowers reliance on expensive grid electricity at peak times.

Financial Benefits of Home Battery Storage

A home battery system is a long-term investment that can deliver consistent savings.

For a typical UK three-bedroom home, battery storage can reduce annual electricity costs by an average of ~£150–£400, depending on your energy usage, system size, and tariff structure.

Figures are indicative averages based on typical household consumption and battery performance. Actual results may vary depending on usage patterns, local climate, and energy tariffs.

Want to boost your savings even further? Combine battery storage with solar panels. This allows you to generate and store your own renewable energy—maximising self-consumption and making you even less dependent on the National Grid.

Maximise Savings with Smart Tariffs

Off-peak electricity can be up to 50% cheaper than standard daytime rates. Storing energy during those low-cost hours means you can reduce your electricity costs without changing your lifestyle.

Many UK suppliers now offer smart or "time-of-use" tariffs, which allow battery owners to charge their systems at night when prices drop and use the stored energy when rates spike. It’s simple, efficient—and saves money.

Modern battery systems also integrate with smart apps, allowing homeowners to track usage, monitor savings, and automate charging for even greater efficiency.

Government Incentives & Support

To encourage battery adoption, the UK Government offers a number of incentives:

  • 0% VAT on battery systems until 2027—cutting upfront installation costs
  • Time-of-Use Tariffs—offered by many energy providers, enabling greater savings from strategic charging

These incentives, combined with lower running costs and long-term bill reduction, make battery storage a smart, future-ready choice for UK households.

Return on Investment: Is It Worth It?

A battery-only system typically costs between £4,000–£6,000. With annual savings of up to £400, payback periods typically range from 10 to 15 years.

When paired with solar panels, the payback period can be shorter—since you're using more of your own energy rather than buying from the Grid.

Over a 20-year period, a battery system could deliver £3,000–£8,000 in savings. Just bear in mind that performance can decline slightly over time, as battery capacity naturally reduces with usage cycles.

Environmental Benefits

  • Battery storage doesn’t just save money—it supports a cleaner, more sustainable energy system by:
  • Reducing peak-time energy demand
  • Minimising carbon emissions
  • Supporting the integration of renewables into the grid

Take the Next Step

As energy prices continue to fluctuate, battery storage provides greater stability, independence, and long-term savings.

Want to see how it could work for you? Go to Thermly to learn more about how batteries could specifically benefit you and your home.

Have questions? Reach out to us at 0800 029 3129 or enquiries@thermly.co.uk — we’re always happy to help.

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