Energy prices are expected to remain high until the late 2030s and there is an estimated demand for alternative energy such as solar energy among UK households. This is evident as UK-based solar startups, including UrbanVolt and Naked Energy secured investments. In addition to startups, Nesta Impact Investments, one of the most active impact funds in the UK also closed a fund to back early-stage impact startups.
Despite a high interest in solar energy among UK households, the high initial costs have led to only 4% of homes having solar installations. On average, the average cost of installing a solar energy system is over £10,000, which is challenging given nearly 50% of UK households have less than £5,000 in savings. This is where UK-headquartered Sunsave comes into the picture.
UK’s first solar subscription service
Founded in 2022 by two friends who met at Oxford University – Alick Dru and Ben Graves, Sunsave has netted £5.4 million in seed funding. The round was led by Europe’s leading impact venture capital fund Norrsken known for its recent investments in Northvolt, Material Evolution, and Granular Energy alongside previous investors IPGL and Plug and Play.
The round also saw participation from angel investors, including Stuart Rose (Chairman of Asda), Michael Spencer (Founder of Nex Group/ICAP), Roland Rudd (Founder of Finsbury) and renowned industry leader Bill Nussey (Author of ‘Freeing Energy’). With this round, the total funding raised by the company accounts for £9.2 million.
Sunsave will use the investment to launch the UK’s first solar subscription service. It intends to use the funds for commercialising its solar subscription model and product development. This lets additional savings to be generated from demand flexibility. Also, the UK startup plans to grow its team with experts from the energy and personal finance sector.
Recent additions to its team include marketing director Russell Smith (who worked at Monzo and Wise), chief of staff Alfie Ireland (formerly OVO Energy), and product manager Helen Taylour (early team member of Bulb).
Long-term solar subscription model
Sunsave’s subscription model offers a long-term solution with a 20-year guarantee, covering ongoing monitoring and maintenance. This approach addresses a critical gap in the renewable energy market, such as financing, installation quality, and aftercare. Customers can experience hassle-free installation, immediate energy savings, and monthly payments starting from £69 without any upfront costs.
Alick Dru, co-founder at Sunsave, said: “We’re demonstrating to UK consumers that being green doesn’t have to be a choice between doing what’s right for the environment or doing what’s best for your pocket. With Sunsave’s solar subscription, you can go green and save money immediately. With energy prices expected to remain elevated for the foreseeable future, this is more important than ever.”
Ben Graves, co-founder at Sunsave, added: “We have an enormous ambition to help the country get to net zero through revolutionising green finance and making the power of solar accessible to all UK households. This significant investment round, combined with our recent FCA approval, provide a strong platform for our mission.”
Agate Freimane, founding General Partner at impact investor Norrsken VC, added: “Sunsave’s new offering removes the biggest barrier to entry for people in the green transition: cost. This FCA-approved subscription service is a gamechanger, enabling thousands more homeowners to unlock the potential of renewable, cost-efficient solar energy every year. We’re thrilled to back Alick, Ben and the team as they help build the UK’s path to a cleaner, more sustainable future.”
Bill Nussey, industry leader and author of ‘Freeing Energy’, added: “There is enormous pent-up demand for rooftop solar in the UK. Sunsave has assembled a world-class team that is uniquely positioned to unlock the opportunity.”
