The latest research published by the Solar Trade Association (STA) and PwC has found that a third of solar jobs have been lost over the last 12 months, while a further 30% of solar firms have forecast staff cuts over the next year.

The study surveyed 238 solar industry businesses which employ 3,665 staff between them now compared with 5,362 at the same time last year, which is a 32% fall.

The analysis shows that four in 10 companies are left with no alternative but to diversify into other markets or completely exit the solar market to keep their businesses going.

The survey also found that the number of job losses over the last 12 months could exceed 12,500, which is about a third of previous total employment in the sector.

In the next year, solar deployment is expected to fall from the 1GW average of the last five years to fewer than 300MW in the next 12 month period, which is a fall of 75%.

For quite some time the STA has been concerned with the UK’s lack of industrial strategy for the solar industry despite global energy investments being dominated more and more by solar power.

Now, the UK government is allocating just 1% of new renewable energy project expenditure to solar power under the Feed-in Tariff.

Therefore, the new Department of Business, Energy & Industrial Strategy represents a much welcomed chance to adopt a strategic approach to a relatively cheap and winning technology, according to the association.

STA’s Head of External Affairs, Leonie Greene, said that the survey shows that the British solar industry has suffered damage and the government should act promptly to resolve this.

Greene added: “We urge new ministers, rather than increase the tax burden of going solar, please reward investment with sensible solar tax breaks consistent with action on climate change. International experience of tax breaks is solid, and the industry is clearly behind this.”