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2025

Path to Net Zero

Policy Landscape in the UK

Outlook

04 |Outlook

Contracts for Difference (“CfD”) Scheme

Driving Low-Carbon Generation

Grid Connectivity Reforms

Unlocking Grid Capacity for Renewable Growth

Great British Energy (“GBE”) Bill

Accelerate Low-Carbon Infrastructure

Planning and Infrastructure Bill

Fast-Tracking Renewable Approvals

National Wealth Fund (“NFW”)

Net Zero Investment Agenda

The Crown Estate
Act

Driving Wind Capacity Growth

Looking ahead, the UK is entering a decisive phase for scaling utility-scale renewables, with momentum building across private capital, public funding, and policy reform.

Overcoming Historical Underinvestment

The UK has historically experienced underinvestment in innovation, supply chains, and grid infrastructure; current government policy is structured to deploy public funding in a way that mobilises substantial private capital and anchors investment domestically.

Strong Foundations Feeding Forward Momentum

Building on strong foundations—evidenced by £51 bn of low-carbon investment in 2024, the fourth highest globally—this approach is intended to accelerate technological advancement and enable the large-scale delivery of clean energy projects.

Boosted Investor Confidence Since Mid-2024

Since the new UK government took office in July 2024, £43.7 bn of private investment has been announced in the UK’s clean energy industries, signalling renewed confidence in policy direction and delivery.

Future Commitments Through the Clean Energy Industries Sector Plan

The government’s 10-year Clean Energy Industries Sector Plan (June 2025) doubles annual investment ambition to £30 bn by 2035, backed by measures to transform the national grid and develop domestic supply chains across offshore wind, solar, nuclear, hydrogen, and storage.

Public Capital as a Catalyst for System Change

Dedicated funds—including the NWF (£27.8 bn), the £1 bn Clean Energy Supply Chain Fund, and equity commitments through GBE—are designed to de-risk large-scale projects, strengthen domestic manufacturing, and crowd in further private investment.

Policy Architecture to Accelerate Delivery

Reforms to CfDs, CM auctions, grid connection processes, and planning rules are improving bankability, shortening delivery timelines, and ensuring that generation growth is matched with timely transmission and distribution upgrades.