The UK government has announced an initial £300 million funding package ahead of the Spending Review for Great British Energy to invest in supply chains for offshore wind. Individual companies will be able to apply for grants if they can show that they will produce long-term investments in UK supply chains.
The announcement was made on Thursday, 24 April, ahead of the International Summit on the Future of Energy Security hosted by the UK Government and International Energy Agency in London.
The decision, to bring forward £300 million funding for offshore wind supply chains, was interpreted as “a clear signal of intent” by Bill Main, Deputy Managing Director of Balmoral Group, and it seemed potentially to augur “the kind of momentum we need to maintain if we’re serious about leading the global energy transition.”
However, such potential would be unrealised without funding that is “as agile as the industry it’s intended to support”.
“We hope this announcement paves the way for a more responsive approach and unlocks more private investment that will enable businesses to move at pace and maintain the UK’s competitive edge in clean energy.”
Jon Hiscock, CEO of UK-headquartered voltage control experts Fundamentals, hoped there might be greater clarity on how to ensure funding gets to where it’s needed, with the electrical grid being an overlooked priority.
“The government’s decision to bring forward £300 million for offshore wind is a positive step, but it also highlights a critical gap. We urgently need a more coordinated Industrial Strategy that includes the supply chain for electrical equipment. You can’t deliver clean power, energy security, or economic growth without the infrastructure that enables it. The electricity networks industry must not be seen as just as a utility, but as a cornerstone of Britain’s energy future.
“Our grid is aging, constrained, and wasn’t built for the complexity or capacity of low-carbon technologies. To meet the UK’s 2030 clean power targets, including integrating this new offshore wind energy, we need to unlock 225GW of grid capacity. But that transformation won’t happen by accident. Without targeted investment and policy alignment in grid infrastructure and the wider electrical supply chain, the UK’s clean energy ambition risks hitting a hard limit.”
Claire Mack of Scottish Renewables also leavened gratitude with hopes for a more strategic approach.
“Industry has repeatedly called for strategic ahead-of-time investment in domestic supply chains to ensure the economic benefits of offshore wind are captured in Scotland.
“Making these investments now across our diverse range of ports, manufacturers and suppliers will deliver the green industrial growth and high-skilled jobs we all want to secure.
“However, the value of these investments will only be realised through sustained project activity across Scotland’s unrivalled offshore wind pipeline. Developers and supply chains are working together to identify where funding of this scale can help to deliver a strong return for the country.”
