Department for Energy Security & Net Zero

NESO's analysis confirmed delivering clean power by 2030 is deliverable, more secure, and could see a lower cost of electricity, and lower bills.

We are committed to working with industry to grow our clean energy system with once-in-a-generation levels of energy investment – an estimated £40 billion, the vast majority of which will come from the private sector.

The government is leveraging public finance institutions like the National Wealth Fund and Great British Energy to catalyse private investment.

In November 2025, following careful deliberation, the Government announced that Wylfa will host Great British Energy-Nuclear (GBE-N) first Small Modular Reactor (SMR) project. Wylfa has the potential to accommodate more SMR units than other potential sites.

To pursue the option of further potential large-scale nuclear, the government has tasked GBE-N with identifying other suitable sites that could potentially host such a project. GBE-N will report back by Autumn 2026 on potential sites to inform future decisions in the next Spending Review and beyond.

The Department has not made specific projections of the number of offshore wind jobs attributable to the Hamburg Declaration.

However, the UK is already leading the way in delivering the commitments set out in the Declaration. Contracts for Difference Allocation Round 7 secured 8.4GW of offshore wind – the biggest ever auction in European history – unlocking 7,000 jobs and driving £22 billion of private sector investment into UK factories and ports.

The Government estimates that the offshore wind sector could support up to 100,000 direct and indirect jobs in Great Britain by 2030.

The ‘Community benefits and shared ownership for low carbon energy infrastructure: working paper’ (published in May 2025) sought views on the level of contributions, calculation methods and the scope of technologies to help assess these impacts to ensure that any scheme delivers benefits that outweigh potential costs. We will publish a Government response shortly. Additionally, we note that community benefits provision is already well-established in the onshore wind sector on a voluntary basis, meaning many developers factor this into their existing project practices.

Any decision on mandating community benefits will be informed by stakeholder feedback and follow an impact assessment.

The Declaration and its annexes do not create any rights or obligations under national or international law.

There has not been a specific assessment of the impact of the pact on electricity prices, but it will support the buildout of Offshore Hybrid Assets, which combine offshore wind farms with interconnectors. Interconnection can provide GB access to cheaper electricity and reduce the cost of running our energy system. They can help dampen price spikes in GB by providing access to lower‑cost electricity from neighbouring markets when domestic prices rise, improving the system's resilience and reducing price volatility. We import when energy is cheaper than in GB, so domestic families and businesses pay lower prices for their energy.

The government welcomes Nuclear Transport Solutions’ partnership with Westinghouse. Developing capability to make and transport advanced nuclear fuel is critical to shoring up the UK’s position as a nuclear world leader.

Great British Energy – Nuclear (GBE-N) owns the site at Oldbury-on-Severn in Gloucestershire. As a site which has previously hosted a nuclear power station, it has great potential for new nuclear, including advanced technologies. GBE-N is continuing early work to evaluate the site, to ensure it is ready for future deployment. This includes the potential to support any privately-led projects that might be developed by the nuclear industry.

Network developers, not Government, are responsible for assessing the cost and feasibility of construction methods for new electricity transmission infrastructure. This includes consideration of whether construction methods are technically deliverable and an assessment of any environmental impacts.

Undergrounding is significantly more expensive, with the Institution of Engineering and Technology (April 2025) estimating that it costs around four and a half times more than overhead lines. As these costs are ultimately borne by electricity bill payers, overhead lines are the Government’s starting presumption for new transmission infrastructure.

The Hamburg Declaration sets a collective ambition of 100 GW of offshore wind cooperation projects by 2050. National contributions were not specified. Future GB co-ordinated projects will be guided by domestic strategic energy planning conducted by our National Energy System Operator (NESO), which is due to be consulted on in Q1 2027.

The Secretary of State will be making a decision as to whether or not to agree to the grant of consent in due course.

The Department for Energy Security and Net Zero works closely across Whitehall and with domestic and international partners to assess and manage the resilience and security risks associated with increased shared offshore energy infrastructure in the North Sea.

Through this cooperation, and in line with the commitments made under the Hamburg Declaration, the Department is ensuring that future offshore hybrid assets and interconnectors are designed, operated, and maintained with proportionate protections against natural hazards and reckless or malign threats.

The United Kingdom benefits from a resilient and diverse energy system, supported by rigorous security and resilience standards and close coordination across government, industry, and international counterparts.

England and Scotland have established voluntary community benefits guidance for onshore wind, setting out best practice approaches with expectations that developers provide £5,000 per megawatt of capacity yearly over the project’s lifetime.

The quality and value of community benefits have increased over time in Scotland, with large scale projects commonly offering this figure or more. There is limited evidence in England given the de facto ban, however this will be monitored as deployment increases.

Government has sought views on the potential introduction of mandatory community benefits for low carbon energy infrastructure through our working paper, published May 2025.

GBE-N owns the site at Oldbury-on-Severn and as a site which has previously hosted a nuclear power station, it has great potential for new nuclear. GBE-N will continue early work to evaluate the site, to ensure it is ready for future deployment. .

The government wants to see thousands of jobs created across the UK nuclear sector and for UK supply chains to develop world-leading expertise across a range of civil nuclear activities to ensure competitiveness both domestically and internationally.

The Hamburg Declaration sets a collective ambition of 100 GW of offshore wind cooperation projects by 2050. Shorter term delivery targets will flow from strategic planning work such as NESO's Strategic Spatial Energy Plan due to be consulted on in Q1 2027.

The Hamburg Declaration does not place financial obligations on the UK.

Coordinating with our neighbours can cut costs, strengthen energy security and help build a more flexible system. Any future hybrid projects, combining interconnection with offshore wind, will be guided by the Strategic Spatial Energy Plan (SSEP) conducted by our National Energy System Operator (NESO), which will be consulted on in Q1 2027. The SSEP will take a whole systems approach, co-optimising electricity generation, interconnection and storage across GB out to 2050. This will ensure that our international ambitions are coherent with domestic needs.

The Secretary of State will be making a decision as to whether or not to agree to the grant of consent in due course.

The Department estimates greenhouse gas emissions (including carbon dioxide) on a territorial basis, meaning emissions that occur within UK borders. This is the approach required by the UN Framework Convention on Climate Change and the UK’s Climate Change Act 2008. The latest estimates are published here: UK territorial greenhouse gas emissions statistics - GOV.UK

Defra publishes consumption-based emissions statistics, calculated by the University of Leeds, which include emissions associated with imported goods and services. The latest estimates are published here: UK and England's carbon footprint to 2022 - GOV.UK

Last year, the Department consulted on measures to accelerate the adoption of low carbon products, including low carbon steel. The consultation is published here: Growing the market for low carbon industrial products: policy framework - GOV.UK

The Government does not plan to exempt Solent ferry services from the UK Emissions Trading Scheme at this time. Any potential impacts of the scheme on these services will be considered in a review of the UK ETS Maritime regime in 2028.

Due to the level of non-compliance found for EWI measures, the Government is offering a comprehensive on-site audit to all households where external wall insulation (EWI) was installed under ECO4 or GBIS. This check will be provided at no cost to the consumer.

Should any issues requiring action be found, these should be remediated by the original installer. Where the installer has ceased trading, protections under the installation guarantee policy should be invoked.

All measures installed under current government schemes are covered by a guarantee.

Under the Paris Agreement, 194 parties have committed to act to limit global warming.

It is right that developed countries should take the lead by undertaking economy-wide absolute emission reduction targets.

However, every country must accelerate action to tackle climate change this decade, recognising different national circumstances and in the context of sustainable development and efforts to eradicate poverty.

Countries on the front lines of the climate crisis face barriers to investment and increasing costs of dealing with the current and future impacts. The UK is committed to supporting them build resilience to current and future climate impacts.

Our mission for Clean Power by 2030 will get us off the rollercoaster of fossil fuel prices, to cut bills for businesses and households for good.

The Government remains committed to supporting industrial electrification and addressing barriers to investment, as highlighted in the 2023 call for evidence on enabling industrial electrification.

We are continuing to develop policies to bring down electricity costs relative to gas for the non-domestic sector and intend to consult on options to reduce costs and make low-carbon heat the economically rational choice. Stakeholders will therefore have a voice in shaping future electrification policy.

The Clean Heat Market Mechanism does not require a change in the price of fossil fuel boilers.

The Government took steps to change earlier proposals for the design of the Clean Heat Market Mechanism ahead of its launch in April 2025 to reduce the potential impact on boiler manufacturers and provide them more time to scale up supply chains.

The Government assessed the expansion of the United Kingdom Emissions Trading Scheme to domestic maritime on a scheme wide basis rather than for individual routes.

The Impact Assessment concluded that the policy is not expected to materially affect the competitiveness of ports or operators, and that applying the scheme consistently to domestic voyages and at berth emissions does not create a credible incentive for traffic diversion.

The Government recognises the importance of ferry services to the Isle of Wight. Any potential impacts of the scheme on these services will be considered in a review of the UK ETS Maritime regime in 2028.

The Government welcomes the many responses to the Voluntary Carbon and Nature Markets consultation. Officials are undertaking analysis of the responses received and the Government intends to publish its response in the first half of this year.

The £530,000 figure is not compensation. It is a community benefit recognising, transparently, the vital role that host communities play in delivering nationally important clean energy infrastructure.

The guidance applies only to onshore electricity transmission assets including transmission substations delivered by transmission network project developers. Whether a substation is associated with a solar farm or another project does not alter this: applicability is determined by its status as an in‑scope onshore transmission asset.

DESNZ has consulted on a mandatory community benefits scheme for low carbon energy infrastructure, including solar, a response will be published in due course.

In 2025, the Government consulted on whether to expand the Park Homes Warm Home Discount Scheme to other households without a direct relationship with their energy supplier (including those pay their landlord for energy). Given the cost of the scheme falls on energy bills it was decided not to expand the scheme in this way. Households who are ineligible for a rebate payment may still be eligible for support through Warm Home Discount Industry Initiatives.

The Government has not produced estimates of the additional cost per passenger ticket arising from the inclusion of domestic maritime within the UK Emissions Trading Scheme.

The Impact Assessment considers costs at sector-level rather than by route or fare type, as ticket prices and commercial decisions vary widely and cannot be robustly modelled.

The Assessment finds compliance costs are modest relative to operators’ overall costs and does not identify significant consumer price impacts, but notes early evidence from the EU Emissions Trading System suggesting short‑sea shipping routes and ferry fares increased by 3-11% under comparable carbon pricing.

It is not possible to provide a breakdown for individual rows within the dataset due to the way the OSCAR system shows monthly data collected during the year from departmental management accounts on a separate line to adjustments made at year-end to align final outturn with the published annual report and accounts.

Solar is an important part of the Government’s strategy for increasing energy performance of buildings and contributes to meeting the government’s fuel poverty targets.

The Warm Homes Plan will deliver £15 billion of public investment helping households take up measures like solar panels, heat pumps, batteries and insulation. Homeowners will soon be able to apply for government-backed, low and zero interest loans to assist with upfront costs for solar.

The Government published the Warm Homes Plan on 21 January 2026. The Warm Homes Plan will invest £15 billion, making it the biggest ever public investment to upgrade British homes and cut bills.

We will help millions of households benefit from solar panels, batteries, heat pumps and insulation that can save a typical household £550 a year compared to a gas boiler – reducing our exposure to the volatile international fossil fuel markets which have driven the cost-of-living crisis.

This comes on top of the measures announced at the Budget, which took an average of £150 of costs off energy bills from April 2026.

We will reach up to 5 million homes by 2030, tackle fuel poverty and create good jobs across the country. Our plan will unlock £38 billion in total investment across this Parliament, and with additional funding for skills, innovation and UK manufacturing, we will ensure that British workers and businesses reap the benefits.

The government is standing up for renters through new minimum energy efficiency standards in the private rented sector, and proposed standard for the social rented sector, which will lift around 650,000 households out of fuel poverty.

Landlords should provide clear communications about any changes, and government will provide guidance for landlords and tenants so that tenants know what to expect. There is also support available for landlords, including financing options.

The Renters’ Rights Act 2025 delivers stronger protections for tenants, including the right to appeal above‑market rents, the removal of Section 21 ‘no‑fault’ evictions, and a simplified tenancy structure. These measures increase security for renters and support them to challenge poor practice, and unfair rent rises without risking eviction.

The Capacity Market is our main tool for ensuring security of electricity supply. Each year the National Energy System Operator assesses the capacity required to meet expected peak demand four years ahead. All participating technologies are de-rated to reflect their expected contribution under periods of system stress, with interconnectors de-rated based on expected flows and technical availability. In the longer term, the Government is supportive of additional interconnection where future projects provide system benefits.

The US is one of our most important and longstanding international partners on civil nuclear and we are regularly in contact on civil nuclear matters.

The government has selected Wylfa as the site to host Britain’s first Small Modular Reactors. Meanwhile, to pursue the option of further large-scale nuclear, we have tasked Great British Energy - Nuclear with identifying suitable sites that could host a potential large-scale project.

The Warm Homes Plan will create good jobs across the country, with 180,000 additional high-quality, well-paid, future-proofed jobs in energy efficiency and clean heating by 2030. We are investing £15 billion to upgrade up to five million homes by 2030; the biggest ever public investment to upgrade British homes. This demonstrates our commitment to ramp up retrofit delivery. Chapter Six of the plan outlines the actions that the Government will be taking to support and facilitate growth, jobs and innovation, including establishing a new Workforce Taskforce in partnership with the Trade Unions Congress.

The Plan will unlock £38 billion in total investment across the Parliament, and with additional funding for skills, innovation and UK manufacturing, we will ensure that British workers and businesses reap the benefits.

From 1 July 2026, the emissions from the maritime sector to which the UK Emissions Trading Scheme will apply are:

• emissions from voyages beginning and ending in the UK, and

• emissions at berth and from movements within ports in the UK.

The EU Emissions Trading System does not apply to these emissions, and so there will be no double charging of emissions under both the UK ETS and the EU ETS.

The Warm Homes Plan will deliver £15bn of public investment and help lift up to a million families out of fuel poverty by 2030. This includes support for those on low-incomes and the introduction of minimum energy efficiency standards for the social rented sector, which will slash the cost of heating for families, making homes warmer and more comfortable. Macclesfield-based Peaks and Plains Housing Trust has secured £6.58m as part of the just under £1.15bn Warm Homes: Social Housing Fund. The funding will support energy efficiency and low‑carbon heating upgrades, helping raise properties below EPC Band C up to that standard.

The government recognises that ending ECO presents challenges for the supply chain. We will support the transition to opportunities provided by the Warm Homes Plan, in particular the additional £1.5 billion for upgrading low-income households. For this additional funding, we will use the procurement regime for all new funding to support the retrofit workforce affected by the closure of ECO, working closely with the retrofit supply chain, housing associations and local authorities. Officials are also working with the Department for Business and Trade on support that can be provided to employees and companies in the construction sector during this time.

The government recognises that ending ECO presents challenges for the supply chain. We will support the transition to opportunities provided by the Warm Homes Plan, in particular the additional £1.5 billion for upgrading low-income households. For this additional funding, we will use the procurement regime for all new funding to support the retrofit workforce affected by the closure of ECO, working closely with the retrofit supply chain, housing associations and local authorities. Officials are also working with the Department for Business and Trade on support that can be provided to employees and companies in the construction sector during this time.

The government recognises that ending ECO presents challenges for the supply chain. We will support the transition to opportunities provided by the Warm Homes Plan, in particular the additional £1.5 billion for upgrading low-income households. For this additional funding, we will use the procurement regime for all new funding to support the retrofit workforce affected by the closure of ECO, working closely with the retrofit supply chain, housing associations and local authorities. Officials are also working with the Department for Business and Trade on support that can be provided to employees and companies in the construction sector during this time.

The government recognises that some households may be unable to proceed with planned works before ECO4 ends. Support for eligible households will continue through the Warm Homes Plan, including £1.5 billion of additional low‑income grant for funding energy efficiency upgrades and low-carbon heating, to be delivered via the Warm Homes: Social Housing Fund and Warm Homes: Local Grant schemes. Further details on scheme eligibility and delivery will be provided in Spring 2026.

The £1.5 billion extra funding allocated to the Warm Homes Plan at the Budget will be spent on low-income households. This takes the total capital investment in the Warm Homes Plan to £15 billion – the largest ever public investment in home upgrades.

This comes on top of the measures announced at the Budget, which took an average of £150 of costs off energy bills from April 2026.

From 2025-28, funding for low-income home upgrades will be delivered through the Warm Homes: Social Housing Fund and the Warm Homes: Local Grant as previously announced, to help millions of households benefit from solar panels, batteries, heat pumps and insulation that can save a typical household £550 a year compared to a gas boiler – reducing our exposure to the volatile international fossil fuel markets which have driven the cost-of-living crisis.

The Government will set out further detail on the consumer loan offer in due course. Engagement with the lending industry is ongoing to support the development of a range of options suitable for different consumers and different technologies. Interest rates will vary across different types of products, all significantly discounted from market rates. This will ensure households have meaningful choice while keeping costs as low as possible. The Government's priority is to make these technologies affordable for households so that every family can access them and benefit from the associated bill savings.

The government recognises that ending ECO presents challenges for the supply chain. We will support the transition to opportunities provided by the Warm Homes Plan, in particular the additional £1.5 billion for upgrading low-income households. For this additional funding, we will use the procurement regime for all new funding to support the retrofit workforce affected by the closure of ECO, working closely with the retrofit supply chain, housing associations and local authorities. Officials are also working with the Department for Business and Trade on support that can be provided to employees and companies in the construction sector during this time.