The UK is expected to see a major increase in clean energy investment as Great British Energy (GBE), in collaboration with the UK Government, The Crown Estate, and industry partners, has announced a £1 billion deal to expand the offshore wind supply chain
The initiative is designed to support the country’s industrial renewal and generate thousands of skilled, well-paid jobs in key regions.
Encouraging industrial growth through clean energy
This new public-private partnership will channel funding into the development of key infrastructure for offshore wind, such as turbine manufacturing, floating platforms, high-voltage cables, and port upgrades.
This investment marks a significant step forward in the government’s long-term plan to make the UK a global leader in clean energy.
At the core of this funding package is £300 million from Great British Energy, which was announced in April. This has catalysed a further £700 million in contributions from The Crown Estate and industry, creating a combined £1 billion investment. The funding will be used to support innovation and growth in industrial regions, including Teesside, South Wales, East Anglia, and Scotland.
Clean energy bonus to support deprived communities
In addition to the core investment, the government has also allocated up to £544 million through its Clean Industry Bonus (CIB) initiative. This funding is aimed at encouraging offshore wind developers to invest in Britain’s most economically deprived regions and prioritise clean supply chains.
The North East of England is expected to receive up to £200 million, potentially unlocking £4 billion in private investment. Scotland has been allocated up to £185 million to drive growth in ports and high-tech offshore wind components. In comparison, the East of England and Northern Ireland will receive £20 million and £25 million, respectively.
Developers receiving the bonus will now enter the bidding process for Contracts for Difference (CFDs), the government’s renewable energy auction. Only successful projects will receive the final funding allocations.
A new public finance “ecosystem” is also being formed to support the offshore wind sector. Great British Energy is bringing together major public finance institutions, including the National Wealth Fund, the Scottish National Investment Bank, Crown Estate Scotland, and the Development Bank of Wales, to accelerate the deployment of funds and build out domestic supply chains.
This collaborative approach is designed to increase investment in domestic manufacturing facilities, supporting the production of turbine towers, foundations, electrical components, and advanced offshore platforms.
Long-term growth and job creation
The offshore wind expansion is expected to support up to 14,000 new jobs across the UK over the next four years. These roles will range from electricians and engineers to manufacturing and logistics specialists, providing long-term employment opportunities in coastal and industrial communities.
Industry leaders believe this wave of investment could boost the UK economy by £25 billion by 2035 while also helping to prevent supply chain bottlenecks that can delay project delivery and raise costs.
