We Can’t Lead on Clean Energy if We Won’t Invest in It
Ahead of the Budget, Government has a choice: back Britain’s clean energy industries or risk losing the investment, jobs and energy security they deliver. The Renewable Energy Association (REA), representing over 400 UK companies across power, heat, transport and circular bioresources, is calling for targeted measures that would help reaffirm the UK’s position as a stable, attractive destination for clean energy investment. This is vital as US states supportive of renewables as well as the EU Green Deal Industrial Plan are drawing global capital elsewhere. The technology and investors are ready; what’s missing is a clear signal that we are. The Chancellor has an opportunity to restore confidence and keep Britain in the race.
Power and Flexibility
Take the power sector. The UK’s Contracts for Difference (CfD) scheme is one of the most successful renewable auction models in the world. But time is tight to meet the Government’s 2030 Clean Power Mission, and recent uncertainty over future allocation rounds has left investors guessing. We are calling for a rolling CfD allocation timetable with a clear, published budget for the next three rounds. This will give developers and investors the certainty they need to prepare bids and deliver projects at the pace required. This would help reaffirm the UK’s position as a stable, attractive destination for clean energy investment, vital at a time when the US Inflation Reduction Act and EU Green Deal Industrial Plan are drawing global capital elsewhere. The technology and investors are ready; what’s missing is a clear signal that we are.
Transport and Mobility
The transition to zero-emission transport must work for everyone, not only those who can afford a driveway. For a fraction of the Budget – £5 million, the Government could fund a chargepoint-sharing grant, allowing homeowners to make their private chargepoints available to neighbours. This step could unlock up to 50,000 new charging locations overnight, expanding access and cutting costs for those without driveways.
Heat and Buildings
When it comes to heating our homes, we face an even bigger challenge. Energy use in buildings still accounts for roughly a fifth of our emissions and is the UK’s second highest source of emissions. Yet too many households are locked out of the transition because upfront costs remain high.
The answer lies in low-interest loans and grants under the Government’s Warm Homes Plan, combined with salary sacrifice models similar to those that have successfully boosted electric vehicle uptake. These would remove upfront costs and improve affordability. The policy should also take a technology-neutral approach, supporting all eligible low-carbon options listed on the Energy Saving Materials List. Flexibility will allow homeowners and businesses to choose the best technology for their property and budget.
Circular Bioresources
Turning waste into a resource is one of the most effective and overlooked tools in the decarbonisation toolbox. The Treasury should commit to funding for local authorities to deliver effective food and garden waste collection campaigns under the Simpler Recycling reforms. Public awareness and education are critical: the International Solid Waste Association has shown that contamination from poor separation remains a major barrier to efficient recycling.
Funding these local and national education programmes would save processing costs, improve recycling quality and reduce landfill use while boosting the UK’s growing bioresources and composting sector. Properly funding high-performing food and garden waste collections, backed by national education campaigns, would not only cut contamination and landfill costs but also create jobs and new markets in bioresources and recycling.
An Investment in Security and Affordability
These proposals are not expensive giveaways. They represent targeted, evidence-based investments designed to crowd in private finance, enhance energy security and reduce long-term costs for households and businesses. By relying less on imported gas and more on home-grown clean energy, Britain can stabilise prices, build resilience and secure high-value jobs across every region. The renewable energy transition is well underway, but its continued success depends on policy consistency. Cutting or delaying support for renewables will not balance the books; it will only make Britain more exposed to international energy shocks and higher prices.
Cutting or delaying support for renewables will leave Britain more exposed to international energy shocks and higher prices
