Great British Grid must end £1bn clean energy constraints
Today’s data shows an encouraging uptick in renewable energy production, with electricity generated from renewable technologies increasing to a record 55.8% share in Q2 of 2026.
Commenting on the government’s latest energy trends data, Sheena McGuinness, Co-head of Energy and Natural Resources at RSM UK, said: “Today’s expected announcement of a new government body to invest in Britain’s grid network, Great British Grid, could be a pivotal moment for the sector. After chronic underinvestment, wholesale reform is needed to improve connection, capacity and utilisation.
“We continue to generate more renewable energy but delays to securing grid connection and current grid infrastructure remains a key barrier to utilising this energy. The combined cost of reducing wind turbine output due to grid constraints and increasing alternative generation this year has already surpassed £1bn in Britain, highlighting the significant financial impact of outdated infrastructure, and the crucial need for further investment to facilitate clean energy adoption.
“There is also a strong risk that renewable energy headwinds will hamper the progress of major projects and wider innovation plans. We have already seen announced delays to Nscale’s supercomputer complex, due to insufficient power supply. Without a long-term, sustainable plan for improving grid connection and infrastructure, other major projects will likely face similar delays or be put on hold.
“We are yet to see the impact of the Gunfleet Sands Supreme Court ruling on the pipeline for offshore wind and large infrastructure projects. The Supreme Court’s decision, released in April this year, denied tax relief for certain environmental and technical studies undertaken during the early development stages of offshore wind projects. These surveys are often a prerequisite to obtaining consent and progressing construction. While technical in nature, the ruling has real-world economic consequences, reducing project values by around 2% and potentially making some future projects less attractive to investors.
“While there was no coal-fired power station generation in the UK in Q2, coal imports totalled at 404 thousand tonnes from countries such as South Africa, the USA, Colombia and Venezuela. The carbon footprint of burning coal is still present, and it is also exacerbated by the transportation of imported coal.”