A little something for everyone, the spending review
16th Jun 2025
Let’s put to one side the debate about whether government spending is too high or not; or whether certain departments, like defence, got enough cash or not; let’s look at what happened in our sector for a moment.
The big winners were without doubt nuclear, either the Sizewell C announcement or that of investment in small modular reactors or nuclear fusion. We saw investments announced in offshore wind, hydrogen and carbon capture and storage. In short, some serious money being planned in a range of technologies gearing towards clean power and green industry.
Domestically, the Warm Homes Fund commitment was confirmed at over £13 billion, to cover energy efficiency and low carbon technologies. The exact breakdown is not yet known, details to come out in October, but we should expect to see existing technologies like heat pumps supported but also other options such as batteries or possibly smart connections with cylinders. The key will be a full range of technologies but to ensure fairness in delivery, how the policy works will demand closer scrutiny.
Let’s not forget the elephant in the room. Last week we also saw the government announce a major U-turn on the winter fuel payment. Why I mention this is not to discuss the merits or otherwise of the move but to remind us all that energy policy (in particularly affordability) is high on the political agenda and will remain so.
Mike Foster
EUA's Chief Executive
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