Energy

DIP-ping into the DESNZ budget

The outgoing Prime Minister has confirmed that funding the Defence Investment Plan (DIP) will require capital projects in roads and energy to be scrapped. On top of the 1% reduction in capital budgets that all Departments must find to fund the DIP, DESNZ will be tasked with finding a further £2bn savings over four years.  For DESNZ this means a £100m capital budget reduction this calendar year, £600m in 2027/28, £700m in 2028/29, and £600m in 2029/30.  This article explores where these savings might come and potential impact on DESNZ commitments.   

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Government proposes Wholesale Contracts for Difference scheme

Last week, the Secretary of State for Energy, alongside the Prime Minister and the Chancellor, announced a series of measures aimed at reducing the impact of volatile gas prices on Great Britain’s wholesale electricity market, as geopolitical tensions in the Middle East continue to drive energy price uncertainty. But what do the proposed changes actually mean for the energy sector?

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What did the Chancellor say in the Spring Statement?

The Chancellor of the Exchequer, the Rt Hon Rachel Reeves MP, delivered her 2026 Spring Statement on Tuesday afternoon. The OBR’s forecast was made before the latest conflict developments in the Middle East and does not take into account any potential fallouts from this, such as impact on gas prices, which have risen steeply since the beginning of March.

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