Responding to the Chancellor Jeremy Hunt’s Spring Budget, RenewableUK’s Executive Director of Policy and Engagement Ana Musat said: 

“Today’s Budget does not create the framework needed to mobilise investment and turn the UK into a clean energy superpower. It will not enable the renewable energy industry to build vital new projects much faster or grow supply chains. We need much bolder action to scale up far more rapidly, to boost Britain’s energy security and provide cheap power to consumers. 

“Although we welcome the increase in capital allowance rates, this only lasts for three years and will do little to encourage long-term investment in the UK economy and attract the capital required to build key infrastructure such as ports and our transmission grid. A review of the capital allowance regime as a whole and clarity about its long-term stability are needed to ensure the UK remains an internationally competitive investment destination.

“The creation of Investment Zones could enable the expansion of our supply chains, particularly in offshore wind, bringing more industrial benefits to areas like Teesside, but it doesn’t amount to the comprehensive industrial strategy we need urgently. 

“Overall we need a much bigger response to match the incentives being offered to renewable energy developers by the US and the EU – this wasn’t forthcoming today, and we hope the Chancellor’s announcements later this month on the UK’s pathway to net zero and energy security will remove the key fiscal and non-fiscal barriers to the growth of the renewables sector”.