Jurisdiction(s):
United Kingdom

Spending Review 2025 (SR25): UK energy security and net zero funding—nuclear and fusion, CCUS/hydrogen, Great British Energy, renewables, Warm Homes Plan, environmental resilience, and regulatory outlook

Published on: 12 June 2025

Published by a LexisNexis Energy expert

Legal News

Article summary

SR25

SR25 has underpinned the government’s enduring pledges on energy security, net zero and economic growth. Framed through the lens of 'securonomics', the review sets out a governing approach that signals a focus on national security and economic robustness, with energy security cast as a pivotal strand of that agenda. At its heart sit sizeable commitments to nuclear and fusion, alongside ongoing backing for renewables to achieve Clean Power by 2030 (CP2030), including, in particular, support for carbon capture, usage and storage (CCUS) and hydrogen production schemes, help to accelerate floating offshore wind, the capitalisation of Great British Energy, and further investment in efficiency via the Warm Homes Plan. Many of these allocations had been trailed before and are therefore confirmed rather than freshly unveiled in SR25. Even so, the package should continue to shore up confidence across the sector that the government intends to deliver on economic growth and energy security aims through to (at least) the end of this Parliament. On the environmental front, the review also restated backing for climate adaptation, natural capital and sustainable agriculture as fundamental to national resilience and long-run economic sustainability...

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