The UK’s energy infrastructure is set for a monumental transformation, as National Grid unveils plans to nearly double the amount of electricity it can transport across the country.
The unprecedented £35 billion investment, announced as part of the company’s five-year business plan for April 2026 to March 2031, has been described as the “most significant step forward in the UK’s transmission network for a generation.”
This ambitious initiative will enhance the resilience, capacity, and sustainability of the electricity grid to meet the growing demands of a net-zero future.
The move is expected to not only support the UK’s transition to renewable energy but also foster economic growth, create thousands of jobs, and help industries electrify their operations.
Chief Executive John Pettigrew underscored the importance of the investment in a statement, noting that it would “support the electrification of the industries of today and tomorrow, create new jobs, and support inward investment for the UK.”
Pettigrew also emphasized that the upgrades would “future-proof the network with strategic capacity and flexibility for the longer term.”
National Grid currently manages a vast network comprising 22,000 pylons, 7,000 kilometers of overhead lines, and 300 substations across the UK.
The proposed £35 billion investment will fund a comprehensive upgrade of this infrastructure to significantly boost the grid’s capacity and flexibility.
Under the plan, 17 new renewable energy projects will be constructed as part of Ofgem’s Accelerated Strategic Investment (ASTI) scheme.
These projects aim to integrate more renewable energy sources, such as wind and solar, into the grid, ensuring the UK can meet its ambitious climate targets.
Additionally, existing transmission lines and substations will be modernized to improve efficiency and reliability.
The ripple effects of this massive investment are expected to be far-reaching. National Grid estimated that the plan will support the creation of 55,000 new jobs by 2030, spanning roles in engineering, construction, and supply chain management.
This employment boost is likely to contribute significantly to the UK’s economic recovery and regional development, particularly in areas where new projects are located.
Strategic Preparations and Funding
To support this ambitious undertaking, National Grid has already laid the groundwork for delivery.
Earlier this year, the company completed a £7 billion equity raise, using the fresh capital to fund a £60 billion investment across its broader group until March 2029.
This move, combined with partnerships secured through the ASTI scheme, ensures the company has the financial resources and strategic backing needed to execute its plans.
“We’ve laid the foundations for delivery through the steps we’ve already taken to progress ASTI projects, secure the supply chain, and fund the wider group.”
John Pettigrew, Chief Executive National Grid
Pettigrew also highlighted the company’s commitment to keeping consumer bills and affordability at the forefront of its strategy.
The announcement comes on the heels of National Grid’s strong financial performance in 2023, with the company reporting a more than 25% rise in profits in its half-year results.
While some critics have questioned the profitability of energy operators amid rising consumer energy bills, National Grid has sought to position this investment as a win-win for both the company and the public.
By expanding its capacity to transport renewable energy and modernizing its infrastructure, National Grid is aiming to play a pivotal role in the UK’s green transition.
The investment will enable the electrification of industries such as transport, manufacturing, and construction, which are vital to reducing the nation’s carbon footprint.
For consumers, businesses, and the environment, the potential benefits of this investment are enormous.
If successful, the plan will position the UK as a global leader in renewable energy infrastructure and pave the way for a greener, more sustainable future. As Pettigrew aptly put it, “This is an ambitious plan for an ambitious future.”
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