Electric Power, Energy Transition, Emissions, Renewables

October 29, 2025

UK strengthens climate commitments despite political pushback

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HIGHLIGHTS

New strategy focused on lowering costs, driving economic growth

Government reaffirms 2030 target for decarbonizing power sector

Plan faces pushback from policymakers, opposition parties

The UK government doubled down on its clean energy ambitions by unveiling a comprehensive climate strategy on Oct. 29 focused on growing its renewables sector while lowering energy costs.

The department for energy security and net zero published the carbon budget and growth delivery plan, which outlines how the UK will meet its legally binding emission reduction targets covering the period from 2023 to 2037. Carbon budgets function as five-year caps on greenhouse gas emissions, with the government committed to setting carbon budget 7 by June 2026.

Central to this is the government's plan to stick to its target of decarbonizing the power sector by 2030.

This announcement comes as the UK government has faced pushback on its ambitious renewable targets by policymakers and opposition political parties.

The UK government has been urged to reframe its 2030 clean power target to prioritize cheaper energy bills.

Political opposition

In a recent report, the Tony Blair Institute for Global Change, the think tank led by the former UK prime minister, urged the government to rethink its political priorities. Among a series of recommendations designed to reduce costs, TBI called on the government to reverse a decision to scrap zonal power pricing and urged it to reform its contracts for difference system to "put risk back into the hands of energy suppliers rather than consumers."

But the government led by prime minister Keir Starmer insists its focus on clean energy will increase the country's energy security and lower bills, and drive economic growth.

"Today's plan reaffirms that clean energy is the economic opportunity of the 21st century. As we meet our climate targets we will deliver lower bills, warmer homes, cleaner air and good jobs in the clean energy industries of the future," said Climate Minister Katie White.

The UK's Clean Power 2030 ambition is centered on a rapid acceleration of renewables capacity, including a quadrupling of offshore wind, a tripling of solar and a doubling of onshore wind.

The Conservative Party recently pledged to scrap the UK Climate Change Act, while the right-wing Reform UK -- which is ahead of Labour in the polls -- has campaigned against the government's net-zero policies.

Industry concerns

Most business leaders and industry welcomed the plan, but they also highlighted persistent challenges, particularly high electricity prices that are hampering decarbonization efforts and investment competitiveness.

The Confederation of British Industry called for targeted industry support and a review of policy costs on energy bills to accelerate the clean energy transition benefits.

Nigel Topping, chair of the Climate Change Committee, acknowledged that there were some encouraging signs of progress but insisted a significant increase in roll-out rates was needed.

"Our number one recommendation remains to make electricity cheaper. This means taking policy costs off electricity bills," added Topping. "This is vital for ensuring the required scale-up of heat pump installations in the plan and we hope to see this addressed."

Emissions progress

UK's greenhouse gas emissions have been on a steep downward trend, with emissions falling 4% last year, driven by reductions from the electricity and industrial sectors.

Emissions in 2024 were recorded at 371 million mtCO2e compared with 385 million mtCO2e the previous year due to reduced gas and coal use in key sectors, provisional data showed. When compared to levels in 1990 -- used as a key reference year by many countries -- emissions were down 54%.

Levels from the electricity sector fell 15% year over year due to higher imports, greater renewable generation, and the closure of the UK's last coal-powered station in September 2024.

This comes as the UK continues to be increasingly powered by wind, solar, and other renewable sources. On peak days, renewables can account for over 50% of UK generation output. UK renewables outperformed fossil fuels in 2024, rising by 7% and generating 51.3% of the country's electricity, according to official data.

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