Luke Samuel, Principal at L.E.K. Consulting
Last month, the Government announced the Great British Grid, a publicly owned body within Great British Energy that aims to accelerate the delivery of the electricity network infrastructure within the UK. This marks an encouraging statement of intent towards strengthening the country’s energy infrastructure and resilience, and recognising their importance to UK growth, investment and employment.
The creation of a publicly owned body able to invest in and compete for new network projects is significant, but it is only part of the answer. Grid constraints are slowing clean power, industrial investment and Britain’s opportunity to lead in artificial intelligence.
However, while additional capital is important, it is unlikely to, in and of itself, solve all the issues slowing the rollout. The government must now tackle planning delays, regulatory bottlenecks, skills shortages and supply chain pinchpoints that are leaving businesses waiting for power.
Turn ambition into action
The Great British Grid can bring fresh competition and capital into a market that needs both. Yet its main route, competitive tendering for Competitively Appointed Transmission Owners (CATO), is not expected to begin until 2027. Government and industry must accelerate the project pipeline and widen contestability at transmission level. Self-build options could help data centres and industrial developments connect more quickly.
Even so, investment alone will not transform delivery. The UK’s constraints reflect decades of under-investment, alongside rising demand from data centres, electric transport and heating. Therefore, progress must be matched by faster planning and consenting, reliable equipment supply and a stronger skills pipeline. Otherwise, projects will queue behind bottlenecks that capital cannot remove.
Build a grid fit for a new economy
The energy system is changing faster than the grid was designed to handle. DESNZ data shows that renewable generation rose by 5.7 per cent in 2025, reaching a record 52.5 per cent of UK electricity generation. This increasing share of variable renewable power, alongside battery storage, electric vehicles, domestic batteries, AI and wider electrification, is creating more complex patterns of supply and demand. Generation and consumption are also becoming more geographically dispersed, so grid management needs to evolve, and decisions need to happen faster.
Traditional approaches are no longer enough. The system needs greater flexibility and incentives to move demand towards surplus generation. It must also manage excess generation and large users with captive renewables, batteries or gas generation.
Prepare to compete and collaborate
Against this backdrop, the Great British Grid initiative opens opportunities across the energy market. Value chain participants should consider how the programme will shape the opportunities that are available to them. For example, design, engineering, procurement and construction (EPC) firms should consider consortium or self-build partnerships before GB Grid finalises its procurement frameworks. They also need to plan for how to demonstrate social value and support for the UK workforce. Equipment suppliers must plan carefully, balancing production for GB Grid against existing commitments while lead times remain lengthy.
Alongside these firms, infrastructure investors, particularly Offshore Transmission Owners (OFTOs), can partner with GB Grid on CATO bids and bring relevant experience to these consortia. Consortium terms must clearly allocate subsidy control risks. Incumbent transmission operators also need to engage with new participants, large users and businesses generating their own power as contestability increases.
Make the announcement count
The Great British Grid demonstrates that the Government sees energy costs and resilience as priorities for supporting UK growth, investment and employment. However, it cannot resolve the country’s grid constraints on its own.
The UK must move faster on projects, planning, skills, equipment and regulation. It must also deliver timely capacity, flexibility for changing supply and demand, and justifiable costs for major users and households. If the Government, network operators, investors and users act now, this initiative can turn its promise into real improvements for the UK’s energy system.
