CCSA reactive statement

Responding to unconfirmed reports suggesting that funding allocated to Carbon Capture, Utilisation and Storage (CCUS) in the 2025 Spending Review could be redirected elsewhere, the Carbon Capture and Storage Association (CCSA) said:

 

The Government’s commitment to CCUS funding has unlocked billions of pounds of investment in a strategically important new UK industry.

 

CCUS is no longer a future ambition; it is already being delivered. The first major CCUS projects are under construction in the North West, North Wales and Teesside, generating immediate opportunities for UK businesses. For the initial projects, over £3.5bn of supply chain contracts have already been awarded, supporting a combined 5,000 jobs during construction across the UK and retaining our critical industries.

 

Any suggestion that committed funding may be at risk creates uncertainty at a pivotal moment. Maintaining investor confidence is essential to unlocking private sector investment and ensuring the UK’s CO₂ storage infrastructure becomes the foundation of a world-leading CCUS industry.

 

CCUS promotes economic growth, industrial competitiveness and provides essential energy resilience and product security, whilst reducing CO₂ emissions. At a time of increasing global economic and geopolitical uncertainty, these benefits are becoming more important, not less.

 

Olivia Powis, CEO of the CCSA, said:

“The Government’s commitment to CCUS has helped unlock billions of pounds of private investment and move major projects into construction. Maintaining investor confidence in committed funding at this critical stage will be essential to supporting delivery, strengthening the UK’s energy and industrial security and resilience and securing the full economic benefits of CCUS.”