Energy & Tech
Prime Minister Andy Burnham is expected to announce the creation of Great British Grid, a new publicly owned company, in his first Labour conference speech on 29 September. The body is intended to speed up connections to Britain's electricity transmission grid by introducing competition for connection projects alongside the three private companies that currently own and manage the grid. Funding for Great British Grid is to be drawn from within the existing budget of GB Energy, the public green investment company established by Labour and headquartered in Aberdeen, rather than representing new public spending. The new body would also make it easier for firms waiting to connect to the grid to finance connection infrastructure themselves, with Great British Grid potentially co-investing in those projects. The announcement is framed around a 'cost crisis' in energy that Burnham describes as 'crippling for businesses', with a stated goal of bringing UK energy costs in line with European peers within ten years. Energy regulator Ofgem has estimated that £70 billion of investment is required in the transmission grid between 2025 and 2031, quadrupling the current rate of investment. A recent National Audit Office report warned that the number of projects waiting to connect to the grid had grown significantly while delays were also increasing, providing the political and practical backdrop for the announcement.
Why this matters
The creation of a state-backed competitor in the grid connection market would represent one of the most significant structural interventions in UK energy infrastructure since privatisation. By inserting a publicly owned entity into a market currently served by private network operators, the government is testing a hybrid model in which public capital competes with, rather than simply regulating, private players. The £70 billion investment requirement identified by Ofgem, combined with worsening connection queue backlogs, creates genuine urgency: delays in grid connection directly constrain the pace of renewable energy deployment and, by extension, the UK's ability to reduce energy costs and meet its climate commitments.
On the Ground
The legal work this generates is substantial across multiple practice areas. Energy and infrastructure lawyers will advise on the governance structure and constitutional documents for Great British Grid, its relationship with GB Energy, and the regulatory framework within which it will operate under Ofgem's oversight. Project finance teams will be engaged as Great British Grid co-invests in connection projects. Regulatory lawyers will need to track whether existing grid access and connection rules require amendment by secondary legislation. Procurement lawyers will advise on the competitive tender processes for connection projects. A trainee would assist with grid connection agreement analysis, planning permission and licence condition summaries, and regulatory filing coordination as the body's legal framework is established.
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