Allianz UK expands battery energy storage underwriting as UK grid capacity pipeline surpasses 60 gigawatts and Planning and Infrastructure Act reforms take effect
Allianz UK has expanded its underwriting capability for battery energy storage systems (BESS, meaning large-scale rechargeable battery installations that store surplus electricity from renewable sources and release it to the grid when needed), giving brokers access to specialist support as client demand for BESS insurance grows rapidly alongside the UK's renewable energy build-out. As of June 2026, Great Britain has approximately 10 gigawatts of grid battery capacity installed, against government targets of 24 to 27 gigawatts by 2030. The grid connections queue already contains battery capacity exceeding that 2030 target range by around 14.8 gigawatts, with total surplus capacity in the queue reaching 61.7 gigawatts against 2035 system requirements, reflecting the scale of investment flowing into the sector, according to the Department for Energy Security and Net Zero (DESNZ) and Ofgem. The Allianz expansion arrives as reforms under the Planning and Infrastructure Act 2025, taking effect from 24 July 2026, are intended to accelerate the consenting process for Nationally Significant Infrastructure Projects (NSIPs). Onshore generating stations, including BESS installations, are classified as NSIPs once they exceed 50 megawatts, requiring a Development Consent Order rather than standard planning permission. The reforms aim to deliver faster examinations and earlier Planning Inspectorate input, which will bring more large-scale, higher-value BESS projects to construction and operational stages more quickly. new proposition is designed for mid-market energy clients and sits alongside existing renewable energy capabilities across wind, solar, hydro, biomass, and anaerobic digestion. Fire risk, specifically the risk of thermal runaway in lithium-ion cells, remains the dominant underwriting challenge, with coverage now typically conditional on adequate fire mitigation systems and battery management monitoring aligned with National Fire Chiefs Council guidance.