UK commits £22bn to CCS, hydrogen projects
UK Prime Minister Sir Keir Starmer on October 4 committed £22bn over the next 25 years to support carbon capture and storage (CCS) and related hydrogen projects in England’s Teesside and Merseyside regions.
Major funding for the two CCS clusters will directly create 4,000 jobs and support 50,000 other jobs while generating £8bn of private investment in the two areas, together considered to be England’s industrial heartland.
“We’re reigniting our industrial heartlands by investing in the industry of the future,” Starmer said. “Today’s announcement will give industry the certainty it needs – committing to 25 years of funding in this groundbreaking technology – to help deliver jobs, kickstart growth, and repair this country once and for all.”
The prime minister confirmed the funding during a visit, along with Chancellor of the Exchequer Rachel Reeves and Energy Secretary Ed Miliband, to a glassmaking factory in Cheshire.
The commitment to support CCS and carbon capture, utilisation and storage (CCUS) was first made in 2009, but successive Labour governments since then have failed to prioritise capital investments, Reeves told the BBC.
“Working in partnership with business is at the heart of our plan to deliver strong growth and investment, so we can rebuild Britain and make everyone better off,” she said as part of the funding announcement.
The two clusters at Teesside and Merseyside are expected to capture and store some 8.5mn tonnes/year of CO2 from 2028 and are the lynchpins in broader UK plans to capture 20-30mn tonnes/year of CO2 by 2030.