The UK's renewable energy sector, including green power and sustainable energy, is set to grow significantly due to supportive government policies and a shift away from fossil fuels. Despite potential setbacks from policy changes like increased VAT on clean energy technologies and cessation of solar subsidies, the ambitious 2030 alternative energy targets offer vast opportunities for eco-friendly energy companies. The natural energy market is segmented into wind, solar, hydro, bioenergy, and others, with wind energy predicted to dominate. The low-carbon energy sector features key players like Vestas Wind Systems AS and Siemens Gamesa Renewable Energy SA.

The use of electricity by the British energy industry has annually declined for most of the past decade. In 2023, the sector's electricity consumption amounted to less than 20 terawatt-hours, the lowest figure in the period under consideration.

The UK's reallocated energy use and energy intensity - the level of usage per unit of economic output, by industry (SIC 2007 group - around 130 categories), 1990 to 2022.

United Kingdom Power Market is Segmented by Power Generation from Sources (Thermal Power, Non-hydro Renewable Power, Hydroelectric, and Nuclear Power) and Transmission and Distribution (T&D).

The UK's energy use by industry (SIC 2007 group - around 130 categories), source (for example, industrial and domestic combustion, aircraft, road transport and so on - around 80 categories) and fuel (for example, anthracite, peat, natural gas and so on - around 20 categories), 1990 to 2022.

Greater awareness about the effects of climate change has driven an aggressive decarbonising strategy spearheaded by renewables. Government targets and incentives encourage major investment in renewable assets among UK energy giants. Technology developments have boosted potential generating capacity, particularly in offshore wind, which has grown the fastest of all renewable energy sources. According to the Department for Energy Security and Net Zero, the share of electricity generated by major power producers from renewables surged from 34.5% in 2019-20 to 42.4% in 2023-24. Renewable generators' revenue is slated to climb at a compound annual rate of 8.7% over the five years through 2024-25 to reach £14.5 billion. Growth has been underpinned by the UK’s rapid expansion of renewable generating capacity. Offshore wind has recorded the most significant expansion in generation volumes as investors look to take advantage of technological advancements to tap into the UK's abundant natural resources. Soaring wholesale prices have added to revenue growth since H2 2021-22; however, operators of renewable generation assets that operate under a Contract for Difference (CfD) have been required to pay back the difference between wholesale prices and CfD strike prices, limiting the impact of a surge in wholesale prices on operating profit. Inflation-linked increases to fixed price mechanisms have also boosted growth. Revenue is forecast to jump by 11.4% in 2024-25. Revenue is forecast to swell at a compound annual rate of 11.1% over the five years through 2029-30 to reach £24.6 billion. The UK already has a strong pipeline of renewable assets set for delivery in the coming years, with ongoing government support likely to fuel further investment. In the short term, increased capacity is set against a backdrop of falling strike prices, though the extent of capacity expansion should support further growth. Hikes in strike prices secured in the most recent CfD allocation round will also boost growth in the longer term. Rising battery storage capacity should help support growth in renewables' share of the UK energy mix by reducing barriers associated with intermittent supplies of renewable power.

This statistic shows the gross value added (GVA) development in the nuclear energy industry in the United Kingdom from 2010 to 2013. The compound annual growth rate was 2.8 percent. The GVA from this sector was measured at 3.5 billion British pounds (GBP) in 2013. The United Kingdom has a long association with nuclear energy, opening world's first industrial scale nuclear power station in 1956, at Sellafield in Cumbria. While generally declining, energy consumed from nuclear sources in the United Kingdom still amounted to 15.9 million metric tons of oil equivalent in 2015. This is less than it was in 1998, but still a marked increase from the 11.9 million metric tons of oil equivalent seen in 2008. Of all the methods used to generate electricity in the United Kingdom in 2015, nuclear generated the third highest amount of electricity, at 70.34 terawatt hours compared with close to 100 terawatt hours for gas, and approximately 76 terawatt hours for coal. Due to the inherent risks nuclear energy carries, the merits of its use as a source of energy is generally a topic of strong conversation. In 2016, the Department of Energy and Climate Change's tracking survey found that 43 percent of respondents agreed that nuclear energy provides a reliable source of affordable energy, compared with just 16 percent that disagreed to some extent.

The UK's direct use of energy from fossil fuels and other sources (nuclear, net imports, renewables, biofuels and waste and reallocated use of energy by industry (SIC 2007 section - 21 categories), 1990 to 2022.

Estimates of total final energy consumption by sector.

Energy consumption from domestic, transport and industrial source broken down by key energy type (coal, gas, petroleum products, manufactured fuels, renewables and electricity). Data is measured in Gwh

Ktoe - Kilotonnes of Oil Equivalent.
GWh - Gigawatt Hours.

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Energy to gross domestic product ratio in the United Kingdom presented a trend of decline in the period of consideration, despite some oscillation, reaching the record low in 2023, when 73 metric tons of oil equivalent were needed to create one million British pounds. In the period under consideration, figures decreased by over 194 metric tons of oil equivalent per one million British pounds of gross domestic product.

The annual greenhouse gas emissions in the energy sector in the United Kingdom decreased by 37.8 million tons of CO2 equivalent (-10.88 percent) in 2020 in comparison to the previous year. Therefore, the annual greenhouse gas emissions in the United Kingdom saw their lowest number in that year with 309.67 million tons of CO2 equivalent. Notably, the annual greenhouse gas emissions in this industry have been, with the exception of 2012, continuously decreasing over the last years.The European Union (EU) as a party to the United Nations Framework Convention on Climate Change (UNFCCC) reports annually its greenhouse gas inventory for the year t-2 and within the area covered by its Member States. The inventory contains data on carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), perfluorocarbons (PFCs), hydrofluorocarbons (HFCs), sulphur hexafluoride (SF6) and nitrogen trifluoride (NF3). The EU inventory is fully consistent with national greenhouse gas inventories compiled by the EU Member States.Find more statistics on other topics about the United Kingdom with key insights such as GGE from industrial processing, GGE from the agriculture sector, GGE from waste management, GGE from the transport sector, and GGE from the manufacturing sector.

Between 2008 and 2022, the United Kingdom reported the largest number of energy industry mergers and acquisitions in 2022, totaling 120 deals. Among these, the alternative energy subsector accounted for 63 deals, followed by the electrical power generation and transmission subsector with 34 deals. Oil and gas came in third place with 19 transactions.

Primary energy consumption in the United Kingdom amounted to roughly seven exajoules in 2023. Overall, oil and natural gas were by far the most consumed fuels in the country. By comparison, consumption of primary energy from renewables stood at 1.38 exajoules that year, up from 1.36 the year prior.

The Report Covers Geothermal Energy Companies in the UK and the market is segmented by Application (Power Generation and Direct Heat Utilization).

Forecast: Energy Consumption in Industry in the UK 2023 - 2027 Discover more data with ReportLinker!