Prime Minister Andy Burnham is set to announce the creation of a new government-backed entity, Great British Grid, during his first party conference speech as Labour leader in Liverpool on Tuesday. The publicly owned company is designed to accelerate grid connections by fostering competition for connection projects, forming the cornerstone of his ambition to bring UK energy costs in line with European peers within a decade.
Addressing the energy cost crisis
Burnham is expected to frame the initiative as a direct response to an energy “cost crisis” that has proven “crippling for businesses.” He intends to use the speech to promise an “honest conversation” with the public, signaling his intent to confront “difficult issues” that have historically been neglected. This move is presented as the first major step in his broader strategy to establish greater public control over national utilities.
Operational mandate and investment
- The new body will invest in and compete for transmission connection projects, operating alongside the three private firms that currently own and manage Britain’s national grid.
- To streamline the process, the party will make it easier for firms waiting for grid access to finance their own connection infrastructure; GB Grid will provide support and may co-invest in these projects.
- Funding for the entity will be sourced from the existing budget of GB Energy, the public green investment company established by Labour last year, which is currently headquartered in Aberdeen.
While the full operational details of the body remain to be finalized, the announcement underscores a significant shift toward increasing public oversight of critical national energy infrastructure.
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