Prime Minister Andy Burnham is set to announce the creation of a new public entity, branded as Great British Grid, during his first party conference address as Labour leader in Liverpool on Tuesday. The initiative aims to accelerate connections to Britain’s electricity network by introducing more competition for transmission projects.
Burnham is expected to position this move as a key step toward aligning UK energy costs with those of other European nations within the next decade. He will argue that faster grid access addresses a “cost crisis” that has been detrimental to businesses and frames the new body as the first major action toward increasing public control over utility services.
The new public company will work alongside the three private firms currently managing the UK’s grid infrastructure, investing in and competing for connection projects. It will also assist companies waiting for grid access by co-investing in necessary infrastructure. Funding for the Great British Grid is set to come from the existing budget of GB Energy, a public green investment company established by Labour last year and based in Aberdeen.
This expansion is critical as the UK shifts power generation from fossil fuel stations to renewable sources like offshore wind, which are often located in remote areas. The energy regulator Ofgem estimates that £70 billion in grid investment is needed between 2025 and 2031, a fourfold increase from current rates. A recent National Audit Office report highlighted that delays in grid connections have significantly increased, prompting the need for this structural change.
In his speech, Burnham is also expected to outline how he plans to finance a new NHS-style social care system for England. While acknowledging the need for an “honest conversation” with voters on difficult topics, the Prime Minister stated that the party remains committed to hope. These announcements come ahead of a challenging Budget due at the end of next month, where rising borrowing costs have limited the government’s fiscal flexibility.
Speculation has emerged that Burnham may review the “triple lock” policy for state pensions to free up funds for social care, a guarantee that has been included in every Labour manifesto since 2015. However, Chancellor John Healey declined to confirm whether this protection would remain in the next election manifesto, telling BBC Radio 5 Live that the details would be finalized closer to the time.
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