Great British Energy Act 2025
Act of Parliament | |
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Long title | An Act to make provision about Great British Energy. |
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Citation | 2025 c. 16 |
Introduced by | Ed Miliband, Secretary of State for Energy Security and Net Zero (Commons) Lord Hunt, Minister of State for Energy Security and Net Zero (Lords) |
Territorial extent | England and Wales Scotland Northern Ireland |
Dates | |
Royal assent | 15 May 2025 |
Commencement | 15 May 2025 |
Status: Current legislation | |
History of passage through Parliament | |
Text of statute as originally enacted | |
Revised text of statute as amended |
The Great British Energy Act 2025 is an Act of the Parliament of the United Kingdom which establishes Great British Energy, a publicly owned energy company. Overseen by the Secretary of State for Energy Security and Net Zero, the company is tasked with accelerating the development of clean, domestically produced energy in the United Kingdom and supporting the nation's net-zero commitments.
Background
[edit]The proposal for Great British Energy was first announced by Keir Starmer at the Labour Party's 2022 conference.[1] It was subsequently formalised as a key policy in the party's 2024 general election manifesto, Change. The party argued that public ownership would enable strategic long-term investment in energy infrastructure, ensure energy security, and return profits to the public sector.[2]
Legislative history
[edit]The bill was introduced to the House of Commons in July 2024 by Ed Miliband, the Secretary of State for Energy Security and Net Zero. It underwent detailed scrutiny and amendment in both Houses of Parliament, receiving cross-party support in some areas while facing opposition over issues such as funding transparency and government interference in energy markets.[citation needed]
Legislative consent motions were successfully sought from the Senedd, the Scottish Parliament and the Northern Ireland Assembly.[3][4][5] The legislation was the first bill to receive legislative consent by all three devolved legislatures since the 2024 general election.[6]
The bill received Royal Assent on 15 May 2025 and came into force on the same day.[7]
Provisions
[edit]The Act sets out the statutory basis for the creation and operation of Great British Energy (GBE). Key provisions include:
- Establishment of GBE as a state-owned company with operational independence
- Powers to invest in, develop, and own energy generation infrastructure
- Obligations to promote environmental sustainability and deliver value for public money
- A requirement to publish annual reports to Parliament on finances, strategy, and project progress
- Provisions for ministerial oversight and appointment of a board of directors
The Act also outlines the legal powers necessary for the company to enter partnerships with private firms, local authorities, and international investors, subject to government approval.
Amendments
[edit]During its passage through Parliament, concerns were raised about modern slavery, following concerns raised about to materials such as solar panels manufactured in China.[8][9][10]
An amendment proposed by members of the House of Lords was pre-empted by the government introducing its own proposed amendment with anti-slavery provisions, which was passed.[11]
The Conservative Party proposed an amendment, moved by Lord Offord of Garvel, to hold GBE accountable for government predictions of cutting energy bills by £300, however, it was rejected.[12][13]
See also
[edit]References
[edit]- ^ Walker, Peter (27 September 2022). "State-backed energy and a 'sense of hope': Starmer sets out stall as No 10 contender". The Guardian. Retrieved 15 May 2025.
- ^ "Make Britain a clean energy superpower". Labour Party. Retrieved 15 May 2025.
- ^ Haines, Chris (5 February 2025). "Senedd backs GB energy bill". Nation.Cymru. Archived from the original on 8 February 2025. Retrieved 16 May 2025.
- ^ Pooran, Neil (6 February 2025). "Tory MSP brands GB Energy a 'sham' as Holyrood passes consent motion". Independent. Archived from the original on 16 May 2025. Retrieved 16 May 2025.
- ^ Black, Rebecca (11 February 2025). "Stormont backs GB Energy Bill despite concern over 'lack of detail'". The Independent. Archived from the original on 16 May 2025. Retrieved 16 May 2025.
- ^ Green, Molly (15 May 2025). "Great British Energy Bill passes through parliament". Current News. Archived from the original on 16 May 2025. Retrieved 16 May 2025.
- ^ "Great British Energy Act 2025". Parliament.UK. 15 May 2025. Retrieved 15 May 2025.
- ^ "Great British Energy Bill - Hansard - UK Parliament". hansard.parliament.uk. 15 May 2025. Retrieved 15 May 2025.
- ^ "Great British Energy Bill" (PDF). publications.parliament.uk.
- ^ Farley, Harry; Nevett, Joshua (23 April 2025). "GB Energy to be blocked from using slavery-linked solar". BBC News. Archived from the original on 23 April 2025. Retrieved 17 May 2025.
- ^ "Great British Energy Bill receives Royal Assent". www.parliament.uk. Retrieved 18 May 2025.
- ^ "Government defeats bid to make GB Energy prioritise cutting bills by £300". The Independent. 15 November 2024. Retrieved 15 May 2025.
- ^ "Great British Energy Bill - Hansard - UK Parliament". hansard.parliament.uk. 20 May 2025. Retrieved 20 May 2025.