The government has committed £20bn to CCUS cluster development
Boost for blue hydrogen in UK spring budget
Government’s £20bn funding pledge for CCUS is positive for blue hydrogen projects lining up to join ‘track one’ clusters
The UK's recently unveiled budget may be a disappointment for green hydrogen, but it presents a step forward for the deployment of the blue variety this decade. The UK government has budgeted £20bn ($24bn) towards the deployment of CCUS, with support aimed initially at ‘track one’ clusters due to start coming online by the mid-2020s. No additional funding has been committed to the ‘hydrogen business model’ support scheme, despite industry concerns that the 250MW cap on the current funding round for electrolytic projects will leave credible projects unfunded. However, the funding commitment for CCUS is a positive sign for the blue hydrogen projects shortlisted for connection to the track-one
Also in this section
23 December 2025
Government backing and inflow of private capital point to breakthrough year for rising star of the country’s clean energy sector
19 December 2025
The hydrogen industry faces an important choice: coordinated co-evolution or patched-together piecemeal development. The way forward is integrated co-evolution, and freight corridors are a good example
10 December 2025
Project developer Meld Energy ready to accelerate 100MW project in Humber region after securing investment from energy transition arm of private equity firm Schroders Capital
9 December 2025
BP and Engie abandon large-scale green hydrogen projects in Gulf state as developers in all regions continue to struggle with lack of firm offtake
