The chancellor is preparing to unveil planning reforms aimed at accelerating clean energy and infrastructure developments by restricting the scope for judicial reviews.
Under the proposals, parliament would gain powers to classify major clean energy schemes as projects of ‘critical national importance’, allowing them to move through the planning system with limited chances to be exposed to legal challenges.
‘That would reduce the exposure from judicial review on all but human rights grounds,’ the Treasury said.
The measures are part of a wider package from the chancellor aimed at shielding the UK economy from the escalating Iran crisis and speeding up energy infrastructure investment ahead of the 2030 target.
Developers have frequently raised concerns over lengthy planning processes affecting offshore wind, solar farms and battery storage facilities, as well as prolonged waits for grid connections.
A spokesperson from the Treasury said: ‘The chancellor won’t stand for it any longer and is bringing forward bold changes to support delivery.
‘She is clear that parliament must take back control – to get Britain building the power plants, wind farms and grid connections that will bring bills down, strengthen our energy security and deliver growth in every part of our country.’
Research from consultancy Cornwall Insight found a record number of renewable projects secured approval across Britain last year. The total approved capacity for battery, solar and wind developments reached 45GW, representing a 96% increase compared with 2024.
Despite that growth, the consultancy noted that many schemes continued to face delays when getting started because of construction hold-ups and grid bottlenecks.
Martin Pibworth, chief executive of SSE, said: ‘Speeding up clean power and grid projects matters for one simple reason. It brings bills down. The faster we electrify heat and transport with homegrown electricity, the less exposed we are to volatile global fuel markets.
‘Every stalled windfarm or grid upgrade means families remain more exposed to gas prices we don’t control.’
News of the reforms come as the UK inflation rate falls to 2.8% in the year to April, as a result of lower electricity and gas prices. However, experts warned higher prices could be on their way.
Suren Thiru, chief economist at chartered accountants institute the ICAEW, said: ‘April’s slowdown is a final interlude before the inflation storm sparked by the Iran war hits as the Ofgem energy price cap reduction, aided by the chancellor’s cut to green levies, temporarily lowered the headline rate.
‘This decline is probably the last inflation fall for this year as surging fuel and food prices will probably haul it close to 4% this summer, while any escalation of the conflict in Iran opens the door to CPI hitting 5%.’
It emerged earlier this week that ministers had approached major supermarkets about freezing the prices of some essential foods – bread, milk and eggs – amid fears the war in the Middle East could fuel inflation.
The proposals, which were first reported by the Financial Times, come after the Scottish National Party pledged to introduce a similar policy last month. Although its cap would not be voluntary.
On Thursday (21 May), Reeves is also expected to announce additional cost-of-living measures to help struggling households, including scrapping a planned increase in fuel duty. But more on that tomorrow…
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