The UK government has announced a groundbreaking investment of nearly £22bn in carbon capture and storage (CCS) projects, aimed at significantly reducing carbon emissions from energy, industry, and hydrogen production. The funding will support the development of two major carbon capture clusters in Merseyside and Teesside over the next 25 years, which is expected to create thousands of jobs and attract £8bn in private investment.
This investment is seen as a key step toward meeting the UK’s climate goals, with the potential to remove 8.5 million tonnes of carbon emissions annually. Prime Minister Keir Starmer, alongside Chancellor Rachel Reeves and Energy Secretary Ed Miliband, visited the North West to confirm the government’s commitment, calling the move a “game-changer” for the industrial heartlands.
The project has garnered praise from industry leaders and climate experts for its potential to decarbonize sectors like glassmaking and steel production, while also securing energy supply. However, environmental groups like Greenpeace UK and Friends of the Earth have voiced concerns, arguing that the funds could be better spent on renewable energy solutions and home insulation, rather than extending the lifespan of fossil fuel industries.
With plans to begin capturing and storing carbon by 2028, this project marks a new era of industrial innovation, aiming to balance the UK’s decarbonization efforts with continued industrial growth.