Ambitious electricity grid investment could boost construction by £20bn, Arup report says

Ambitious investment in the UK energy grid over the next 15 years could provide a four-to-one return on investment, according to a new study, with the construction sector alone standing to grow by £20bn.

Published earlier this week (10 February), the report by built environment consultancy Arup also concluded that an additional 92,000 extra jobs could be supported in any given year if grid modernisation is “supercharged”.

Based on modelling two investment scenarios, Gridunlocked: Unlocking the Benefits of Investing in the Electricity Grid also found that ambitious investment in the electricity grid could reduce the UK’s reliance on unabated gas. “By shielding businesses and consumers from global price volatility, it strengthens energy security and supports the development of a more diverse, decentralised and resilient system,” an Arup announcement said.  

The report emphasised that grid investment alone would not provide the benefits. It also called for a “more joined-up, programmatic approach to planning and delivery across generation, storage, transmission, distribution and demand-side flexibility”. Digitalisation could further enhance grid flexibility and stability.

“Our research shows that ambitious grid investment is a catalyst for economic growth, job creation and energy security,” said Mark Neller, Arup energy leader for the UK.

“The choices we make today will determine the pace and success of the UK’s energy transition… By investing wisely, designing boldly and delivering with purpose, we can unlock a more affordable, secure and clean energy system for all.”

Juergen Maier, chair of Great British Energy, added: “Expanding electrification across UK homes, industry and businesses is essential to cutting bills, lowering emissions and improving energy efficiency.

“At Great British Energy, our role is to unite public and private sectors to unlock investment. The Gridunlocked report by Arup helps to show what can be achieved by working in partnership, delivering significant investment for long-term grid security and energy-efficiency opportunities.”

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