Market Overview
The UK clean energy market size reached 163.8 TWh in 2025. It is expected to grow steadily with a CAGR of 6.95% from 2026 to 2034, reaching a market size of 299.8 TWh by 2034. Growth is fueled by increasing demand for renewable energy sources, favorable government policies, and technological advances. Wind and solar energy dominate, supporting the UK’s sustainability and decarbonization goals. For detailed insights, visit the UK Clean Energy Market.
Study Assumption Years
- Base Year: 2025
- Historical Year/Period: 2020-2025
- Forecast Year/Period: 2026-2034
UK Clean Energy Market Key Takeaways
- Market size was 163.8 TWh in 2025.
- CAGR is 6.95% during 2026-2034.
- Forecast period spans 2026 to 2034.
- The UK leads in offshore wind energy with significant government focus on increasing capacity by 2030.
- The Dogger Bank Wind Farm is poised to be the largest wind venture globally, supplying power to about 6 million homes annually.
- Solar power adoption is growing, with nearly 190,000 rooftop solar installations completed in 2023, the highest in 12 years.
- Energy storage, especially lithium-ion batteries, is expanding rapidly to support grid stability and renewable integration.
- Operational energy storage capacity is set to reach 7.4 gigawatt/11.6 gigawatt hours by the end of 2024.
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Market Growth Factors
The market for clean energy generated in the UK is increasing due to various government schemes/plans and the development of new technologies. The market size was 163.8 TWh in 2025 and is expected to grow at a CAGR of 6.95% to be 299.8 TWh by 2034. Government policies toward encouraging new renewable capacity and decarbonization targets are the main growth drivers.
Developing the offshore wind market, particularly to meet 2030 capacity in the UK where the country is a world leader, is an important area, and turbine development, as well as capital cost reductions have spurred private sector investment. The Dogger Bank Wind Farm will be the largest in the world when completed, generating enough power for around 6 million homes each year, supporting decarbonization and jobs.
Solar PV is being deployed rapidly, in part due to rapidly falling prices of PV with nearly 190,000 residential rooftop solar PV installations completed in 2023. The government pays or feeds back energy to the grid for small power producers. Solar installations are driven by the need for grid stability and the economics of large solar farms and energy storage technologies (notably lithium-ion batteries).
Market Segmentation
Energy Type Insights:
- Wind Energy: The UK’s offshore wind sector is growing with large projects and government support driving expansion, fostering decarbonization.
- Solar Energy: Growing adoption of rooftop and large-scale solar installations supported by government incentives and cost reductions.
- Hydropower
- Biomass and Waste-to-Energy
- Nuclear Power
- Others
Application Insights:
- Industrial: Usage of clean energy technologies in industrial applications is part of the market.
- Residential: Residential adoption of solar panels, especially rooftop installations, is increasing substantially.
- Commercial: Commercial sectors are adopting solar and wind energy to reduce energy costs and carbon footprints.
Regional Insights
The report identifies major regional markets such as London, South East, North West, East of England, South West, Scotland, West Midlands, Yorkshire and The Humber, East Midlands, and Others. However, no specific dominant region or precise market share statistics are provided.
Recent Developments & News
In September 2024, Tigo Energy Inc. launched new solar installer services and products aimed at meeting rising UK solar installation demand. In June 2024, Centrica formed a strategic partnership with Highview Power and invested £70 million in a clean energy storage project in Manchester to support the UK’s net-zero transition and energy security.
Key Players
- Tigo Energy Inc.
- Centrica
- Highview Power
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