Great British Energy: Labour's publicly-owned clean-power company
A state-owned company, headquartered in Aberdeen, set up to invest in and help build clean power — part of Labour's plan for a zero-carbon electricity system by 2030.
What it is
Great British Energy (GB Energy) is a publicly-owned energy company created by the Labour government to invest in, own and help develop clean-power projects — offshore and onshore wind, solar and emerging technologies. It was set up by the Great British Energy Act 2025, is headquartered in Aberdeen, and has been allocated £8.3bn of capital over the parliament. The aim is to speed up the build-out of home-grown clean power, keep more of the value (and jobs) in the UK, and support the goal of a clean-power electricity system by 2030.
Where it comes from
Labour argued that the UK's exposure to volatile international gas prices — laid bare by the 2022 energy crisis — showed the case for building more domestic clean power, and for the state taking an ownership stake rather than leaving it entirely to private and often foreign-state-owned developers. GB Energy is the vehicle for that: not a retail supplier that sells you gas and electricity, but an investor and developer that co-invests alongside the private sector and, in some cases, owns projects outright.
What it does
- Invests in and co-owns clean-power projects, aiming to crowd in private investment.
- Runs a Local Power Plan supporting community and locally-owned renewable schemes, working with local authorities and community groups.
- Partners with the Crown Estate and others to develop offshore wind and other large-scale generation.
- Is not a household energy supplier — it does not directly set or send your bill.
The case for and against
Supporters argue
- Public ownership means the returns from clean power can be reinvested rather than flowing entirely to private shareholders.
- More home-grown clean generation reduces reliance on imported gas and improves energy security.
- It can back earlier-stage and community projects that private investors might overlook.
Critics argue
- £8.3bn is modest next to total energy investment needs, so its impact on bills may be limited and slow.
- The state taking investment risk could mean losses fall on taxpayers.
- Sceptics question whether a public body will deploy capital as efficiently as the private sector.
Sources & further reading
- GOV.UK — Great British Energy: official page and remit.
- legislation.gov.uk — the Great British Energy Act 2025.
- House of Commons Library — background on GB Energy and clean-power policy.
Figures are based on public material and may change. General information, not financial, legal or tax advice.
Frequently asked questions
Will Great British Energy lower my energy bill?
Not directly — GB Energy is not a supplier and does not send you a bill. The government's argument is that building more clean power reduces the system's reliance on gas over time, which is the main driver of bill spikes.
Is Great British Energy a real company?
Yes. It was established by the Great British Energy Act 2025, is headquartered in Aberdeen, and is publicly owned.
Does GB Energy supply gas and electricity to homes?
No. It invests in and helps develop clean-power projects; it is not a retail energy supplier.