Subsidy Cap Threatens Offshore Wind Industry, Report Says

Boris Johnson said the strategy, including new nuclear and offshore wind plans, would reduce the UK’s dependence on foreign sources of energy. Owen Humphreys/PA

Offshore wind farms are under threat because a government subsidy is not catching up with rising costs, according to a report.

The analysis (pdf) by climate think tank Energy and Climate Intelligence Unit (ECIU) said the government’s spending cap on a low-carbon energy auction scheme may kill off new offshore wind projects, meaning Britons will have to use “more expensive” gas-generated power.