UK100 response to the Spending Review 2025

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In UK100's Spending Review 2025 submission, we outline key priorities for accelerating local climate action as a network of councils committed to net zero. We call for targeted investment in local energy planning, community energy projects, senior planners, and council retrofit delivery capacity. The submission emphasises moving from short-term competitive funding to strategic, multi-year investment approaches.

In UK100's response to HM Treasury's Spending Review 2025 consultation, we outline key priorities for accelerating local climate action and achieving net zero targets.

As a network of 117 local authorities committed to reaching net zero ahead of national targets, UK100 welcomed several recent positive developments:

  • The creation of GB Energy and the Local Power Plan
  • Commitments to streamline warm homes funding
  • Movement away from competitive short-term funding pots
  • The recent 6.4% real terms increase in local government finance settlement

UK100 outlined four key funding priorities for reform:

  1. Local Area Energy Planning - supporting all English local authorities to develop comprehensive energy strategies
  2. Community Energy Fund - establishing sustained funding for local renewable projects
  3. Senior Planning Capacity - addressing the critical shortage of experienced planners
  4. Housing Retrofit Programmes - boosting local authority delivery capacity for energy efficiency schemes

UK100 highlighted several critical challenges in the current system:

  • Limited local authority capacity and technical expertise
  • Complex application processes and administrative burdens
  • Supply chain and skills shortages
  • Difficulty leveraging private investment without long-term certainty

The submission showcased successful initiatives such as Wiltshire Council's £50 million Housing Energy Efficiency Programme, demonstrating how local authorities can deliver strategically when given resources and autonomy.

Overall, UK100 called for a transformation in how climate action is funded and delivered, emphasising the shift from competitive short-term funding to strategic, multi-year investment approaches. This place-based approach could deliver significant co-benefits, including energy bill savings, job creation, improved health outcomes, and accelerated progress toward climate goals and energy security.

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