The UK government has pledged nearly £22 billion for projects to capture and store carbon emissions. The funding will support energy, industry, and hydrogen production over the next 25 years. Two “carbon capture clusters” on Merseyside and Teesside will primarily benefit from this investment.

Key Takeaways
- The investment will create thousands of jobs, attract private investment, and help the UK meet climate goals.
- Carbon capture and storage facilities stop CO2 from industrial processes and power stations from entering the atmosphere. They transport and store the captured CO2 deep underground.
- The projects will start storing captured carbon from 2028. They will remove 8.5 million tonnes of carbon emissions annually.
Political Reactions
Sir Keir Starmer said the move would “reignite our industrial heartlands” and “kickstart growth”. He plans to visit the North West with Chancellor Rachel Reeves and Energy Secretary Ed Miliband. Reeves stressed the government’s commitment to prioritizing capital investment.
However, some green campaigners criticized the investment. They argue it will extend the life of planet-heating oil and gas production. Greenpeace UK’s policy director, Doug Parr, called for spending on offshore wind or nationwide home insulation instead.
The Importance of Carbon Capture and Storage

The International Energy Agency (IEA) and the Climate Change Committee consider carbon capture and storage crucial. They believe it is a key element in meeting targets to cut greenhouse gases. These gases drive dangerous climate change.
Emma Pinchbeck, chief executive of Energy UK, described carbon capture, utilization, and storage as essential. She said it is a “tool in our armory of technologies” needed to decarbonize parts of energy. Clean electricity alone cannot achieve this.
The Future of Carbon Capture in the UK
The Merseyside and Teesside projects are part of several announced in 2023. They aim to capture and store 20-30 million tonnes of CO2 a year by 2030. Plans were first announced in 2009, but little progress has been made until now.
The UK government ‘s substantial investment will give industry confidence to invest in the UK. It will attract £8bn of private investment and directly create 4,000 jobs. In the long term, it will support 50,000 jobs.
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