UK Battery Energy Storage Sector Attracts Major Investment And Revenue Certainty

2026/09/20 Category:Market Insights View:36 Comments:0

The UK battery energy storage market is experiencing significant growth, driven by substantial financial investments and new optimisation agreements. Recent developments highlight a push for long-term revenue certainty, grid stability, and expanded domestic manufacturing capacity to meet the rising demand for flexible, low-carbon electricity infrastructure across Great Britain.

Optimisation Agreements And Revenue Certainty

EDF has signed two battery optimisation agreements with Trinasolar International Solution Business Unit for new grid-scale projects in England and Scotland. The Ruby and Chatterley facilities will deliver a combined 179.8 MWh of storage capacity. EDF will manage these assets using its Powershift digital trading platform to provide long-term revenue certainty.

These long-term optimisation agreements are designed to provide the revenue certainty needed to support continued investment in flexible energy infrastructure. By storing electricity during lower demand and releasing it when demand is higher, the projects will support grid stability and help manage price volatility across the national electricity system.

Long-Duration Storage Investment

Certain Energy, formerly RFC Power, has secured £10m in Series A funding to commercialise its pioneering manganese flow battery technology. The funding round was led by the British Business Bank, with participation from Centrica, Ceres Power, and Temasek Trust, to scale the technology for volume production and grid deployment.

The company highlights that long-duration energy storage is critical for the future energy system. Last year, the government spent around £1.5 billion asking renewable providers to shut off operations during peak production. This figure is expected to climb towards £8 billion annually by 2030 without adequate storage solutions.

Broader Market Investment And Capacity

The wider UK battery industry has secured more than £7bn in investment across over fourteen major projects. These initiatives span lithium extraction, chemical refining, gigafactories, and recycling. The sector currently generates £4.2 billion annually and supports more than 10,000 high-value jobs across the country, driving significant economic growth.

Looking ahead, the UK is expected to need around 115 GWh of battery cells annually by 2035 for both vehicles and energy storage. Current confirmed capacity covers just over half of this demand, indicating a need for further gigafactories and sustained policy certainty to attract future investment.

Key Takeaways

  • EDF and Trinasolar signed optimisation agreements for two battery projects delivering 179.8 MWh of capacity.

  • Certain Energy secured £10m in Series A funding for its manganese flow battery technology.

  • The UK battery industry has attracted over £7bn in investment across more than fourteen major projects.

  • The UK will require approximately 115 GWh of battery cells annually by 2035 for vehicles and energy storage.


Sources