Carbon capture delays could put jobs, industries and growth at risk

As the Bank of England downgrades the economic forecast, the CEO of a leading green developer says further delays in deploying carbon capture could put jobs, industries and growth at risk.

Ahead of a Commons report on CCUS, Storegga CEO Tim Stedman warned Britain can’t continue to repeat past mistakes.

Comment:

“The UK is already behind in deploying CCUS compared to other countries, and further delays could put jobs, industries, and economic growth at risk. Despite being a major player in renewable energy generation, the UK was unable to establish a foothold in the global value chain for wind and solar power. We cannot risk repeating our past mistakes – the UK must recognise the opportunity for CCS to create a new engine for clean, economic growth.

“It is of course right for the Government to ensure value for money, but it’s also crucial to provide policy certainty so businesses can invest with confidence, supporting a clean, resilient, and secure energy system that is vital for the economic future of the UK. Backing CCS isn’t just about reducing emissions—it’s about unlocking economic growth and securing the UK’s place as a clean energy superpower. Projects like Acorn CCS in Scotland will create high-skilled jobs, attract investment, and position the UK as a global leader in carbon management.

“The Government has been clear that it wants to rebuild Britain’s industrial base and drive economic growth through green investment- and CCS does exactly that, enabling industrial hubs to thrive in a net-zero economy while ensuring the country remains competitive on the world stage. The Government’s announcement in October 2024 highlighted that the UK’s first two CCS sites, in Teesside and Merseyside, will attract £8 billion worth of private investment and create 4,000 direct jobs and support 50,000 more long-term. The £21.7bn will be invested, over the course of 25 years, in CCS, which is projected to contribute around £5 billion annually to the UK economy by 2050.

“CCS has been operating safely for decades, including in the North Sea. Norway’s Sleipner and Snøhvit projects have been storing CO₂ offshore since the 1990s, demonstrating that large-scale CCS works. More recently, Norway’s Longship project and the Northern Lights CO₂ transport and storage network are building on that success. The UK has a similar opportunity—with its world-class offshore infrastructure, skilled workforce, and energy expertise—to decarbonise not only our industries but also those of our European neighbours, bringing additional economic benefit.

“Acorn CCS in Scotland is a prime example of why the UK needs to support dispersed industrial emissions. Unlike some industrial clusters that are concentrated in one location, Scotland’s industries—including refining, chemicals, cement, and power generation—are spread across different sites. Acorn provides the essential infrastructure to connect these dispersed emitters to permanent CO₂ storage in the North Sea, ensuring they can decarbonise while maintaining operations and jobs. Beyond industrial emissions, Acorn also plays a crucial role in energy security. It enables carbon capture at the Peterhead Power Station, which would provide flexible, reliable generation to balance the UK’s growing reliance on renewables. It also supports decarbonisation of the St Fergus gas terminal—critical infrastructure that supplies a significant portion of the UK’s natural gas. By repurposing existing pipelines, Acorn can safely transport CO₂ offshore while reducing costs and accelerating delivery.

“The technology is proven, the infrastructure exists, and industry is ready to invest. What’s needed now is clear, long-term policy support to establish a real CCS industry beyond individual projects—delivering jobs, investment, and a cleaner, more competitive economy for the UK.”