Tag: Scottish Renewables

Record investment for climate action

£5 billion to help tackle the climate and nature emergency

Record funding of over £5 billion will support climate action and further develop Scotland’s renewable energy sector, creating green jobs and bringing benefits to communities, Climate Action and Energy Secretary Gillian Martin has said.

The major investment, unveiled in the draft Scottish budget for 2026-27, will help tackle the twin crises of climate change and biodiversity loss by funding policies and actions aimed at cutting green-house gas emissions further, enabling communities to become more resilient to the impacts of climate change and protecting and restoring nature.

Gillian Martin reiterated the government’s financial commitment ahead of addressing the Scottish Renewables Offshore Wind Conference where she is expected to confirm further new investment in the sector.

The £5 billion allocation for climate action in the draft Scottish Budget includes a total of £2.9 billion of capital funding– representing 41% of the Scottish Government’s total capital budget proposed for next year – and supports actions to:

  • further develop Scotland’s renewable energy sector to ensure a fair and inclusive transition that creates more jobs and opportunities
  • deliver more energy-efficient affordable homes to tackle fuel poverty and reduce energy bills
  • invest in public and active travel projects, making it safer and easier for people to choose more sustainable ways of travelling for shorter journeys

Ms Martin said: “This draft Budget for the next year demonstrates the Scottish Government’s continued commitment to achieving net zero by 2045 and tackling the twin crises of climate change and biodiversity loss.

“Done correctly, the transition to net zero can help to tackle poverty, restore nature, and improve health and well-being all while offering significant economic opportunities.

“Our record investment of more than £5 billion will help reduce household energy costs, support green jobs, restore nature and build healthy and resilient communities through the efforts set out in our draft Climate Change Plan. 

“Offshore wind will be a major part of delivering on our climate ambitions and represents a huge economic opportunity for all of Scotland, delivering jobs and attracting major investment across the country.”

The draft 2026-27 budget also proposes: 

  • more than £335 million for heat in buildings programmes, supporting households and businesses to transition to low carbon heating systems
  • £316 million in sustainable travel, low carbon and climate positive activities to support the switch to sustainable modes of transport and promote walking, wheeling and cycling for shorter journeys
  • £26 million for nature restoration as well as £37.4 million for woodland creation and £28 million in peatland restoration, to help sequester carbon and protect habitats
  • £22 million for domestic climate change – including £6 million to continue the national network of Community Climate Action Hubs which enable communities to develop local responses to climate change from flood mitigation, repair shops and local energy generation to food growing and tree planting
  • £12 million to support vulnerable communities in the Global South who have done the least to cause the climate crisis but are feeling its effects most acutely – especially women and young people

£150 million for offshore wind

Capital investment almost trebled to unlock private sector growth

Record funding of £150 million capital investment from the Scottish Government will support the growth of the offshore wind sector and support thousands of well-paid, green jobs across Scotland over the next decade. 

Overall strategic investment of up to £500 million over five years is expected to boost private investment in the sector by up to £1.5 billion and unlock opportunities for growth in a variety of industries in key areas from ports, manufacturing and assembly work to major supply chain opportunities. 

The 2025-26 Scottish Budget also sets out a commitment to establish an offshore wind hub in the North-East to provide an additional route for industry to engage with policy teams.

The investment follows the recent publication of the Green Industrial Strategy which highlighted Scotland’s wind economy as one of five priority areas to secure growth and investment.

Acting Net Zero and Energy Secretary Gillian Martin said: “Accelerating Scotland’s offshore wind capabilities presents enormous economic opportunities for our country.

“Our vast resources provide us with significant opportunity to create thousands of well-paid, green jobs across Scotland while accelerating our journey to net zero. We must maximise the economic benefits from offshore wind deployment if we are to ensure a just transition that takes our existing skilled workforce and supply chain with us.

“This significant investment will help boost innovation and expertise in the sector, create a highly productive and competitive economy and deliver a sustainable supply chain that will benefit all of Scotland for decades to come.

“We will work with industry and public sector partners to ensure we identify and deliver the best projects at pace.”

Claire Mack, Chief Executive of Scottish Renewables, said: “The renewable energy industry is pleased that the Scottish Government will increase the next tranche of its funding commitment to the offshore wind supply chain. It is also encouraging to see the revenues from ScotWind directly utilised for clean industrial growth.

“We will work closely with the Scottish Government to help shape how this funding can be used as part of the wider investment landscape in order to secure the flow of significant private capital into the infrastructure that will help Scotland optimise the opportunity brought by offshore wind.”