TLDR:
- The UK clean tech sector attracted £2.6 billion in investment in 2023 despite global economic challenges.
- Investment levels remained steady, with the power sector receiving over £1 billion of investment.
The UK clean tech sector remains a “standout performer” in the global market, attracting £2.6 billion in investment in 2023. This was highlighted in the annual industry progress report by the Cleantech for UK initiative. Despite economic challenges such as inflation, rising interest rates, and geopolitical uncertainties, the sector matched its investment levels from 2021, falling slightly short of the record-breaking amount received in 2022. The power sector dominated the market, receiving over £1 billion in investment, with notable investments in companies like Octopus Energy and Cornish Lithium. The report also raised concerns about political uncertainty, particularly surrounding climate policy commitments and the upcoming General Election. To drive clean tech investment forward, the report calls for actions such as employing more public funding, developing innovative financing strategies, and making financial products more accessible. It also emphasized the importance of regulatory frameworks that respond to emerging technologies and market shifts while addressing affordability concerns to drive down costs and allow for scalable deployment of clean technologies.
