Rachel Reeves to push through Yorkshire off-shore wind projects despite 'unavoidable impacts to the seabed'

The Government is set to push through new off-shore wind projects off the coast of Yorkshire, which it says will cause “unavoidable impacts to the seabed”.

Rachel Reeves made the announcement as part of a major speech yesterday in which she promised to systematically remove the barriers to growth in the hope of kickstarting the UK’s stuttering economy.

The Chancellor revealed her support for plans to reopen Doncaster-Sheffield Airport, a third runway at Heathrow and the redevelopment of Old Trafford.

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She also told business leaders at Siemens Healthineers in Oxfordshire: “I can also announce that we are removing barriers to deliver 16 gigawatts of off-shore wind by designating new marine protected areas to enable the development of this technology in areas like East Anglia and Yorkshire.”

Ms Reeves claimed this would unlock up to £30 billion of private investment.

Yorkshire currently has two of the largest off-shore windfarms in the world off the coast of Hull, Ørsted’s Hornsea 1 and Hornsea 2.

The Government has said it wants to streamline the consenting process to speed up the construction of more windfarms.

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Offshore wind farms are necessarily far away from centres of human populationOffshore wind farms are necessarily far away from centres of human population
Offshore wind farms are necessarily far away from centres of human population

Labour has committed to the highly-ambitious target of decarbonising the energy grid by 2030.

Marine Minister and Hull MP Emma Hardy explained that the Government would extend or create new Marine Protected Areas, which are designed to help the recovery of underwater ecosystems.

This would “compensate for unavoidable impacts to the seabed caused by offshore wind development”, the Government claimed.

Ms Hardy: “We are committed to boosting growth and making Britain a clean energy superpower while defending our important marine habitats.

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“These changes show we can make significant progress in expanding homegrown British clean power in a way that protects vulnerable sea life.”

Chancellor Rachel Reeves' speech about economic growth saw an attempted change of tone from the doom and gloom of recent months (Picture: Peter Cziborra/WPA pool)Chancellor Rachel Reeves' speech about economic growth saw an attempted change of tone from the doom and gloom of recent months (Picture: Peter Cziborra/WPA pool)
Chancellor Rachel Reeves' speech about economic growth saw an attempted change of tone from the doom and gloom of recent months (Picture: Peter Cziborra/WPA pool) | Getty Images

Chloe Wenman, from the Marine Conservation Society, said: "We welcome this announcement and recognition by the UK Government that we can't achieve net zero without nature recovery.

“It is crucial not only to designate new protected sites but also ensure they are effectively managed.

“Both off-shore wind and Marine Protected Areas must sit within a much more prescriptive marine spatial planning framework which looks holistically at the cumulative impacts of all activity in our seas."

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Elsewhere in her speech, Ms Reeves said metro mayors were crucial to “our mission to grow the economy is about raising living standards in every single part of the UK”.

She highlighted Leeds as having one of the largest financial services centres outside of London, and praised West Yorkshire Mayor Tracy Brabin.

British Chancellor Rachel Reeves delivers a speech on economic growth for Britain at Siemens Healthineers on January 29, 2025 in Eynsham, England. (Photo by Peter Cziborra - WPA Pool/Getty Images)British Chancellor Rachel Reeves delivers a speech on economic growth for Britain at Siemens Healthineers on January 29, 2025 in Eynsham, England. (Photo by Peter Cziborra - WPA Pool/Getty Images)
British Chancellor Rachel Reeves delivers a speech on economic growth for Britain at Siemens Healthineers on January 29, 2025 in Eynsham, England. (Photo by Peter Cziborra - WPA Pool/Getty Images)

Ms Reeves said: “There is so much more that Government can do to support our city regions.

“To achieve this requires greater focus on two key areas - infrastructure and investment.

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“If we can improve connectivity across towns and cities across the North of England, we can unlock their true growth potential, by making it easier for people to live, travel and work across the area.”

The £11.5 billion project involves electrifying the 76-mile route, building new tracks, installing digital signalling equipment and upgrading stations. It is due to be completed by 2033.

Ms Reeves also mentioned the Government’s support for tram system in West Yorkshire, between Leeds and Bradford, which is due to have spades in the ground in 2028.

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South Yorkshire Mayor Oliver Coppard said he is very pleased with the fact that 7,600 people responded to a public consultation on bus franchising. Picture: Julia Armstrong, LDRSSouth Yorkshire Mayor Oliver Coppard said he is very pleased with the fact that 7,600 people responded to a public consultation on bus franchising. Picture: Julia Armstrong, LDRS
South Yorkshire Mayor Oliver Coppard said he is very pleased with the fact that 7,600 people responded to a public consultation on bus franchising. Picture: Julia Armstrong, LDRS

And the Chancellor hinted there is more to come in the Spending Review and Ten Year Infrastructure Strategy which will be published in the Spring.

Northern leaders are hoping there could be an announcement on Northern Powerhouse Rail, the long-promised line from Liverpool connecting Leeds, Hull and Sheffield, with Manchester Airport.

Henri Murison, chief executive of the Northern Powerhouse Partnership, said: “We have a huge opportunity to raise productivity long term across the Northern cities and their surrounding regions, and this is dependent on major infrastructure, completing TransPennine Route Upgrade and new lines as part of Northern Powerhouse Rail.”

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Northern leaders have long argued these calculations have to be reformed, saying they currently favour investment in wealthier areas, such as London, as they focus on short-term gains.

Ms Reeves said the review would look at “how it is being used to provide objective, transparent advice across the country, including outside London and the South East”.

“This means investment in all regions is given a fair hearing by the Treasury that I lead,” she added.

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He told The Yorkshire Post: “I know there has been some criticism of the Government that a lot of the projects are focused on the South East.

“I think that’s a symptom of problems we’ve faced as a country for a long time.

“The investment has gone into the South East because of the Green Book, to a certain extent, and because that’s where companies are looking to invest their money because of the transport infrastructure.

“It’s clear to me that this Government, when they’re looking for quick growth projects, a lot of those are inevitably going to be in the South East.

“For us in Yorkshire our job now is to turn that around and that’s what I think the Chancellor is interested in doing.”

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