Accelar's Response To The June 2025 Government Spending Review

We welcome the spending review’s commitment to infrastructure renewal and are pleased to see further investment in mayoral regions and regional public transport, including rail investment and Greater Manchester’s electric bus network. We look forward to the setting out of Northern Powerhouse Rail over the coming weeks. There is exciting emphasis on enhancing regional connections and delivering growth in all parts of the UK. A place-based approach and greener infrastructure is a barometer of real social progress, this must continue to receive support as part of a just and effective green transition.

Over the Parliament term the spending review has set out an increase of 3.3% for Energy, Security and Net Zero department spend, with nuclear and carbon capture seemingly the winners. It is also encouraging that £13.2bn has been allocated to support energy efficiency as part of the Warm Homes Plan. Accelar’s Co-Founder, Charlene Caten says:

“Energy resilience is a key strand in the spending review announcement, and alongside the existence of Great British Energy, remains a focus for the Government. It would be great to see support for those broader initiatives, outside of nuclear and carbon capture, gain from additional funding to support renewables and transmission upgrades to meet 2030 targets.”

The pledges to grow affordable and social housing are encouraging, yet we believe this does not need to happen at the expense of nature and eagerly await the outcomes from the new Planning & Infrastructure Bill and consultation on Biodiversity Net Gain.

We are pleased to see the government is also investing in the natural environment to increase the UK’s resilience to the effects of climate change, including the investment of more than £2.7 billion a year in sustainable farming and nature recovery until 2028-29, plus Environment Land Management (ELMs) payments are set to go up to £2bn by 2028/29. Protecting vital habitats is fundamental to tackling the climate crisis, and we must lead by example in championing nature recovery at scale. We've seen first-hand through our projects, the transformative impact that dedicated funding and new market building can have on restoring nature and the farming community plays a vital role in this.

The £22bn annual boost in research and development (R&D) investment to 2029, paired with regional allocations and local leadership powers in decision-making, is a major advancement. We strongly support the role of innovation, data, and tools such as our own acra platform, in building resilience and adapting to the impacts of climate change.

Backing small businesses and entrepreneurs is crucial, as they remain key drivers of environmental innovation, despite recent economic challenges. We look forward to more detail on the new 10-year fund replacing the Shared Prosperity Fund, aimed at supporting high-potential regions. The Government’s ‘new green book’ aligns with our place-based ethos, empowering local communities to deliver meaningful, sustainable change.

Accelar’s Managing Director Chris Fry concludes that:

“In the face of ongoing global uncertainty, there is real opportunity for the UK to build a prosperous economy powered by the real-world benefits of the green transition. Key to that is a cutting-edge approach to place-based public and private investment in infrastructure, housing, food and nature as reinforcing systems - avoiding the pitfalls of whack-a-mole funding. We welcome the spending review’s foundations and look forward to the detail to come in the 10 Year Infrastructure Strategy and Autumn budget, and hope that they amplify the UK’s commitment to climate adaptation, natural capital and a pioneering clean energy economy.”