September 3, 2026
Global Renewable News

RENEWABLEUK
Cheap homegrown onshore wind power could save billpayers £3 billion a year and bring half a billion into local communities

September 3, 2026

New analysis by RenewableUK shows that building new onshore wind farms to reach the UK Government's target of 29 gigawatts of onshore wind by 2030 would save UK billpayers £3 billion a year, compared to the cost of producing the same amount of electricity from new gas-fired power stations.

Research by the Energy and Climate Intelligence Unit (ECIU) has revealed that in 2025 the wholesale price of electricity would have been 31% higher without wind power, if the UK had relied on more expensive gas instead.

RenewableUK's analysis also shows that reaching the 29GW target would deliver nearly half a billion pounds a year to local communities. This includes £348 million in business and property rates, as well as £145 million in direct, long-term, annual community benefit funds. These help to pay for local priorities that people choose to support, such as community buildings and facilities, environmental schemes, skills and training, measures to tackle fuel poverty and rural isolation, and even saving community pubs.

Job opportunities are growing too: 15,000 people already work in the UK's onshore wind industry, and this is set to rise to 17,500 by 2030. Around 70% of the lifecycle spend by onshore projects already takes place in the UK, including building and operating wind farms, and this draws on a geographically diverse onshore wind supply chain. Research commissioned by RenewableUK shows that expanding this supply chain between now and 2050 could add up to £56 billion in economic value (GVA) to the UK's economy.

One of the fastest ways to unlock more cheap power is to replace older turbines on existing wind farm sites with newer, more efficient models, where communities support it. Repowering is popular - new polling released today (Sept 1) by Copper Consultancy shows 70% of people support replacing smaller turbines with larger models to generate more clean electricity. This is based largely on real-world experience, as three-quarters of those polled live in or near an area which already has onshore wind farms.

Analysis by RenewableUK's EnergyPulse data experts shows that repowering existing wind farms, and extending the life of current projects, could add a third more capacity to existing sites on average. Repowering has the potential to be cheaper than building new projects, as existing sites and grid infrastructure could be re-used, planners and developers already have close relationships with local communities, and these sites are already proven as good locations for wind generation. Our database shows that repowering and lifetime extension could add 659 megawatts of capacity towards the Government's 2030 target, rising to 2.1 gigawatts by 2035 and 7.7GW by 2040.

The UK currently has 16.4GW of onshore wind fully operational, generating 12% of the UK's annual electricity needs. Most operational onshore wind projects are in Scotland (10.7GW), and the Scottish Onshore Wind Sector Deal, signed in 2023, committed to 20GW of operational capacity by 2030. The UK Government wants to see capacity increase in England and Wales from 4.2GW to 8.6GW by 2030. However, analysis by Aurora Energy Research shows that projects representing only half the capacity needed to meet the 29GW target have grid connection offers so far (only 10.4GW in Scotland and 2.6GW in England and Wales).

RenewableUK's CEO Tara Singh said:

"Hitting the UK's onshore wind target by 2030, which will bring billions in benefits to all parts of the country, can only be achieved if we can get new projects connected to the grid faster and enable older turbines to be replaced by much more powerful new ones, which enjoys a high level of public support. As onshore wind is one of our cheapest forms of new power, and one of the fastest to build, this will cut bills and strengthen the UK's energy security by delivering more homegrown power at the lowest cost. It also creates opportunities for us to grow our supply chain, creating jobs and boosting our economy further".

Scottish Renewables CEO Angela Hepworth said:

"Scotland will be fundamental to delivering the UK's future energy system. We already have a mature onshore wind sector supporting thousands of jobs, local supply chains and communities, with a significant opportunity to build on that success.

"Maximising Scotland's onshore wind opportunity means bringing forward new projects while repowering our existing fleet with more efficient technology. Doing both can deliver more home-grown, affordable electricity while extending the jobs, investment and community benefits that have grown alongside the sector.

"But ambition must be matched by delivery. Planning, grid connections, transmission charging and routes to market need to work together to give investors confidence and turn Scotland's onshore wind potential into lasting value for billpayers."

The research is being released at the Onshore Wind Conference 2026, co-hosted by RenewableUK and Scottish Renewables, on 1st and 2nd September in Edinburgh.

The UK Energy Minister Michael Shanks will be addressing the conference - he said:

"Onshore wind is a vital part of how we bring down energy bills and reduce our exposure to volatile fossil fuel markets. It's also an industrial opportunity creating good jobs across the country.

"That's why we've lifted the ban on onshore wind in England, backed new projects across GB and consulted on how we make community benefits work even better for local people."

The Scottish Energy Minister Stephen Gethins, who will also be addressing the conference, said:

"Most renewable electricity generated in Scotland comes from onshore wind, the product of decades of sustained support by this Government for one of the cheapest forms of power we can build.

"Onshore wind is helping to deliver jobs, drive economic growth and bring lasting benefits for communities across Scotland. By continuing to work with industry, we can build on that success and realise the full potential of Scotland's renewable energy resources."

Make UK's Director of Policy & Public Affairs Verity Davidge said:

"Energy costs remain our members' primary concern, but they can see how important reaching net zero is in reducing those costs. This research chimes with our members' view that a renewable-led power system is the best way to reduce energy costs by reducing our reliance on volatile gas markets. The country can deliver on energy security and drive growth by committing to building out necessary renewable capacity. We support any adjustments to transparency of the grid to provide operators and end users with clarity, allowing a much improved investment environment. The message today is clear, net zero and energy security go hand in hand and industry is committed to this charge".

For media enquiries please get in touch with our press team at media@renewableuk.com

This email address is for accredited journalists only and not for general enquiries.

For further information, contact

Sam Sheppard, Head of Communications
07738 493 827 | Sam.Sheppard@RenewableUK.com

Notes:

RenewableUK is the voice of the UK's renewable energy industry. Representing close to 500 companies spanning the full supply chain, our members develop, operate and maintain the UK's wind, tidal, storage and flexibility infrastructure. By connecting industry and policy makers, we strengthen the UK's global leadership in renewables, building a secure, affordable and sustainable energy future. RenewableUK's events programme is available here

Scottish Renewables is the voice of Scotland's renewable energy industry. We represent more than 350 organisations across all renewable energy technologies, as well as the supply chain, services and wider systems supporting the energy transition. By working with our members, policymakers and key stakeholders, we help create the conditions for the sector to grow and deliver investment, jobs and carbon reductions. Our vision is for Scotland to lead the world in renewable energy. Scottish Renewables' events programme is available here.

Research Methodology:

1. Wind-versus-gas cost comparison:
Department for Energy Security and Net Zero: "New Auction Delivers Unprecedented Clean, Homegrown Power," February 10th 2026: DESNZ reports an AR7 onshore-wind clearing price of £72.24/MWh and a cost of £147/MWh for a new CCGT operating at a 30% load factor, both stated in 2024 prices for plants commissioning in 2030. The difference is £147 £72.24 = £74.76/MWh.

The UK has 16GW of onshore wind fully operational. An additional 13GW of onshore wind is needed to reach 29GW by 2030. This additional capacity generates 42.1TWh operating at a 37% load factor in 2030 (DESNZ).

Multiplying by the additional annual wind output:  42,135,600MWh × £74.76 = £3.15 billion a year.  

It is worth noting that DESNZ's £147/MWh estimate uses its central long-term gas-price assumptions, which are around 70p/therm - 71p/therm in 2030, falling to 66p/therm by 2040. This is less than half current wholesale gas prices, i.e. the saving would be even higher if higher prices continued.

Because wind and solar rely on the weather, adding more renewables to the grid incurs some integration costs to balance supply and demand. Publicly available sources indicate that the integration costs of 1GW of onshore wind could be roughly £20m a year, equating to around £260m a year for a 13GW expansion, in a moderately flexible energy system. Baringa notes that this statistic does not take account of the wholesale price decreases expected from additional onshore wind capacity, as well as the cost of supporting this capacity, but that they would expect wholesale price reductions to offset these additional costs from a consumer perspective.

These general integration costs should not be confused with today's high transmission "constraint" costs. Because a significant amount of new onshore wind will be built in Scotland, power needs to travel south to where most demand is. Today's grid struggles to move all of this electricity because legacy transmission upgrades were delayed, creating temporary bottlenecks across the Scotland-England border. However, National Energy System Operator (NESO) analysis shows that major grid upgrades currently under construction such as new subsea power cables will unlock these bottlenecks to a large extent. NESO expects GB-wide thermal constraint costs to drop by around 60% as these key reinforcements come online around 2030.

2. Property and business rates:

Ove Arup & Partners  Onshore Wind and Solar Cost and Technical Assumptions report commissioned by DESNZ and published October 6th 2025 (p48).

Companies reported property and business rate costs of £10,000-£24,000/MW/year, averaging £12,000/MW/year.

The calculations are 29,000MW × £12,000 = £348m a year for the full fleet and 14,000MW × £12,000 = £168m a yearfor the additional capacity.

3. Community benefits:

Department for Energy Security and Net Zero "Community Benefits Guidance for Onshore Wind in England," updated July 4th 2025 states projects are expected to provide £5,000/MW/year  index-linked.

The whole-fleet calculation is 29,000MW × £5,000 = £145m a year.

The incremental calculation is 14,000MW × £5,000 = £70m a year.  

Investment through Community Benefit Fund schemes is estimated to be £75 million a year, of which £55 million is in Scotland, over £10 million in England, over £6.5 million a year is in Wales and over £3 million in Northern Ireland.

Analysis by BVG Associates of the Scottish onshore wind pipeline between 2024-2030 reveals that community benefit funding from onshore wind projects in Scotland is projected to reach £125 million each year if planned capacity is delivered.

4. Onshore wind is an important part of the UK's re-industrialisation:

70% of the lifecycle spend by UK onshore wind projects already takes place in the UK. Expanding this supply chain between now and 2050 could add up to £56 billion in economic value (GVA) to the UK's economy and create thousands of new jobs throughout the country. 

Analysis by the Fraser of Allander Institute reveals that Scotland's onshore wind sector supports 16,865 full-time equivalent roles and supported an economic output worth £6.4 billion.

5. ECIU research on wind lowering the wholesale price of electricity in 2025 is available here.

6. Official regional allocation:

Department for Energy Security and Net Zero: "Clean Power 2030 Action Plan: Connections Reform Annex," updated April 15, 2025.
The 2030 framework allocates approximately 20.5GW to Scotlandand 8.6GW to England and Wales combined, totalling 29.1GW.

7. Aurora Energy Research on grid connection offers:

Aurora June 2026 Work for The Scottish Onshore Wind Developers Forum shows Gate 2 connection offers are half of what they need to be to meet CP2030 targets for onshore - just 2.6GW have been allocated to England and Wales vs the 8.6GW required under CP2030, and 10.4GW for Scotland vs 20.5GW required under CP2030 (slide 17).

For more information

RenewableUK

www.renewableuk.com


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