Local councils risk being left out of £1bn community energy drive

16 February 2026

A network of local authorities has welcomed the government’s £1bn Local Power Plan but warns that councils without elected mayors risk being sidelined in the rollout.

UK100, which represents more than 120 councils, says the programme could be transformative for community energy but government must ensure all tiers of local government are involved in delivery.

Christopher Hammond, chief executive of UK100, says:

“Local energy is the best energy, especially when as much of the benefit can be retained by those communities that host the infrastructure. We welcome this bold, significant step forward.

“But not everywhere has a mayor. So if this Plan is to succeed, Ministers and GB Energy must ensure that district, county and unitary councils are genuinely at the table, not sidelined while only strategic authorities take the lead.”

The Local Power Plan, published on 9 February, aims to support more than 1,000 community energy projects by 2030 and includes funding for council capacity-building, grid connection reforms and partnerships with community groups.

UK100 members including Bristol, Cambridgeshire, Southwark, Essex and Leicestershire, are already developing community energy projects and local area energy plans that could form a ready-made pipeline for the Plan’s Expression of Interest process.

However, the group cautions that a focus on mayoral combined authorities and competitive bidding could disadvantage smaller councils with limited resources. It also criticises the lack of detail on local area energy planning and called for a national framework, stronger links with housing policy and greater community input on benefit-sharing.

UK100 is encouraging members to come forward with community energy project ideas for the Plan’s Expression of Interest process, and is offering support through its research, membership capacity building and advocacy programmes.