Rachel Reeves to tell G7 accelerating shift to clean energy is best defence against energy price shocks
Why it matters: G7 nations will debate accelerating renewable and nuclear investment to prevent future energy price shocks for consumers.
- Rachel Reeves will tell G7 finance and energy ministers that faster adoption of renewables and nuclear is the only long-term solution to energy security, rejecting new oil and gas licenses as ineffective for insulating the UK from price shocks or lowering consumer bills.
- Treasury sources confirm Reeves will advocate for accelerating investment in renewables and nuclear, and the UK's plan to implement the Fingleton review this year to speed up new nuclear power delivery, while warning against weakening collective resilience through easing sanctions or new trade barriers.
- Keir Starmer will gather senior leaders from Shell, BP, Centrica, Equinor, Lloyd's of London, Maersk, CMA, HSBC, and Goldman Sachs to discuss contingency planning for the perilous situation in the Strait of Hormuz.
- Kemi Badenoch will intensify calls for the government to remove VAT from energy bills and increase drilling in the North Sea, despite Reeves's assertion that Badenoch's energy plan won't lower bills.
Rachel Reeves will urge G7 nations to accelerate their shift to clean energy, specifically renewables and nuclear, as the primary defense against global oil and gas price shocks, directly rebuking Conservative calls for new fossil fuel licenses. Concurrently, Keir Starmer will convene major energy and insurance figures to address emergency measures for the ongoing crisis in the Strait of Hormuz, while Kemi Badenoch advocates for VAT removal from energy bills and increased North Sea drilling.
