The application window has opened for the Clean Industry Bonus, which provides financial support for offshore wind developers on the condition they prioritise their investment in areas that need it most.
The bonus will come with an initial £27 million per gigawatt of offshore wind projects. That means if developers commit to 7-8 GW of offshore wind, up to £200 million of funding could be made available.
Funding will be allocated competitively with the results announced by the Energy Secretary Ed Miliband in the summer.
The support also rewards developers who build more sustainable low carbon factories, offshore wind blades, cables and ports to reduce industrial emissions across the clean energy supply chain.
The UK produces more offshore wind than any other European country. The UK Government said the bonus would help accelerate the drive for clean power, incentivising developers to build the infrastructure needed to end reliance on unstable fossil fuel markets.
RenewableUK Cymru's Director Jess Hooper said:
“This spring, Wales and the South West of England take a huge step forward as the first leases are awarded for 4.5GW of floating offshore wind—marking the birth of a brand-new industry in our region.
“For Wales, this is more than just energy; it’s about opportunity. As one of the UK’s highest carbon-emitting regions, we have a once-in-a-generation chance to turn the tide on fossil fuels, replacing them with clean, homegrown power while attracting major investment and economic growth through initiatives like the Clean Industries Bonus.
“With our proud manufacturing heritage, Wales is perfectly placed to lead the way—creating thousands of well-paid, highly skilled jobs in everything from building floating wind foundations to cutting-edge environmental services.
“But to truly realise this potential, we need a joined-up approach. Industry, government, and our supply chain must work together to ensure Wales is fully prepared to seize this opportunity. Strong collaboration now ahead of the Industrial Strategy will mean long-term rewards for our economy, communities, and future generations.”
Steve Foxley, Chief Executive of the Offshore Renewable Energy (ORE) Catapult, said:
“This news is an important signal from government to industry of intent to grow our offshore wind sector in a way that benefits both our climate and our economy, supporting expansive regional job creation and bolstering national energy security.
“Alongside innovating to develop next-generation technologies, delivering the right levels of future deployment and fulfilling the ambitions of the Industrial Growth Plan for offshore wind, it will drive up confidence in our ability to secure the clean investments we need in the years to come.”
Dhara Vyas, Energy UK, Chief Executive, said:
“Offshore wind is set to become the backbone of a decarbonised power system. To build an industry that is resilient to supply chain challenges, we need a framework that supports sustainable deployment, while fostering investment in the UK’s industrial heartlands.
“The Clean Industry Bonus will help to unlock economic growth, create job opportunities, and maintain the UK’s position as a global leader in offshore wind.
“Alongside the development of a broader industrial strategy, the Clean Industry Bonus will play an important role in strengthening the Contracts for Difference mechanism. Clarity will be critical in ensuring we can deliver Allocation Round 7, which is likely to be the single most important auction to achieving the Clean Power goal.”
The UK is already home to the world’s first floating offshore wind farm and has the highest deployment of offshore wind in Europe. As a result, the UK’s offshore wind industry is supporting thousands of highly skilled jobs across the country.
