The Autumn Budget (26 November 2025) places energy, carbon reduction, and net zero firmly at the heart of the UK’s economic strategy, with measures designed to ease energy costs, accelerate low‑carbon investment, and provide policy certainty for businesses and investors.

What does it mean for energy prices and affordability?
The Chancellor announced short‑term relief measures to help households and businesses manage rising energy bills, with targeted support for energy‑intensive industries, while also launching a new Energy Efficiency Fund to expand retrofitting and insulation programmes that will reduce demand and cut costs for organisations over the long term. At the same time, the government reaffirmed its commitment to lowering bills by scaling up clean power generation, ensuring that future energy prices are less vulnerable to the volatility of fossil fuel markets.

Carbon Reduction and Net Zero
The Budget reinforces the UK’s Carbon Budget and Growth Delivery Plan by aligning fiscal policy with legally binding carbon targets, while also introducing industrial decarbonisation incentives such as tax breaks for companies investing in carbon capture, hydrogen, and electrification technologies. In addition, the government pledged continued support for renewables and low‑carbon infrastructure, positioning the UK as a global leader in clean energy investment.

Energy Legislation and Policy Certainty
The Budget establishes a clearer regulatory framework for North Sea investment, aiming to balance energy security with the UK’s climate commitments, while introducing new legislation to streamline approvals for low‑carbon projects and reduce barriers for developers and investors. At the same time, the government confirmed that carbon pricing mechanisms will remain central to UK climate policy, providing long‑term predictability for businesses as they plan future investments.

What are the implications for Businesses, Organisations, and Investors

• Businesses: Relief on energy costs now, coupled with incentives to decarbonise operations, will reduce risk exposure and improve competitiveness.
• Public sector organisations: Expanded funding for energy efficiency will support sustainability targets and reduce operating costs.
• Investors: Stronger signals on hydrogen, CCS, and nuclear provide confidence in the UK’s clean energy transition, opening opportunities for capital deployment in infrastructure and innovation.

This leads to a growing demand for businesses to manage and report on their carbon footprint, requiring businesses to move away from point in time Excel based carbon reporting to the use of near real-time Carbon Reporting Software solutions.