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National Grid is deploying £35 billion to upgrade electricity transmission infrastructure across the UK between 2026 and 2031, part of a broader $75 billion investment across its UK and US operations aimed at handling surging power demand and enabling renewable energy integration.
Quick Facts
- £35 billion investment in UK transmission from April 2026 to March 2031
- Aims to connect 35 gigawatts of new renewable energy generation
- Will upgrade 3,500 kilometres of existing overhead lines
- Global power demand forecast to grow 3.6% annually through 2030
Meeting Accelerating Electricity Demand
Electricity demand across the UK and US is climbing sharply, driven by data centres, electrification of heating and transport, and industrial growth. Global power demand is projected to expand at 3.6% annually from 2026 to 2030, according to J.P. Morgan analysis. The US Department of Energy found that the New York-New England region alone needs a 255% increase in transmission capacity to support clean energy policies in those states. National Grid’s investment directly addresses this gap by modernizing aging infrastructure and creating new transmission routes for renewable power.
The Scale of Grid Transformation
National Grid’s UK plan, published under its RIIO-T3 framework in December 2024, includes a baseline investment of over £11 billion to maintain existing networks, plus £24 billion in pipeline investment for new capacity and strategic projects. The company will construct two of the longest offshore High Voltage Direct Current (HVDC) cables in the UK—Eastern Green Links 1 and 2—which will carry clean energy from Scottish wind farms to southern England. Additional projects include the 500-kilometre Eastern Green Link 3 and the 138-kilometre Sea Link connecting Suffolk to Kent. These infrastructure upgrades will nearly double the amount of electricity the grid can transport nationwide, enabling connection of renewable generation at unprecedented scale.
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Parallel US Investment and Job Creation
In the United States, National Grid committed to investing approximately $35 billion in New York and Massachusetts through 2029, representing a 60% increase on the company’s investment in those states over the previous five years. The “Upstate Upgrade” comprises more than 70 transmission enhancement projects across New York, while Massachusetts will benefit from modernization initiatives including smart meter deployment and grid hardening against extreme weather. National Grid estimates these investments will support 127,000 jobs by the end of the decade. CEO John Pettigrew stated the investment demonstrates the company’s commitment to helping states achieve climate goals while delivering economic growth. Both the UK and US initiatives reflect the same underlying pressure: grids built decades ago cannot support the clean energy transition and rising electricity consumption without fundamental modernization.
Sources
- National Grid Group — Official press release on $35 billion US investment commitment (May 2024) and results presentation for FY25/26 (May 2026)
- New Civil Engineer — Detailed reporting on National Grid’s £35 billion UK transmission investment plan under RIIO-T3 framework (December 2024)
- J.P. Morgan — Analysis of global power demand growth projections through 2030
- National Academies of Sciences, Engineering, and Medicine — Report on rising electricity demand and infrastructure development timelines (March 2026)
