Columnist for Daily Mail UK and MailOnline USA. @TimesRadio anchor. Former Chairman of The Spectator, Editor Sunday Times, BBC TV anchor, Chairman Sky TV
When it comes to net zero and climate policy I have never accepted the official narrative, spoon-fed or otherwise. And as time goes on I believe events vindicate my analysis rather than the official one.
@afneil The poor quality of the UK and US MSM is the main reason that net zero and 'climate policy' have not been on life support for decades. It has no curiosity, no investigative instinct, no desire to challenge - it just supinely accepts the spoon-fed official narrative.
Oh it’s borrowed money, alright. Which means it’s a fake wealth fund. Proper wealth funds (eg Norway, UAE) aggregate and invest surplus funds. The UK one is fuelled by more borrowing.
They were announced in January. They’re being reannounced today because Big Green (RWE) and Big Capitalism (KKR), who will benefit from the massive state subsidies already being poured into these projects, have demanded more (to cover rising costs of developing offshore wind). So Labour has obliged with another £1 billion from the so-called National Wealth [Destruction] Fund. Life is truly grand for the crony capitalists.
Great summary from @afneil
This is more state subsidy on top of the already massive subsidies because the costs of windfarms have soared even higher.
As a result "this embeds high-cost electricity in the system for 20 years".
Current prices are high because of wars in Ukraine/Gulf. That won’t last forever. Plus most existing wind farms are on the Renewable Obligations regime — which means they get a ton of subsidies PLUS the full market price. Double bubble — or windfall profits for them. Yet no talk of a windfall tax … Strange.
@afneil Is £91.20/MWh really high though?
Electric price per MWh hasn't been below £100/MWh since July. For the last week its been over £200, peaking at £270.
The average over the past 12 months is £105/MWh.
@afneil Excellent analysis of the latest announcement & totally agree it blows Burnham's commitment to only allow schemes that are value for money out of the water.
@afneil Please call it what it is Mr Neil, gaslighting is just a fashionable word in replacement for lying. If more politicians were called liars we may get some truth again.
This is government gaslighting to a high degree.
1. It’s not a new announcement. The Norfolk East and West offshore wind projects were announced earlier this year as part of the AR7 round of contracts.
2. No way does it bring down prices. Those behind it, energy giant RWE + global investors KKR, were guaranteed an above-market strike price of £91.20/MWh based on 2024 prices — indexed linked for 20 years. That guarantee is already worth £97/MWh in 2026. This is v expensive energy.
3. What is new is that the costs of developing offshore wind have soared. So the government has now had to chip in £1 billion of the £12 billion investment needed from the National Wealth [Destruction] Fund. So more state subsidy on top of the massive subsidies for two foreign companies implicit in the price guarantees embedded in AR7.
4. Far from cheaper electricity this embeds high-cost electricity in the system for 20 years.
5. So much for the Chancellor’s Budget pledge to ‘only build new projects when they lower prices’. This does the opposite — and at enormous expense to the taxpayer and electricity user.
Gaslighting indeed.
The government’s £12 billion investment in wind farms will help "bring down people’s energy bills", says climate transition minister, Katie White.
But they have not announced any additional funding to upgrade the grid.
"There are more of them out there—and they know how to play the system." Andrew Neil warns how celebrity status and high-priced lawyers keep dangerous predators untouchable while the public looks the other way.
@afneil As ever Andrew, a wise call.
I did wince when he found his way onto Question Time - but then again, that was only ever a filler before This Week was on.
‘I never met Russell Brand, but I’m reminded of my interview with Jimmy Savile.' Andrew Neil examines how legal protection, modern fame culture, and public adoration can shield powerful figures from exposure.