12 June 2025 – The Northern Endurance Partnership (NEP) welcomed the Chancellor of the Exchequer’s announcement that UK carbon capture and storage (CCS) will receive £9.4 billion in capital budgets allocated as part of the Government’s latest Spending Review. This funding includes support for deployment to fill the initial storage capacity of the East Coast Cluster as well as the HyNet Cluster.

Rich Denny, Managing Director of NEP, commented: “We welcome the Government’s funding allocation for CCS and look forward to continuing to work together on plans for CCS infrastructure expansion. Following our financial close at the end of 2024, we’re proud to be at the forefront of developing the UK’s CO₂ transport and storage industry—laying the foundations for essential low-carbon infrastructure, supporting skilled employment, and enabling long-term economic growth.”

The funding announcement provides clarity and momentum for the continued development of the East Coast Cluster, following NEP’s financial close in December 2024, which enabled the project to move into the execution phase on Teesside alongside NZT Power. Construction is expected to begin in mid-2025, with start-up in 2028.

NEP is an incorporated joint venture established solely to develop and operate CO₂ transportation and storage infrastructure on behalf of the NEP Shareholders – bp, Equinor and TotalEnergies. The initial NEP infrastructure includes an onshore CO₂ gathering network and compression facilities in Teesside, a 145km offshore pipeline, and subsea injection and monitoring facilities at the Endurance saline aquifer—located approximately 1,000 metres beneath the seabed. Once operational, the system will transport and permanently store up to 4 million tonnes of CO₂ annually in its initial phase. The expansion of the East Coast Cluster across Teesside and the Humber could enable the transport and permanent storage of up to an average of 23 million tonnes of CO₂ per year from future carbon capture projects. This scale of deployment has the potential to support and create an average of 25,000 jobs annually, underpinning a just transition in some of the UK’s most important industrial heartlands.

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