Renewables Subsidies Rise Yet Again
No wonder UK energy bills are the highest in the world
The Government’s Low Carbon Contracts Company, LCCC, has just updated the costs of the Contracts for Difference (CfD) scheme for the third quarter (Q3). This is the scheme which hands out subsidies to wind farms and biomass plants.
The subsidy cost between July and September 2025 totted up to £657.7 million, all of which is added to our electricity bills. The cost for the last four quarters was £2.4 billion, equivalent to over £80 per household. The details are shown in the chart below:
Most of the subsidies go to wind farms: £502 million last quarter. Much of the rest is paid to Drax to subsidise its burning of trees.
