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Hammond Poised to Halt Plans to Overhaul U.K. Energy Industry

  • Proposals include new funding models for nuclear power, CCS
  • Business secretary hoped to publish plans before May leaves
Philip Hammond on July 12.

Philip Hammond on July 12.

Photographer: Geert Vanden Wijngaert/Bloomberg
Updated on

Chancellor of the Exchequer Philip Hammond is blocking a set of government proposals to overhaul the U.K. energy industry because of the potential spending implications for a new prime minister, people familiar with the matter said.

The plans are included in a long-awaited energy white paper that the business department has been working on for months, according to the officials, who asked not to be identified because the policies haven’t been announced. Measures include the way nuclear power plants get funding, boosting technology to capture industrial greenhouse gas emissions for storage, accelerating the decarbonization of the power industry and efforts to make housing more energy efficient.