Minister Outlines CCUS Role in UK Reindustrialisation

Martin McCluskey highlights carbon capture's importance for jobs, industrial strength, and future economic growth across the nation.

Generic image of industrial carbon capture infrastructure in a UK setting.
AI

Generic image of industrial carbon capture infrastructure in a UK setting.

The Minister for Local Energy and Jobs has emphasised the critical role of Carbon Capture, Utilisation, and Storage (CCUS) in the UK's reindustrialisation strategy, aiming to create jobs and boost the economy.

Speaking at the Carbon Capture and Storage Association (CCSA) 2026 annual conference, Martin McCluskey, the new minister responsible for CCUS, outlined his vision for the sector. He stressed that energy is a critical sector for the UK, employing tens of thousands and contributing significantly to the national economy. As the country navigates the energy transition, his focus is on ensuring all communities benefit and seize the opportunities presented.
McCluskey stated that his role is about people and places, aligning with the Prime Minister's agenda for reindustrialisation. He highlighted how CCUS underpins many UK communities, helping to maintain independence, reduce reliance on foreign energy sources, rebuild industrial strength, create good jobs, and restore opportunity across the country. He sees CCUS as a key enabler for strategically important sectors like cement, chemicals, refining, and low-carbon power generation, helping them remain competitive globally.
The minister explained that the engineering expertise and offshore infrastructure developed in the North Sea are directly transferable to carbon capture. CCUS is seen as opening opportunities across industrial heartlands, creating new markets, attracting private investment, and safeguarding foundational sectors. He argued that CCUS is not just an industry in itself but an enabler of wider industrial growth, protecting existing industries and enabling the production of low-carbon products in Britain.
Addressing the concept of reindustrialisation, McCluskey acknowledged that it can sound abstract but reflects the lived experience of millions. He spoke of places left behind due to industrial decline, where young people often have to leave their homes to find decent jobs. This loss extends beyond workers, impacting skills, spending power, and community vitality. He emphasised that meaningful work provides purpose, independence, security, and something for young people to aim for.
The government's focus is on undoing the damage of past industrial decline, where many communities were left without a serious plan. McCluskey asserted that this government accepts responsibility for shaping the economy, working with industry, investing strategically, and ensuring economic change happens with communities, not to them. Reindustrialisation, he stated, is about building future industries in places with the skills and ambition to lead them.
The minister linked 'Local Energy' and 'Local Jobs', asserting that the clean energy transition will only succeed if people see tangible benefits, such as good jobs, investment, local business contracts, and apprenticeships. His job, he noted, is to ensure projects support people and places, strengthening local supply chains and ensuring experienced workers' skills are valued in new industries.
CCUS is central to the government's reindustrialisation agenda and achieving net zero. Projects like the one at Padeswood, the UK's first carbon capture-enabled cement plant, are securing the future of vital foundation industries and creating new low-carbon construction materials. Similarly, carbon capture in refining and chemicals offers a route to reduce emissions while retaining production and skilled employment in Britain, avoiding 'deindustrialisation by another name'.
Significant progress is being made in building CCUS infrastructure. McCluskey cited 5 Final Investment Decisions secured, including projects in the East Coast Cluster (Northern Endurance Partnership and Net Zero Teesside Power) supporting around 3,000 construction jobs, and Liverpool Bay CCS in the North West supporting over 1,400 jobs. The Padeswood project and Protos will support over 600 jobs combined. Supply chain contracts worth over £2 billion have been awarded to more than 260 UK suppliers in the East Coast Cluster, with over £1 million invested in local skills development.
The opportunity extends beyond the initial clusters, with funding for CCUS infrastructure in the Humber region (Viking cluster) and support for Acorn CCS in Scotland. Collectively, these projects already support around 5,500 jobs in the UK. The minister urged industry to share successes and challenges.
McCluskey acknowledged the challenging fiscal environment and the need for difficult funding decisions, stating that public investment must be targeted for greatest value. He indicated that future phases might involve decisions on priorities, sequencing, and pace, but also opportunities for greater industry leadership and flexibility. He reiterated the Prime Minister's commitment that UK projects must deliver for the UK economy and workers, with a long-term goal of reducing government subsidy.
The government's overriding message is a commitment to a strong CCUS sector, vital for the UK's future. McCluskey pledged continued engagement with industry and plans to visit clusters to make the sector's successes more visible. He stressed that the transition to clean energy can be the beginning of industrial renewal, not a threat.
The success of CCUS will be measured not only by carbon captured but by what is built and the message conveyed: that the clean energy transition can deliver real opportunity for communities and the country. The government is backing carbon capture and storage to restore a sense of worth to communities, rebuild the industrial base, and lay foundations for the future.
Based on information from the official source: Department for Energy Security and Net Zero (DESNZ) (14/10/2026)