Energy: Labour Party Conference Insights 2026

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We need to take the public with us. This was the resounding theme from the energy Fringe events at this year’s Labour Party Conference. Feeding into Burnham’s wider strategy on devolution, ministers and MPs argued that driving clean energy projects cannot lie solely with Westminster, with local leaders knowing their areas best and the positive results they have seen from community led energy projects. This was reiterated by Miatta Fahnbulleh’s commitment to devolve the Warm Homes Plan and the Great British Energy's Local Power Plan which will see £1 billion shared with councils, communities and local residents to own and generate energy locally.

This was coupled with debates around cost of living populism, with households continuing to judge the Government through the lens of their household budgets, energy bills and economic security. Conversations highlighted a growing recognition that economic growth alone is simply not enough, with public support dependent on lowering bills and the cost of living. In this sense, ensuring the public is onside is not simply a communications exercise for this Government; but essential for the Labour Party to win the political argument in the face of growing criticism over their clean power agenda from opposition parties.

As a result, Labour figures sought to frame the clean energy transition not as an environmental obligation, but as an economic opportunity. Clean power was discussed in terms of reindustrialisation, investment and growing as well as protecting jobs as much if not more than emissions reduction.

At the heart of achieving their agenda is managing the grid, with countless conversations on how the clean energy transition will only be achieved if the networks underpinning it are modernised and expanded. This culminated with Burnham’s announcement on the ‘GB Grid’, a publicly owned company intended to help increase competition with the private sector, in an attempt to speed up connections across the network.  But with a budget of £4 billion taken from GB Energy’s existing funding it’s hard to see what change this will really deliver.

Ultimately, the Government has to get the cost of energy down, it’s what Miatta Fahnbulleh said was keeping her up at night and that rests on closing the spark gap, an issue that was acknowledged but not answered at this conference. It’s therefore difficult to see how consumers won’t have to endure further pressure in the short term.

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