The partnership aims to lease up to 30 gigawatts of new offshore wind projects by 2030, potentially providing power for nearly 20 million homes.

According to the government, this initiative could attract up to £60 billion in private investment into the nation’s energy infrastructure.

Officials are optimistic that this will contribute to lowering domestic energy bills and enhancing the UK’s energy self-sufficiency.

The announcement coincides with the introduction of legislation to establish Great British Energy, a new publicly owned company promised in Labour’s manifesto, which will receive £8.3 billion in funding over the next parliamentary term.

Prime Minister Sir Keir Starmer stated, “My government is committed to delivering change to improve people’s lives. This innovative partnership between Great British Energy and the Crown Estate is a crucial step towards our goal of achieving clean energy by 2030 and permanently reducing energy bills.”

He also mentioned that the partnership would “accelerate our country toward energy security, create the next generation of skilled jobs, and lower bills for families and businesses.” He added, “My mission-driven government is committed to delivering for Britain.”

The Crown Estate, essentially the property company of the monarchy, has a £16 billion portfolio, including most of Britain’s seabed up to 12 nautical miles from the coast.

Last year, it made £1.1 billion in profit, primarily from leasing land to offshore wind providers, with most of the money going back to the government’s coffers, except for a small portion that goes to the monarchy.

Additionally, a new bill being introduced on Thursday will grant the Crown Estate new borrowing powers to enable further investment in wind projects.

Chief Executive Dan Labbad stated, “The Crown Estate exists to serve the national interest, including managing our natural resources to deliver a decarbonized, energy-secure, and sustainable future. With new powers and by partnering with the government, we can drive greater investment into this future for our country, supporting nature recovery and job creation.”

Additional details about Great British Energy were revealed, with the government indicating that the company would lead energy projects through development stages to expedite them, then transfer them back to private firms while retaining a stake to generate returns for the public purse. However, ministers have left open the possibility for Great British Energy to become an operator of projects in the future.

Greenpeace UK welcomed the announcement as “a great first step towards Labour delivering on their strong election mandate for rolling out renewable energy across the country.”

In contrast, shadow energy security secretary Claire Coutinho criticized Great British Energy as “nothing but a gimmick that will end up costing families, not cutting bills.” She added, “Labour has already admitted that their flagship energy company won’t generate any energy, and now we know it’s a financial black hole, funneling taxpayers’ money into reducing risk for multi-million-pound energy companies. Labour’s entire energy policy prioritizes ideology over the national interest. The Conservatives will hold them to account and ensure the focus is on cheap bills and secure energy.”