UK Infrastructure Bank backs Highview Power with £165 million to deliver cutting edge long-duration energy storage facility

The investment is part of a £300 million fundraise to enable the construction of one of the world’s largest LAES facilities, which will be located in Carrington, Manchester. The funding round was led by UKIB and Centrica, alongside the UK Government, and a syndicate of investors including Rio Tinto, Goldman Sachs Power Trading, Kirkbi and Mosaic Capital.

The pioneering facility will use Highview Power’s proprietary LAES technology, with a storage capacity of 300 MWh and an output power of 50 MWs per hour for 6 hours.  

Construction will begin on the site immediately, with the facility operational in early 2026, supporting over 380 jobs in total.

The investment demonstrates the Bank’s role in mobilising private finance to help first-of-a-kind technologies - which are critical for the transition to net zero - reach commercial scale, whilst driving regional, local and economic growth.

Highview Power has developed its LAES technology in the UK over the last 17 years (with support from the UK Government’s Department of Energy Security and Net Zero). The technology can store renewable energy for up to several weeks when there is a surplus of supply and discharge energy to the grid during periods when renewable power generation is low.

Additionally, the creation of a stability island at the Carrington site further supports the reduction in carbon intensity of the grid, offering stability services such as reactive power and inertia using lower cost renewable energy.  

John Flint, UK Infrastructure Bank CEO said:  

“We are pleased to support this cutting-edge facility which will help stabilise the energy system as we increase our reliance on renewable energy sources like wind and solar. Our investment in Highview Power’s long duration energy storage system demonstrates yet again that we are perfectly placed to support nascent markets and mobilise private finance into emerging technologies.”

Richard Butland, CEO of Highview Power:  

“The UK’s investment in offshore wind and renewables has brought with it the need for structural solutions to the excess and support the grid’s transformation. The wind blows two thirds of the time in this country, but the demand isn't necessarily there for it. Without storage, this wind goes to waste and there is no energy transition.

“UKIB and Centrica and our partners have today backed an ambitious plan to bring renewable energy storage into the UK economy at scale, liberating the potential of what is both the greenest and by far the cheapest energy source for the UK economy and provide energy security. Our first project in Carrington will be the foundation for our full scale roll out in the UK and expansion with partners to share this British technology internationally.”

Chris O’Shea, Group Chief Executive, Centrica said:  

“The energy transition is an opportunity that could transform lives across the UK. But with a changing energy mix, and more intermittency from renewables, we have to explore new, innovative ways to store energy so our customers have electricity available when the wind doesn’t blow and the sun doesn’t shine. Low carbon storage is an essential part of the solution when looking at how we manage peaks in demand.

“That’s why I’m delighted that Centrica is investing in Highview Power. Not only are we bringing capital to the table to support rollout and expansion, but we’ll be also sharing our expertise on the energy transition and power storage. Through partnerships like this we can manage the challenges net zero might present while providing cleaner, greener power to customers.”