New energy wealth fund as Jackdaw approved

The Government has announced the launch of a new fund to invest in low carbon projects after giving the green light to the controversial Jackdaw gas field.

The North Sea field will start to supply gas to British homes and businesses from the end of this month, after the Energy Secretary agreed that the regulator can grant consent for gas to be produced at the field.

The Government said the Jackdaw decision is expected to increase domestic gas production by around 6% at its peak and support the UK’s gas supply over its lifespan of up to 11 years.

Alongside the announcement it has announced the establishment of a new Energy Wealth Fund, which will use tax revenues from North Sea oil and gas to invest in renewable and low carbon energy projects and support the green transition.

It will start with an initial £2 billion injection of funding, with future revenues from the North Sea flowing into the fund over time.