The low-carbon economy is growing fast but not evenly, with strong revenue gains masking deeper structural tensions around jobs, delivery and confidence.
Turnover across the low-carbon and renewable energy economy reached £77bn in 2024, up almost 12% in a single year and more than 90% higher than in 2015, shows the latest National Statistics report.
Growth has accelerated since 2020 as renewables scaled, electrification gathered pace and energy security moved from policy aspiration to political necessity.
Low-carbon power including wind, solar, nuclear and carbon capture generated £33.6bn of turnover last year, around 44% of the entire sector.
That marks a clear shift from the past decade, when energy efficiency products carried much of the economic weight.
Transport is the breakout success
Turnover linked to low-emission vehicles, batteries and charging infrastructure jumped by more than 30% year on year to £11.6bn, reflecting the rapid build-out of EV supply chains and grid-connected assets.
This is where capital, innovation and policy alignment have come together most cleanly.
But jobs are lagging
Total employment across the sector fell by roughly 13,000 roles in 2024 to around 304,000 full-time equivalents, despite rising revenues. The explanation is not collapse but composition.
Growth is increasingly capital-intensive, concentrated in generation, networks and manufacturing rather than labour-heavy services.
Energy efficiency still employs the largest share of the workforce, accounting for more than four in ten low-carbon jobs, but growth has flattened.
Heat remains a slow burner with employment linked to heat pumps and district heating rising from a low base, yet delivery continues to lag ambition, constrained by skills, consumer confidence and stop-start policy.
Regionally, progress is uneven, Scotland continues to dominate renewable turnover growth, while Northern Ireland has seen the fastest proportional rise in low-carbon employment, reflecting smaller starting points and targeted interventions.
England remains the largest market by scale but also the most exposed to grid delays and planning friction.
What is working is now clear, with power generation, storage and transport electrification are delivering scale, investment and export potential.
What is not working is balance. Jobs are volatile, heat is underperforming and delivery capacity is struggling to keep pace with ambition.
Copyright © 2026 Energy Live News LtdELN