The UK’s transition to a fully electrified economy will require a step change in electricity network investment. From cables and substations to large scale infrastructure, network capacity may need to grow by 20 - 50% by 2050, requiring up to £105 billion in investment by the mid-2030s.

 

There are encouraging signs of progress. Decisions by Ofgem to accelerate transmission investment, alongside strategic planning from the National Energy System Operator, have boosted confidence in the transmission sector. Initiatives like the Advanced Procurement Mechanism and the £20 billion Accelerated Strategic Transmission Investment programme are helping to bring forward critical projects. 

But confidence alone isn’t enough. Across both transmission and distribution, the supply chain still lacks the clear, consistent signals needed to scale up manufacturing capacity. In the distribution sector especially, a “just-in-time” approach to procurement continues to limit visibility, making it harder for suppliers to invest in skills, facilities, and production. 

Recent data shows that distribution network operators (DNOs) are significantly underspending on reinforcement during RIIO-ED2, with delivery challenges and weaker-than-expected demand cited as key factors. While there are indications of improvement, the risk remains that delayed investment now will lead to a sharp spike later, putting pressure on the supply chain and slowing progress. 

The solution is clear: move earlier and more strategically.

Strengthening requirements for forward planning, improving demand visibility, and encouraging investment ahead of need will be essential. A smoother, more predictable pipeline of work would allow suppliers to ramp up capacity at a realistic pace; supporting jobs, manufacturing growth and timely connections for renewables, EV infrastructure, and electric heating. 

As Ofgem shapes the next phase of network regulation, getting these signals right will be critical. Without them, the UK risks falling behind in both infrastructure delivery and the global race for supply chain capacity. With them, the electricity network can become a powerful enabler of Net Zero and long-term economic growth.