Community Energy England, Ynni Cymunedol Cymru (Community Energy Wales) and Community Energy Scotland are pleased to announce the publication of the UK Community Energy State of the Sector Report 2025. This annual flagship publication provides the most comprehensive overview of the scale, impact and challenges facing the UK’s community energy movement.
The report draws on survey responses and data from across the sector, highlighting the work of hundreds of community organisations that are generating renewable energy, tackling fuel poverty, supporting low-carbon transport, improving energy efficiency, and reinvesting millions back into their local economies.
Findings from this year’s report show:
- Modest increases in community-owned renewable generation, the number of community organisations, and development funding secured.
- Significant growth in turnover (up 58%) and the value of community benefit funds (up 138%).
- Continued sector diversification, with more organisations working on transport, heating and energy efficiency initiatives.
- Ongoing challenges, including stalled generation capacity (379 MW in 2024), declining project pipelines, and policy barriers that risk slowing growth.
The report also outlines key recommendations to unlock the potential of the sector, including expanding development funding, removing barriers to grid connections, supporting local supply markets, and ensuring communities can access land, rooftops and finance for new and repowered projects.
At a time of rising fuel poverty and the ongoing cost-of-living crisis, the report underscores the vital role of community-led energy in delivering affordable, fair and sustainable solutions.
Emma Bridge, Chief Executive of Community Energy England, said:
“This report shines a light on the incredible work of communities across the UK who are taking control of their energy future. From cutting bills and tackling fuel poverty to creating local jobs and reducing carbon, community energy delivers benefits that go far beyond generation. Now it’s about delivering in the right way - continuing to identify and address the barriers, exploring with government and partners how the sector can grow, and reflecting on the evidence so we can scale up what works. The momentum is here, and together we can unlock even more impact for our communities.”
The State of the Sector report has been produced annually since 2017 and is the result of a collaboration between Community Energy England, Ynni Cymunedol Cymru - Community Energy Wales and Community Energy Scotland. The 2025 report is sponsored by SP Energy Networks, with regional research supported by Electricity North West and National Grid Electricity Distribution.
The full report is available to download here and in Welsh (Cymraeg) here.