UK government to channel more than $1.49B into maritime industry growth

September 15, 2025, by Sara Kosmajac

The United Kingdom (UK) government has decided to allocate over £1.1 billion (approximately $1.49 billion) in joint government and industry investments for the maritime sector, seeking to expand growth and boost innovation in engineering, green technology and construction sectors.

Illustration. Courtesy of Offshore Energy

Per the nation’s Department for Transport, the funding encompasses a private investment amounting to £700 million, which is set to go to major UK ports as well as industry stakeholders, and a public investment totaling £448 million aimed at slashing greenhouse gas emissions (GHG) from UK shipping.

As disclosed, both of the financing sets are envisaged to lend a helping hand to businesses as well as academia to develop the technological solutions that reduce carbon dioxide (CO2) emissions.

According to the government, the almost half a billion pounds is hoped to strengthen the UK SHORE program, which supports research and development (R&D) efforts regarding new, clean maritime technologies and fuels, such as electric propulsion, hydrogen, ammonia, methanol, and wind power, among others.

As informed, UK SHORE has thus far delivered £240 million to over 200 projects across the country. The program, together with Innovate UK, oversees the Clean Maritime Demonstration Competition (CMDC), the sixth round of which was unveiled in January 2025, representing funding of £30 million.

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As the latest announcement by the government has highlighted, on the heels of the billion pound investment, the newly appointed UK Maritime Minister, Keir Mather, is to pay a visit to the Cammell Laird dry dock at Birkenhead in Liverpool to see how £3.6 million of previous UK SHORE funding has push a further £3.6 million in private investment for the installation of a zero-emission electric shore power system, which will allow vessels to plug into electric power and run emission-free while docked.

Representatives from Cammel Laird have reportedly estimated that—once fully operational—the shore power system could save the equivalent of the average annual fuel consumption of 20,000 cars.

Furthermore, UK SHORE funding has also supported Aqua Superpower’s installation of a network of chargepoints across the South Coast of England and London. As the winner of the fourth round of the CMDC, the company estimated that this initiative could slash emissions by up to 2,800 tonnes of CO2 per year.

The Department for Transport has added that Aqua Superpower has also built local charging networks spanning 59 sites across Europe and the United States. As understood, this is on top of the £3.3 million for FastRig wingsails, constructed by Smart Green Shipping in Scotland. The project is expected to cut fuel and emissions on ships by up to 40% a year.

The government has been collaborating with the maritime industry to further drive investment across domestic ports, supporting jobs, skills, and innovation, with the overarching goal of positioning Britain as a “global hub” for international shipping.

To this end, Peel Ports has allegedly unveiled £300 million for its Liverpool, Hunterston and Great Yarmouth ports, while NatPower Marine—which is set to establish the first green shipping corridors between Ireland and the UK together with Peel Ports—has just announced £250 million for shore-side power.

“Peel Ports Group has invested £1.5 billion over the past decade, future-proofing our operations, strengthening vital supply chains and creating hundreds of jobs across the regions where we operate. Looking ahead, we plan to invest a further £1 billion over the next 5 years, with projects already underway that include new port-centric warehousing, steel and metals facilities and major upgrades at key ports,” Claudio Veritiero, CEO, Peel Ports Group, shared.

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What is more, as per the UK government, the Port of Tyne’s £150 million-worth North Side development site is anticipated to create up to 12,000 jobs in offshore wind and manufacturing.

“Accelerating offshore wind, renewable energy and advanced manufacturing is a national priority and requires decisive action. Boosted by Industrial Strategy Zone status, our 230-acre North-side expansion to the Tyne clean energy park will help the UK execute its 2030 clean power target,” said Matt Beeton, CEO at the Port of Tyne.

In addition to port and maritime infrastructure investment, the Department for Transport has revealed that the government will also set out to support the nation’s cruise industry, which is claimed to contribute a whopping £5.8 billion to the economy.

As part of this support, the department is gearing up to launch the UK’s cruise growth plan, comprising commitments from both the government and the private (cruise) sector, aimed at promoting growth, further development of ports as well as coastal communities.