Low Carbon Contracts Company (LCCC) has successfully signed more than 200 Contracts for Difference (CfDs) awarded across Allocation Round 7 (AR7) and Allocation Round 7a (AR7a), enabling 14.7GW of renewable electricity generation.
AR7 represents a significant increase in scale from previous auctions, delivering contracts across fixed bottom and floating offshore wind, onshore wind, solar, and tidal stream power, reinforcing Great Britain’s position as one of the world’s most attractive markets for renewable investment.
Contracts were awarded across a range of technologies, including:
- 8.2GW of fixed bottom offshore wind, with a weighted average strike price of £90.91/MWh
- 4.9GW of solar, secured at strike prices of £65.23/MWh
- 1.3GW of onshore wind, with a strike price of £72.24/MWh
The outcome demonstrates strong competition across technologies and delivers long-term value for consumers, while providing developers with the revenue certainty needed to invest at scale.
Following the auction, LCCC mobilised an experienced team and utilised digital systems to issue and sign a record number of contracts in line with regulatory obligations to issue the contracts and have them countersigned each within 10 business days.
This includes LCCC’s in‑house digital platform, Zero, which now underpins the contract‑issuing process once an allocation round is complete.
Zero serves as the central hub for all CfD contract obligations from initial contract creation through to long‑term delivery. As the single counterparty to the CfDs, LCCC will manage these contracts over 15-20-year terms, providing a stable and trusted framework that underpins investor confidence and supports delivery of clean power across the whole length of Great Britain.
Among the successful projects in AR7 is Phase B (1.4GW) of the 4.1GW Berwick Bank Offshore Wind Farm, which at full build-out will be the world’s largest offshore wind farm, located off the east coast of Scotland.
The round also includes the UK’s largest solar project to be awarded a CfD, West Burton Solar Farm, highlighting the growing role of solar in delivering low-cost power to Great Britain.
Dan Sadler, LCCC Director of Scheme Delivery, said, “Allocation Round 7 demonstrates the continued strength of the Contracts for Difference scheme in delivering low-carbon power and reducing our reliance on global fossil fuel markets.
“These contracts will act as price stability mechanism over the next 15-20 years, helping to protect from external shocks”
Steve Wilson, Director of Offshore Development and Construction, SSE Renewables said, “We’re delighted to formally sign the CfD for Berwick Bank B following its AR7 success. Berwick Bank will make the single biggest contribution of any Scottish project towards achieving Scotland’s and the UK’s offshore wind and Clean Power 2030 targets.”
Matt Hammond, Foresight Group Partner, Real Assets, representing West Burton Solar Farm, said, “The scale and diversity of the projects supported, particularly in offshore wind and solar, demonstrate both the maturity of the Contracts for Difference mechanism and the strength of investor appetite for well‑structured, long‑term renewables opportunities. As a long‑term infrastructure investor, we welcome LCCC’s continued focus on certainty, stability, and efficient contract delivery. These attributes are essential to enabling projects to progress at pace and ensuring that capital can be deployed confidently into assets that will deliver low‑cost, low‑carbon power for decades to come.”
Bob Psaradellis, CEO of Island Green Power, said, “The UK’s CfD is the most successful contractual framework for renewables in the world, securing investment in green, secure energy and supporting Britain’s aims of cutting both emissions and bills for consumers.
“We are proud for West Burton to participate and deliver a renewable energy solution that creates lasting value for the communities we serve, protecting the environment while fostering economic growth and energy independence”
Chris Hewett, Chief Executive of Solar Energy UK, said, “Solar energy generated 6.3% of the UK’s power last year – up from almost nothing in only fifteen years. Capacity on rooftops and on the ground rose by an impressive 20% over 2025 – and is set to grow by even more in the coming years. A large part of that will flow from the industry’s success in the seventh allocation round, securing over 4.9GW of carbon-free capacity. That’s up 50% on AR6. CfDs give the industry the confidence to invest while securing power for the nation at low cost, so we look forward to the opening of the next round.”
With the recent announcement that HM Government intends to expedite timeframes for Allocation Round 8, LCCC will be working to ensure the lessons in efficiency from AR7 are replicated when the next round opens in July.
