UK Grid Upgrade Delays and Your Bills

By Sepehr· 11/09/2026· Updated 11/09/2026· 4 min read
UK Grid Upgrade Delays and Your Bills

Written and reviewed by Sepehr. See our editorial policy.

The National Audit Office published a report on 11 September 2026, Upgrading the electricity transmission network, warning that Britain's £70bn grid upgrade programme is running behind the pace it needs to hit its own targets. That matters well beyond the industry trade press: the NAO's own reading is that delays to this build-out risk pushing household bills up further, on top of everything else already squeezing them. It's also a reminder of why more homeowners are looking at solar and battery storage as a way to generate and store their own power rather than lean entirely on a network that's visibly straining to keep up.

What the NAO actually found

Ofgem estimates £70bn of investment is needed in the electricity transmission network between 2025 and 2031 to connect the wind, solar and other low-carbon generation Britain is building. The NAO's report is blunt about the risk: of the 80 transmission projects that the National Energy System Operator (NESO) identified as necessary in its 2024 Clean Power Advice, only around 16 are finished, with the remaining 64 still at an early stage of development and not on track to connect by the dates needed to keep costs under control. Transmission companies' own spending is set to more than quadruple, from roughly £2.5bn in 2025-26 to over £11bn by 2027-28 — a sign of how much catching up is required. NAO head Gareth Davies summed up the finding as one of execution rather than ambition: value for money, he said, "now depends on delivery."

Why a slow grid already costs you money

The reason delivery speed matters so directly to bills is constraint costs — the payments generators receive to switch off (or gas plants receive to switch on) when the grid physically can't move the power that's being generated to where it's needed. Constraint costs totalled £1.9bn in 2025-26, and the NAO warns that figure could climb to as much as £7.8bn a year by 2030 if the upgrade programme isn't accelerated. Every pound of that gets recovered from bill payers through network charges, regardless of whether their own area has a shortage of wind and solar or a shortage of grid capacity to carry it.

The trade-off: paying now vs paying more later

Accelerating the grid build isn't free either. Ofgem's own estimate is that paying for the £70bn of upgrades adds roughly £60 to a typical household's network charges by 2030. But the NAO's report frames that as still the cheaper option: Ofgem calculates that speeding up delivery nets consumers a £30 saving overall compared with letting constraint costs keep rising unchecked. In other words, the choice on the table isn't “pay more” versus “pay less” — it's a smaller, controlled rise now versus a larger, open-ended one later if the grid keeps falling behind the generation being connected to it. That's the same dynamic already playing out in why UK energy bills are so high and in October's price cap move, covered in our Ofgem price cap explainer: network costs are one of the few bill components rising largely independently of wholesale gas prices.

What this means if you're considering solar or a battery

None of this is a reason to expect blackouts or an unreliable grid — the NAO's concern is cost and pace, not resilience failing outright. But it is a concrete, government-audited confirmation that network charges are on a rising trajectory that has little to do with how much energy you personally use, and everything to do with the cost of connecting the country's power system together. That's exactly the part of a bill that generating your own electricity doesn't remove entirely, but does reduce your exposure to: a home with solar panels draws less imported power overall, so a rising per-unit network charge applies to a smaller number of units. Add a home battery and you can also shift more of your own generation into evening peak hours, when the grid is under the most strain and constraint payments are most likely to be triggered. Our home battery backup guide covers what a battery can realistically cover day to day, and our virtual power plants guide covers how some households are going a step further and getting paid for exactly the kind of grid flexibility the NAO's report says the network needs more of.

What happens next

The NAO's report doesn't set new policy itself — it's an audit of how DESNZ, Ofgem and NESO are performing against the delivery plan they've already committed to, intended to put pressure on those bodies to speed up. The report notes the three organisations have started working together more closely, but says the systems involved weren't designed for delivery at this pace or scale. Expect continued scrutiny (likely a Public Accounts Committee follow-up, as is standard after an NAO report) rather than an immediate change to your bill. We'll update this piece if that scrutiny produces a firmer commitment on network charges.

FAQs

Will grid upgrade delays increase my energy bills?

The National Audit Office's September 2026 report says the opposite is more likely: delivering the £70bn transmission upgrade on time still adds around £60 to typical network charges by 2030, but Ofgem estimates that's about £30 cheaper overall than letting grid congestion costs keep rising if the upgrade is delayed further.

What are grid constraint costs?

Constraint costs are payments made to generators to switch off, or to other power stations to switch on, when the transmission network can't physically move the electricity being generated to where it's needed. They totalled £1.9bn in 2025-26 and the NAO warns they could reach £7.8bn a year by 2030 without faster grid upgrades.

How many of the UK's needed grid upgrade projects are on track?

Of the 80 transmission projects NESO identified as necessary in its 2024 Clean Power Advice, the NAO's September 2026 report found only around 16 are finished, with the remaining 64 still at an early stage and not on track to connect by the dates needed to control costs.

Does solar and battery storage reduce exposure to rising network charges?

Generating your own electricity with solar reduces how much power you import, so a rising per-unit network charge applies to fewer units. Adding a home battery lets you shift more of that generation into evening peak hours, when the grid is under the most strain.

Sources — verified 11 September 2026

  1. National Audit Office, “Upgrading the electricity transmission network”www.nao.org.uk
  2. Solar Power Portal, “NAO: Grid upgrade delays could increase consumer bills by £60”www.solarpowerportal.co.uk
  3. AOL UK / PA, “Speed up electricity grid upgrade or else face higher bills, warns UK watchdog”www.aol.co.uk
Disclaimer: Smart Solar Homes provides educational information about home energy products and is not regulated financial advice. Savings and payback estimates depend on individual circumstances including bill amounts, usage patterns, install conditions, and tariffs. Always seek independent professional advice before purchase or install.
Sepehr, solar specialist at Smart Solar Homes

About the author

Sepehr

Solar specialist & co-founder, Smart Solar Homes

Solar specialist and co-founder of Smart Solar Homes, which works with MCS-certified UK installer partners. I write all the guides and reviews here; the aim is straight-talking education the industry rarely provides.

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