Comment by Inès Tunga, Practice Manager – Renewables, and Tobiloba Oyeleke, Graduate Energy Analyst at Energy Systems Catapult.

Floating offshore wind (FLOW) is advancing across Europe – unlocking deeper waters, harnessing stronger winds, and reshaping the path to Net Zero. But realising its full potential remains challenging.

Through the MarineWind programme, we’ve explored how Europe can accelerate FLOW deployment, with a focus on the UK – home to bold ambitions, a leading offshore wind industry, and valuable lessons learned.

The urgency

The UK’s FLOW target of 5 GW by 2030 is ambitious as part of its broader goal of 50 GW of offshore wind. Right now, we’re not moving fast enough.

As of today, according to the latest OEUK report, only 1.9 GW has been secured through Contracts for Difference (CfDs), and some major projects like Hornsea 4 are facing setbacks. Projects are getting stuck in planning, grid connections are delayed, and the infrastructure just isn’t there yet. These aren’t just UK problems; they are challenges that many European countries are facing.

What’s holding us back?

Planning and permitting are taking too long. Some projects have been stuck in planning for nearly a decade, held up by environmental assessments and red tape. The Marine Recovery Fund was meant to help offset impacts, but it’s still not fully up and running. Long delays mean developers can’t move forward, and investors lose confidence. If we can’t speed things up, we risk missing targets and losing momentum.

Then there’s the grid; projects are ready, but the grid isn’t. The UK has promised £54 billion in upgrades through its Holistic Network Design, but delivery is slow. Even when projects are fully consented in places like Scotland and the Celtic Sea, they are often left queuing, waiting for a grid connection. Without timely grid access, clean power stays offshore. This urgency was reinforced in NESO’s 2025 Balancing Costs Report, which warns that annual system balancing costs could spike to £8 billion by 2030 unless key grid upgrades, such as the Norwich to Tilbury 400kV line, are accelerated. The report also revealed that wind curtailment nearly doubled to 13% in 2024/25, highlighting the growing cost of inaction. These figures underscore the need to fast-track the Holistic Network Design and ensure that grid infrastructure keeps pace with the deployment of offshore wind.

This is a common issue across Europe, and one that the TEN-E regulation is trying to address through cross-border grid planning and investment, particularly for offshore renewables.

Ports and supply chains are another weak spot, as they are not set up for scale. FLOW needs bigger, more advanced infrastructure than fixed bottom. The UK is behind countries like Norway and France when it comes to port readiness and manufacturing capacity. Without the right infrastructure, we can’t build or deploy floating platforms at the scale we need.

Finally, the funding system doesn’t fit FLOW. FLOW is less mature and riskier technology than fixed-bottom, making it harder to finance. The current CfD scheme does not reflect those risks and floating bids struggle to compete. While projects like Green Volt showed that floating wind can attract investment when pricing reflects risk in Allocation Round 6, we need more tailored support. Unless that changes, we will continue to fall short of what is needed.

What’s working?

It’s not all bad. There is momentum building behind FLOW in the UK and across Europe, despite the sector’s challenges.

We see clear targets: the UK’s 5GW and the EU’s REPowerEU plan are sending strong signals to the market, signalling intent and offering long-term direction to investors, developers, and supply chain actors.

The financial framework is also shifting with public investment: In the latest Spending Review, the UK government confirmed a total budget of £8.3 billion for the Great British (GB) Energy initiatives. Of this, £4 billion is allocated directly to GB Energy to co-invest in clean energy, including £300 million for strengthening offshore wind supply chains. While the Contracts for Difference (CfD) scheme still isn’t fully tailored to FLOW, progress is visible. Looking ahead to Allocation Round 7 in August 2025, the government is exploring more flexible terms to help mitigate project risks, attract private capital, and support early-stage development.

Infrastructure support gaps are also being addressed: FLOWMIS is investing in upgrading port facilities to get ready for floating platforms, and the 2025 spending review has committed to an additional £80 million to support port infrastructure, specifically targeting floating offshore wind deployment, including investment in Port Talbot. The £544 million Clean Industry Bonus is rewarding developers who invest locally, i.e., in domestic supply chains and create jobs in coastal regions. These initiatives tie clean energy ambitions to real economic opportunity.

Finally, grid reforms are underway to tackle the two biggest barriers: planning and grid access. The 2025 Revised National Policy Statements are expected to streamline the permitting process. On the grid side, the National Energy System Operator is rolling out the £54 billion Holistic Network Design to tackle the delays. This is underpinned by Ofgem’s TMO4+ reforms, which introduce a “first ready, first connected” principle and a “connect and manage” system, which are critical steps to avoid grid bottlenecks that could otherwise stall consented projects.

Zooming in regionally, devolved governments have a big role to play here. Better coordination between national and regional planning could make a real difference. That’s something we heard loud and clear in MarineWind’s stakeholder workshops. Scotland’s Northeast and the Celtic Sea are shaping up to be floating wind hotspots – and yet, they’re also where some of the biggest challenges are emerging, especially around grid access and port capacity.

How do we close the gap?

The UK hosts four of the world’s largest offshore wind farms and offers one of the most attractive clean energy investment environments. Floating offshore wind (FLOW) could bring in £20–30 billion in investment and deliver up to 16 GW of capacity through fast-tracked projects. This would support climate targets, create jobs, revive coastal economies, and strengthen energy security.

The MarineWind programme, which brought together voices from across the sector, identified eight key enablers.

For governments

• Coordinate planning: Align seabed leasing, grid infrastructure, port upgrades, and supply chain development through a dedicated FLOW roadmap, working closely with NESO and devolved marine plans.
• Introduce adaptive licensing: This model, being trialled in Portugal and Greece, allows approvals to evolve with project progress, helping reduce delays without lowering standards.
• Scale up infrastructure investment: FLOWMIS is a positive step, but larger, more coordinated investment in ports and grid upgrades is needed. The EU’s Connecting Europe Facility and Net-Zero Industry Act offer useful examples.
• Tailor Contracts for Difference (CfDs): Adapt the CfD scheme to reflect FLOW’s specific risks and costs, with dedicated pots that reward innovation, local content, and environmental performance.

For regulators and system operators

• Accelerate delivery: Reforms like the Holistic Network Design and TMO4+ are promising but need faster implementation. Ofgem and NESO should be equipped with the tools and authority to keep progress on track.
• Promote cross-border alignment: Staying aligned with the TEN-E Regulation and North Seas Energy Cooperation will help the UK integrate into a connected offshore grid and avoid becoming isolated.

For developers and industry

• Support innovation: Continued backing for programmes like the UK Floating Wind Demonstration Programme and Horizon Europe is essential to lower costs and drive progress.
• Grow local capacity: Developers can work with UK and European manufacturers, ports, and training providers to strengthen supply chains and create jobs.

For investors

• Back early-stage projects: Despite its early stage, FLOW offers long-term potential. Investors can shape the market by supporting projects and calling for better risk-sharing tools such as guarantees and blended finance.

For communities

• Engage and inform: Community support is crucial. Clear communication about benefits like jobs, investment, and clean energy can make a real difference.
• Work together: The future of floating wind in Europe depends on collaboration. Shared standards, joint learning, and strong partnerships through platforms like Horizon Europe and NSEC will help everyone move faster and smarter.

What’s next?

Floating wind is ready to scale, and the UK is well-placed to lead, but leadership means delivery. With just 1.9 GW secured toward a 5 GW target, progress must accelerate. The ambition and innovation are there, but delays in approvals, grid access, and investor uncertainty are holding us back. MarineWind has shown what needs to change. The solutions are clear, now we need urgent, coordinated action.