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Brexit, Hinkley Point and disbanding of DECC have "dealt a blow" to UK renewables sector

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A market analysts’ league table of the most attractive countries to invest in renewable energy has placed Britain – usually a top ten contender – at fourteenth place in the wake of recent events.

Brexit uncertainties, the disbanding of the Department of Energy & Climate Change (DECC) and the approval of nuclear power plant Hinkley Point C have pushed the UK to a new low, according to Ernst & Young (EY) Global.

In their latest Renewable Energy Country Attractiveness Index, Britain appeared at fourteenth place, just behind Morocco.

The news follows ongoing industry criticisms that drastic and sudden changes in Government policy are deterring investors.

Ben Warren, EY’s head of energy corporate finance, said: “Continued uncertainty around the Government’s energy policy has created a confusing picture for investors seeking a low-risk return.

“With one more big decision, this time on the future of untested tidal lagoon technologies, expected in the coming months, the Government clearly believes that easy to deploy and cost efficient technologies such as onshore wind and solar are not the answer to the UK’s energy security conundrum”.

EY’s report added: “Uncertainty caused by Brexit, the closure of the DECC and the approval of Hinkley Point C all dealt a sizeable blow to the UK renewables sector”.

However, it acknowledged that “some respite came when the Government approved 1.8GW Hornsea 2, which will be the world’s largest offshore wind farm if completed as planned.”

EY’s league table was led by the US, followed by China, India, Chile and then Germany.

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