Britain\u2019s interconnection started expanding rapidly in 2020,\u00a0with new links to Belgium, Denmark and Norway, plus two\u00a0new links to France coming online in a few short years.\u00a0Britain built 5 GW of interconnectors between 2021 and\u00a02023, but since then only 0.5 GW has come online. The\u00a0NeuConnect link to Germany is currently under construction, but not scheduled for completion until 2028. The lull\u00a0should be short-lived, as\u00a0 Britain is due to add more than 1.2 GW per year<\/a> from 2028 through to 2032 if all approved projects proceed as planned.<\/p>\n\n\n\n Britain overtook Germany to become the most inter-connected large power system in Europe. Interconnection\u00a0share is measured as the total interconnector capacity\u00a0relative to total generating capacity. France\u2019s total includes\u00a0links to Britain.<\/em><\/strong><\/p>\n\n\n\n Building links to other countries is only part of the\u00a0challenge. Britain also needs more grid capacity to move\u00a0power within its own borders. Stronger connections are\u00a0needed to reduce the amount of Scottish wind power\u00a0wasted to curtailment, to connect new sources of demand like AI data centres, and to support the landing points for major new interconnectors. This will require strategic long-term planning, and a planning system that can deliver clear\u00a0and timely decisions to build the infrastructure that the\u00a0power system\u2019s future depends on.<\/p>\n\n\n\n The next question is whether Britain can use those cables more effectively. The UK and EU are exploring closer cooperation<\/a>, including the possibility of Britain participating in the EU\u2019s internal electricity market<\/a> once again. This would improve the efficiency of electricity trading, which National Grid estimate has added \u00a31 billion to the cost of power trading since Brexit<\/a>. Recoupling\u00a0markets would allow the intuition and forecasts of traders\u00a0to be replaced by central algorithms, which would\u00a0 reduce power prices in Britain<\/a>.<\/p>\n\n\n\n Britain\u2019s Reformed National Pricing plan<\/a> could shorten market settlement periods to 15 minutes, aligning with how markets run on the continent. Both sides also plan to link the UK and EU Emissions Trading Schemes<\/a>, together\u00a0with abolishing Carbon Price Support from 2028 \u2013 an\u00a0\u00a318 per tonne tax paid only by British fossil-fuelled power\u00a0stations for CO2\u00a0emissions. These changes would align\u00a0carbon price signals for power generation on both sides\u00a0of the Channel, reducing distortions in interconnector\u00a0trade and creating a more level playing field<\/a> between the markets.<\/p>\n\n\n\n![\"\"](\"https:\/\/reports.electricinsights.co.uk\/wp-content\/uploads\/2026\/05\/WEL_Drax_EIQ_2025_Q1_Graph_06-1024x458.png\")
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