CPPA growth helping fuel UK renewables investment

Strong growth in corporate power purchase agreements (CPPAs) is fuelling a surge in investment deals in the UK renewables market, according to a report.

Knight Frank said there were a record 18 CPPAs publicly announced last year and eight so far in 2025 compared with just three in 2019.

“For investors and renewables asset owners, CPPAs lock in long term, stable revenue, often at fixed prices, making projects easier to finance and less exposed to market swings,” said the report.

The report said the growing appeal of such agreements is helping fuel a surge in appetite for investment in renewables.

Some 4.4GW of capacity changed hands through mergers & acquisitions during the first half of the year, compared to just under 5GW across last year, suggesting 2025 is set to be a record-breaking year.

Knight Frank’s Head of ESG and Sustainability Research Flora Harley said there was “an encouraging picture across all low-carbon energy sources”.