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Navigating international trade and tariffs
Recent tariffs and other trade measures have transformed the international trade landscape, impacting almost every sector, region and business worldwide.
The following is an introduction to our UK Hydrogen Guide 2025. To read the guide in full, select 'Read full article'.
The UK remains an attractive and stable market for developers and investors in the low carbon hydrogen sector. The UK government has acknowledged the pivotal role that hydrogen can play in achieving the UK's net zero targets and the need to stimulate supply and demand for low carbon hydrogen in tandem. Consistent with this, in recent years the UK government has demonstrated sustained support for the low carbon hydrogen production chain by implementing a number of funding and policy frameworks, most notably the Hydrogen Strategy (August 2021), the British Energy Security Strategy (2022), the Hydrogen Investor Roadmap (February 2024) and the funding support pledged for the hydrogen sector in the UK government's 2024 Budget.
The UK's target is for the market to deploy up to 1GW of low carbon hydrogen production capacity by the mid-2020s, ramping up to 10GW by 2030. In tandem, the Scottish government has set a goal of 5GW of hydrogen production in Scotland by 2030. The UK government has taken a 'twin-track' approach to achieving its 10GW hydrogen production target as follows:
In recognition that the development of the UK hydrogen value chain requires government support to stimulate investment and drive production, the UK government offers supply side funding support in the form of:
The UK government also intends to drive demand for low carbon hydrogen produced in the UK by:
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Recent tariffs and other trade measures have transformed the international trade landscape, impacting almost every sector, region and business worldwide.
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In compliance with the constitutional reforms published in the Federal Official Gazette, new secondary legislation regulating the energy sector, specifically in terms of power and hydrocarbons, was published on March 18, 2025.
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