KEIR Starmer has confirmed that GB Energy will be headquartered in Aberdeen.
It was previously reported that the new company would be stationed in the Scottish city, although the Prime Minister confirmed it during his speech to conference on Tuesday.
It has also been confirmed that two additional sites will open in Edinburgh and Glasgow once GB Energy is up and running.
The company will initially be located in government buildings in these cities while permanent bases are established.
It comes after Anas Sarwar was grilled on the project on Tuesday morning, as he failed to tell the BBC when it will lead to energy bills being reduced.
Speaking to conference, Starmer said: "We said GB Energy – our publicly-owned national champion, the vehicle that will drive forward our mission on clean energy – we said it belonged in Scotland. And it does.
"But the truth is, it could only really be based in one place in Scotland. So today I can confirm that the future of British energy will be powered, as it has been for decades, by the talent and skills of the working people in the Granite City with GB Energy based in Aberdeen."
The Prime Minister has previously said the company would help "create good jobs and cut people's bills".
However, he also said that it would act as an "investment vehicle, not an energy company".
In his speech, Starmer added: "This is how the work of change happens. A decisive mission-led government.
"Moving our country forward, step by step. Focused on a clear long-term plan. That first, we stabilise our economy.
"Second, we fix the foundations. And third, we build, with pride and determination, a Britain that belongs to you."
In a statement released after the speech, Juergen Maier, the chair of GB Energy, said the headquarters will act as a “starting point” for the newly-formed firm.
“We will use this base to rapidly scale up this publicly owned, operationally independent company and start to engage with investors and communities and build supply chains across the UK,” he added.
Elsewhere in his speech, Starmer said he understood people will ask "what will we get to show for it" when the Government pursues "national renewal".
He said: “I understand that. After all, what they are used to is a lie, an act, a charade, a performance.
“You can call it populism, many people do. But I prefer to call it the politics of easy answers. Because at its core that’s what it is. A deliberate refusal to countenance tough decisions, because the political pain is just too much to bear. Party first, country second.”
Reaction
Following the announcement from Starmer, SNP Westminster leader Stephen Flynn took to Twitter/X to share his reaction to the news.
He said: "Good, of course. Now just to tell us what it will actually do and when it will bring down energy bills, as promised."
Scotland’s acting Energy Secretary Gillian Martin welcomed the announcement, but urged the UK Government to “accelerate the establishment” of GB Energy.
"We will now press the UK Government to make sure that this announcement brings real decision making to Aberdeen and adds value to the great work already taking place in the energy transition,” she said.
“More widely, we are working closely with the UK Government as it establishes the GBE team and we would encourage them to accelerate the establishment of the new organisation so that investment in projects in Scotland can be taken forward without delay.”
Reacting to the news, Scottish Green MSP Maggie Chapman (below) said the announcement raised more questions than it did answers.
She called for future greater collaboration between the Labour Government and the MSPs who represent the region to ensure GB Energy can help tackle the climate crisis.
“If done properly, GB Energy could present an important opportunity for Aberdeen – with new jobs, investment, a focus away from the legacy of oil and gas," the MSP said.
“We want to be optimistic, but a lot of us are concerned that this will become an investor’s playpen, rather than a genuine driver of new renewables projects.
“So far the UK Government’s statement raises many more questions than answers.
“It is time for Labour to be clear about its ambitions for this project, and what it will look like. GB Energy should be an organisation that resources the energy sector’s move towards genuine renewable energy, not an excuse for more warm words on oil, gas and nuclear.
“An energy transition without justice for workers and affected communities is the last thing we need. Aberdeen has a unique role to play in driving forward our just transition. It can be the engine that drives the climate action and green economy that are so vital.
“The UK Government must ensure that GB Energy works for public interests in the region and the sector, and is not simply a way to line private pockets.
“I would welcome greater collaboration between the Labour Government and the MSPs who represent the region, to ensure GB Energy lives up to the challenge of our climate crisis.”
