LONDON, March 30, 2026, 19:10 BST
On Monday, SSE said its SSEN Transmission unit is aiming for around £29 billion in gross capital spending through the plan period, translating to approximately £22 billion net for the group, investor materials show. 1
RIIO-T3 is key here—Ofgem’s five-year price control, running from April 2026 through March 2031, forms the backbone of SSE’s £33 billion group investment plan. SSE signed off on Ofgem’s final terms on March 2, calling the package “investable and deliverable.” 2
SSE on Monday detailed a plan backing roughly 21 gigawatts of generation, alongside 21 substations, five new subsea connections, and over 630 kilometers of double-circuit overhead lines. More than 1,200 kilometers of dual HVDC cable—high-voltage direct current, used for efficiently carrying large power loads over distance—are also part of the buildout. 1
The presentation flagged a boost to regulatory returns under the updated framework. SSE noted SSEN Transmission could see real return on equity hit 5.70%, and a blended real return on debt and equity at 4.68%—both climbing from 5.09% and 3.77% in RIIO-T2’s last year. The company’s regulated asset value, the base for network returns, is projected to jump to around £30 billion by 2030, compared with roughly £7 billion for 2025. 1
SSE shares gained 3.7% on Monday, closing at £25.74, ahead of the FTSE 100’s 1.6% climb. According to Reuters, the UK utilities sub-index advanced 3.1% as investors gravitated toward defensive stocks amid ongoing Middle East tensions. Michael Hewson, senior market analyst at iForex, cautioned that “markets are underpricing the prospect” that the conflict could drag on. 3
SSE’s short-term earnings outlook has dimmed. Back in February, the company put out guidance for adjusted earnings per share between 144 and 152 pence for the year ending March 2026, a step down from last year’s 160.9 pence. Mixed weather dragged on results. CFO Barry O’Regan pointed to a ramp-up in investment across the five-year plan. 4
Still, work hasn’t slowed. Back in February, SSEN Distribution named five firms to help deliver a Scottish subsea cable investment that could reach £950 million. Then, on March 11, SSE announced it had locked in a provisional 3,581 megawatts of de-rated capacity—factoring in reliability—at Britain’s 2029/30 capacity auction. 5
SSE wants investors looking past the near term, pointing instead to its £33 billion strategy rolled out in November. Chief executive Martin Pibworth described the initiative as a “once-in-a-generation opportunity” for shoring up vital infrastructure. Jefferies’ Ahmed Farman argued the plan gave “clarity on the balance sheet and the company’s growth outlook.” Roughly 80% of those funds are going into regulated electricity networks. National Grid—the other major UK-listed transmission player—also backed Ofgem’s wider grid decision from December. 6
But everything comes down to execution. SSEN Transmission has landed 26 out of 34 key consents, according to Monday’s presentation. SSE flagged earlier this month that locking in the rest is near the top of the agenda for the rest of the year. Political heat is building around customer bills, too: Ofgem warned back in December that the broader £28 billion UK grid overhaul could tack on £108 to household bills by 2031. Fuel-poverty groups are pushing back, insisting network operators shouldn’t get a “blank cheque.” 1
The next updates are just around the corner. SSE has a closed-period notice scheduled for April 2, with preliminary results for the year ending March 2026 set to land on May 28. 7
