The UK and California have signed a new Memorandum of Understanding in London to accelerate clean energy cooperation and boost investment.
The agreement will strengthen partnership to support jobs and industry on both sides of the Atlantic.
It creates a refreshed framework to drive innovation, scale up clean energy technologies and connect businesses and researchers across both economies.
The partnership will link the UK’s expanding clean energy sector with the Californian market to open export opportunities and support skilled jobs, with companies such as Octopus Energy already growing on the US West Coast.
It also commits both governments to deepen cooperation on clean energy, climate and the environment to speed up the rollout of technologies that lower bills and reduce exposure to volatile fossil fuel markets.
Both parties will additionally share expertise on biodiversity protection and community resilience in the face of extreme weather, aiming to safeguard homes, public services and local economies.
The UK’s net zero economy grew three times faster than the overall UK economy in 2024, according to the CBI, while California recorded similarly rapid growth with three times more clean energy jobs created than elsewhere in its economy.
Energy secretary Ed Miliband said: “This government’s clean energy mission is about taking back control of our energy to cut bills, create jobs, and tackle the climate crisis. Strong international partnerships like today’s announcement with the State of California strengthens opportunities for UK businesses and secures investment for our country.”
Governor Gavin Newsom added: “California is the best place in America to invest in a clean economy because we set clear goals and we deliver. Today, we deepened our partnership with the United Kingdom on climate action and welcomed nearly a billion dollars in clean tech investment from Octopus Energy. California will continue showing the world how we can turn innovation and ambition into climate action.”
Businesses also backed the agreement, highlighting expected growth opportunities.
Nick Chaset, CEO at Octopus Energy US, stated: “As a British tech business and investor growing in the US, this MoU opens up opportunities to bring our smart technology to California, cutting energy bills and improving the customer experience. We are already delivering that through our work with Southern California Edison, where the Octopus Shift app enables EVs and home batteries to support the grid and give customers more control over when and how they use energy.”
Chaset added: “This agreement gives investors like Octopus greater confidence to bring more of our proven technology to the state, like Octopus Electroverse. Already the world’s largest public charging platform, live across 1.3 million chargers in 50 countries. It is exactly the kind of customer-first innovation we are excited to scale through closer UK-California collaboration.”