Ofgem has approved a £164 million funding boost for National Gas’s Project Union, advancing the UK’s crucial hydrogen infrastructure with the transition into detailed engineering design, aiming to support the country’s net-zero ambitions and industrial decarbonisation.
In a decisive move to accelerate the UK’s hydrogen infrastructure, Ofgem approved a significant £164 million funding on 14 November 2025 to advance National Gas’s ambitious Project Union. This capital injection marks a pivotal transition from early project scoping to the Front End Engineering Design (FEED) phase, laying crucial regulatory and engineering foundations for what is poised to become Britain’s core hydrogen pipeline network.
Project Union aims to repurpose existing high-pressure natural gas pipelines and build new sections to establish a resilient hydrogen backbone stretching across key industrial hubs. The network will link strategic points including St Fergus, Teesside, the Humber, Grangemouth, North West England, and South Wales, supporting the UK’s industrial decarbonisation goals while minimising capital expenditure and environmental disruption by utilising existing infrastructure wherever possible.
The £164 million funding chiefly supports detailed engineering design work on three critical pipeline corridors. These studies will finalise pipeline routing, material selection, safety standards, environmental mitigation measures, and permitting requirements. Importantly, they will provide robust cost and schedule estimates, reducing risks and uncertainties before construction commences. Such a comprehensive FEED phase is instrumental in de-risking large-scale infrastructure projects, offering clear roadmaps to investors and stakeholders.
National Gas’s Project Union is central to the UK government’s net-zero agenda, designed to transport low-carbon hydrogen from electrolyser sites and carbon capture and storage-enabled reformers to energy-intensive industries such as steelmaking, refining, and chemical production. The network will be a vital enabler for regions like Teesside, the Humber, and Grangemouth to substantially cut carbon emissions, while also linking with offshore wind power, sustainable energy projects, and carbon storage hubs to create an integrated, low-carbon energy ecosystem.
This development follows previous supporting investments, including Ofgem’s £96 million backing in June 2025 for an East Coast Hydrogen programme targeting reliable hydrogen networks across the Northeast, Humber, Yorkshire, and East Midlands. National Gas earlier initiated pre-FEED activities in 2023, engaging expert firms like Jacobs and ERM to prepare the groundwork for the hydrogen backbone, while in August 2025, it appointed WSP to lead design and environmental assessment efforts specifically for the East Coast section of Project Union.
Industry bodies such as Hydrogen UK and major energy firms like RWE have hailed the funding as crucial for meeting the UK’s 2030 hydrogen targets and enhancing energy security by fostering a cost-efficient and resilient hydrogen supply chain. National Gas anticipates that this public funding will catalyse further private sector investment by reducing transport costs and enabling larger-scale hydrogen production.
Projected to create over 3,100 construction jobs and contribute around £300 million annually to the UK’s gross value added (GVA), Project Union is not only an industrial decarbonisation initiative but also a significant economic stimulus. With the FEED phase under way, National Gas targets securing full construction permits by 2026–27, aiming for operational readiness in the early 2030s. However, industry analysts caution that material and labour market constraints, along with securing long-lead equipment and grid connections, will be critical challenges in the months ahead.
National Gas, responsible for operating the UK’s high-pressure gas transmission network, positions Project Union as the cornerstone of its hydrogen strategy to transform the existing gas infrastructure for hydrogen transport. The endeavour underscores the strategic role hydrogen is set to play across sectors, helping decarbonise industry and power generation, supporting the energy transition while remaining cost-effective and flexible.
As Project Union progresses, it is anticipated to serve as a replicable model for other European nations aiming to deploy large-scale hydrogen pipeline networks swiftly and affordably. This initiative marks a significant milestone in the UK’s journey to a sustainable energy future, aligning technical innovation, regulatory support, and industrial collaboration in pursuit of net-zero emissions.
- https://www.hydrogenfuelnews.com/ofgem-backs-164m-advance-in-uk-hydrogen-infrastructure-project/8573935/ – Please view link – unable to able to access data
- https://www.nationalgas.com/media/news/britains-core-hydrogen-network-takes-major-step-forward-ps164-million-investment – On 14 November 2025, Ofgem approved £164 million for three National Gas projects, advancing the development of a core hydrogen network. This funding will enable detailed engineering design for over 50% of the proposed 1,500-mile hydrogen network, known as ‘Project Union’, which aims to repurpose existing natural gas pipelines and construct new ones to connect regional hydrogen industrial clusters across Britain.
- https://www.nationalgas.com/media/news/ofgem-supports-east-coast-hydrogen-programme-ps96-million-announced-funding – In June 2025, Ofgem announced £96 million in funding for the East Coast Hydrogen programme, a significant infrastructure project aiming to establish a reliable hydrogen network across the Northeast, the Humber, Yorkshire, and the East Midlands. The programme plans to repurpose or build new pipelines to transport low-carbon hydrogen, supporting energy-intensive industries in these regions.
- https://www.nationalgas.com/media/news/national-gas-deal-paves-way-towards-no-regrets-hydrogen-network – In October 2023, National Gas engaged Jacobs and ERM to deliver pre-Front End Engineering Design (pre-FEED) activities for a hydrogen backbone connecting industrial regions across Britain. Project Union is a pioneering initiative to create a British hydrogen backbone capable of transporting 100% hydrogen, connecting production and storage with end users through repurposed and new pipelines.
- https://www.nationalgas.com/media/news/national-gas-appoints-wsp-design-pioneering-hydrogen-project – In August 2025, National Gas appointed WSP, supported by Kent, to design Project Union East Coast, the first step in creating a core hydrogen network across Great Britain. WSP will coordinate a multidisciplinary team to deliver a two-year programme of design, environmental assessment, consents, and public consultation for the East Coast section of Project Union.
- https://www.nationalgas.com/future-of-gas/hydrogen – National Gas is developing infrastructure to transport low-carbon hydrogen as a replacement for natural gas. The company is building the capability and flexibility required for a clean energy future at the lowest cost to the energy system, while realising value for the UK economy. Hydrogen is vital in decarbonising the energy system and can be used in various applications, including industry, power generation, and transport.
- https://www.nationalgas.com/future-energy/hydrogen/project-union-energising-britain – Project Union is a programme to develop a new hydrogen network, comprising approximately 1,500 miles of pipes running alongside the existing National Transmission System. It will be built by repurposing existing natural gas assets and building new pipelines where needed. The network will connect industrial clusters at Teesside, the Humber region, Grangemouth, and link up with Southampton, the North West, and South Wales, as well as connect to strategic hydrogen production sites, including at St. Fergus.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
8
Notes:
The narrative was published on 18 November 2025, reporting Ofgem’s approval of £164 million funding for Project Union on 14 November 2025. The earliest known publication date of substantially similar content is 18 November 2025. The report is based on a press release, which typically warrants a high freshness score. No discrepancies in figures, dates, or quotes were found. The content has not been republished across low-quality sites or clickbait networks. The inclusion of updated data alongside older material does not significantly affect the freshness score.
Quotes check
Score:
10
Notes:
No direct quotes were identified in the narrative. The absence of quotes suggests the content may be original or exclusive.
Source reliability
Score:
6
Notes:
The narrative originates from Hydrogen Fuel News, a specialised outlet focusing on hydrogen and renewable energy news. While it provides in-depth coverage, its niche focus may limit broader verification. The report mentions National Gas’s Project Union, which is a real initiative, enhancing credibility. However, the lack of direct quotes and reliance on a single source may raise questions about the report’s reliability.
Plausability check
Score:
9
Notes:
The narrative aligns with known developments in the UK’s hydrogen infrastructure, including Ofgem’s previous funding approvals for similar projects. The details about Project Union’s objectives and the funding amount are consistent with other reports. The absence of direct quotes and reliance on a single source may raise questions about the report’s reliability.
Overall assessment
Verdict (FAIL, OPEN, PASS): OPEN
Confidence (LOW, MEDIUM, HIGH): MEDIUM
Summary:
The narrative reports on Ofgem’s approval of £164 million funding for Project Union, a real initiative aimed at advancing the UK’s hydrogen infrastructure. The content is fresh and original, with no discrepancies found. However, the reliance on a single, specialised source without direct quotes raises questions about the report’s reliability. Given the lack of broader verification and the niche focus of the source, the overall assessment is ‘OPEN’ with medium confidence.
