Research
Market & Policy Updates
After years of policy design, 2026 marks the point at which NESO’s reforms begin to materially shape outcomes for battery energy storage in Great Britain. From connections reform and changes to the Balancing Mechanism, to updates in frequency response and long-term system planning, the year brings a dense sequence of milestones that developers, owners and investors will need to track closely. This timeline sets out the key dates that matter most.15 Jan 2026
Battery Operations
Batteries in Great Britain continue to degrade at expected rates, losing around 4% of usable energy capacity after 365 cycles. Despite higher utilisation in recent years, degradation remains modest and shows no clear link to depth of discharge. This suggests operators are managing assets carefully, balancing revenue with long-term performance.11 Nov 2025
Market updates
A small share of Capacity Market contracts never reach delivery—but when they do fail, the consequences ripple far beyond the project. Batteries face the highest rates of termination, driven by financing, connection, and degradation risks. These dropouts affect developers, investors, NESO, and ultimately consumers footing the bill for replacement capacity.31 Oct 2025
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