Peak Cluster Pipeline and Project - 15th July 2026

Esther McVey (Conservative)

I agree, but none of that has been forthcoming to the public, no matter how hard they have tried, and the public do not want the project. Right across the region, there have been demonstrations and councils have voted against it. At a recent public meeting in Byley, close to one of the proposed pipeline routes, the failings were laid bare. The local communities of Cheshire, Wirral and Derbyshire know this, and that is why they are calling for the project to be stopped. The project is completely unnecessary. It is a madness of a project—a net zero vanity project.

Really, Minister? If one delves a little bit deeper into the Peak Cluster project, it is revealed that it has deep, direct, structural and financial links to Government, with the final sign-off being from none other than the Secretary of State for Energy Security and Net Zero.

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Michael Shanks (Labour)

First, I will come back a little from the Peak Cluster itself to make some points about why carbon capture is important. I say that partly because carbon capture technology has been around a long time. The previous Government, in which the right hon. Lady served in various ministerial roles, drove forward investment in carbon capture, which we have continued. This is not something that just appeared in July last year; it is a technology that Governments have recognised will play an important part in decarbonising our energy system.

Decarbonising cement might not seem like a particularly important topic to a lot of people, but it is actually critical. Around 40% of UK cement and lime production takes place in Derbyshire and Staffordshire. Cement is one of the foundational heavy industries, and one of our most important substances, to underpin growth in our economy. As a result, the industry was recognised in the industrial strategy as a foundational input for growth. It is also an economically important sector, contributing around £350 million in gross value added and supporting thousands of jobs.

The challenge we have is future-proofing the industry. A number of businesses now want to buy low-carbon cement to construct their projects, but low-carbon cement is produced elsewhere in the world, so it is important to find ways to be competitive in that market. As I said in the Adjournment debate, other technologies for creating low-carbon cement exist, but they are not yet at a stage where they can be deployed at scale. Carbon capture is important, and there is no route to net zero that does not involve this technology.

I want to remind the right hon. Member for Tatton why net zero is important, although I know that not everyone will agree. Given that we are living through climate change on such a scale, we as a country should be taking our responsibility seriously to do everything we can, and this is an important part of how we tackle it. This is also an economic opportunity that not only creates thousands of jobs in carbon capture but protects thousands of jobs in the heavy industry that we do not want to see leaving this country to go elsewhere. It plays a strategically important part, along with our economic growth and industrial strategy, in how we will broadly deliver net zero.

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11:22 Michael Shanks (Labour)

Safety will be at the forefront of any decision about how we take this project forward. It is absolutely critical but, as I have said, CCS is not some novel technology whose safety considerations we do not understand. It is managed, understood and regulated effectively at the moment.

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11:27 Michael Shanks (Labour)

The exchange of views is important, and everyone, whether or not they are listening to this debate, should know that the Government take community engagement very seriously. We expect to see meaningful engagement with communities, but at the same time the Government have set out an ambitious plan to decarbonise our economy. That is important for a whole range of reasons, but it is also a hugely important economic opportunity for us as a country.

Decarbonising hard-to-abate sectors such as cement and lime, which are critical to our economy, is difficult. CCUS is a route to doing that. It is essential not only for meeting our climate commitments, but for the economic opportunities that it offers. Future project proposals are subject to scrutiny, high standards and a tough regulatory regime. The Government will look at all of this in the round in terms of individual projects.

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