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📍 Tokyo, July 9, 2025 — The UK government has signed a landmark £7.5 billion ($10 billion) investment agreement with Japan’s Sumitomo Corporation, aimed at accelerating clean energy and infrastructure development across Britain by 2035. The deal was formalized in Tokyo by Investment Minister Baroness Poppy Gustafsson and senior Sumitomo executives, reinforcing the UK’s Modern Industrial Strategy and 10-Year Infrastructure Strategy.
🔋 Focus Areas The investment will target:
- Offshore wind power
- Hydrogen production and infrastructure
- Carbon capture and storage (CCS)
- Railway operations and next-generation energy technologies, including fusion energy
Sumitomo’s Energy Transformation Group CEO Hajime Mori emphasized the company’s commitment to leveraging its expertise to drive growth in UK clean energy sectors. Europe CEO Hiroyuki Koike praised the UK’s supportive investment climate and expressed confidence in deepening bilateral cooperation.
🌍 Strategic Significance
- The agreement builds on the UK’s £135 billion trade relationship with the Asia-Pacific region
- It complements earlier 2024 initiatives, including the UK-Japan Industrial Strategy Partnership, Economic 2+2 dialogue, and CPTPP ratification, which is projected to add £2 billion annually to the UK economy
- The UK was recently ranked a joint-top global investment destination in Deloitte’s survey of finance leaders
🗣️ Government Perspective “This is a major vote of confidence in our economy,” said Gustafsson. “Deals like this create high-value jobs, unlock supply chain constraints, and support our ambition to become a clean energy superpower.”
The agreement also reflects Japan’s growing role in UK infrastructure, with Sumitomo already involved in projects such as the Galloper Offshore Wind Farm and the Elizabeth Line.
For more details, see the UK government’s official announcement , esgnews.com and Sumitomo Corporation’s press release.
