National Grid PLC has upgraded profit targets as it unveiled its new five-year investment plan and accepted the UK regulator’s new price controls for its UK electricity transmission arm.
The FTSE 100 group said it will invest at least £70 billion between now and the end of the 2031 financial year, a 70% increase on the previous five years.
That total includes about £31 billion into UK electricity transmission, £9 billion in UK distribution and almost £29 billion across its US regulated businesses.
The spending is expected to drive asset growth of around 10% a year, taking group assets to roughly £115 billion by 2031.
Underlying earnings per share are targetted to grow 8-10% a year from a 2026 financial year baseline, more closely aligned with asset growth.
National Grid said it aims to grow the dividend per share in line with UK CPIH inflation.
Chief executive Zoë Yujnovich said the company is “expanding our record levels of investment to at least £70 billion by FY31, driving around 10% asset growth and an upgraded underlying EPS CAGR of between 8 and 10%”.
For the financial year to March 2027, it now expects underlying earnings growth of 13-15%, reflecting higher allowed revenues under Ofgem's RIIO-T3 price controls.