German energy group RWE and the investment firm KKR have reached financial close on about £12 billion of investment in two offshore wind farms off the Norfolk coast, in what is described as the largest project financing ever completed for a UK offshore wind project. The deal covers the Norfolk Vanguard West and East wind farms, which together will have a capacity of 2.8 gigawatts.
The two wind farms, each of 1.4 gigawatts, will sit 50 to 80 kilometres off the Norfolk coast. They are being developed as a 50:50 joint venture between RWE and KKR, with KKR having acquired a half share in the project. RWE will lead the construction and operation of the wind farms.
The financing package comprises about £11.1 billion in cash and £1.7 billion in ancillary facilities, provided by 35 international banks. The deal also includes £1 billion from the UK’s National Wealth Fund, and credit cover from Germany’s Euler Hermes and Denmark’s export credit agency EIFO. The scale of the package reflects the size of the project and the confidence lenders have in the UK offshore wind sector.
Construction work offshore is expected to begin in early 2027, with full commissioning of both wind farms planned for 2030. The project is expected to support more than 2,400 construction jobs, and once operating it will generate enough electricity to power around three million homes.
The wind farms will use 184 Vestas V236-15.0 megawatt turbines, among the largest offshore turbines available. The project holds a 20-year contract for difference at £91.20 per megawatt-hour in 2024 prices, awarded in the UK government’s Allocation Round 7, which guarantees the price the wind farms receive for their electricity.
The deal is a significant vote of confidence in the UK’s offshore wind industry, which has faced cost pressures and supply chain difficulties in recent years. Reaching financial close on a project of this size, with backing from dozens of banks and two export credit agencies, suggests that lenders are once again willing to commit large sums to offshore wind at scale.
For RWE, the project strengthens its position as one of the largest developers of offshore wind in the UK, while for KKR it marks a major investment in European energy infrastructure. The joint venture structure, with RWE leading construction and KKR providing capital, has become a common model for large offshore wind projects, spreading both the cost and the risk.
The UK government has set ambitious targets for offshore wind as part of its plan to decarbonise the electricity system, and projects such as Norfolk Vanguard are central to meeting them. The two wind farms alone will add a significant share of the capacity the country needs, and their completion in 2030 will come at a time when demand for clean electricity is rising as transport and heating are electrified.
Analysts say the financing also matters for what it signals about the cost of offshore wind. The contract price of £91.20 per megawatt-hour is higher than the record-low prices seen in earlier rounds, reflecting higher construction and financing costs, but it is still well below the cost of new gas-fired generation and provides long-term price certainty for consumers.
The project will now move into its construction phase, with the first offshore work expected in early 2027. For the communities along the Norfolk coast, the development promises jobs and investment over the coming years, and for the UK it represents one of the largest single clean-energy investments ever made in the country.
Figures in this post were checked at 13:25 PKT on Wednesday 11 November 2026.
This post is market news information only, not financial advice.
