A new report from the London Market Group has identified energy security as a cornerstone of national resilience and strategic autonomy, emphasising the crucial role of insurance, particularly the London Market, in unlocking, promoting, and enabling the growth of new energy sources in the UK and worldwide.
“Disruptions – whether from geopolitical tensions, supply chain vulnerabilities, or climate-related events — can destabilise markets, increase costs, and threaten national security,” the group explained.
LMG continued, “In short, energy security is not just a technical issue — it is a strategic imperative. It demands forward-thinking policies, cross-sector collaboration, and sustained investment to safeguard prosperity and sovereignty.
“As well as supporting economic competitiveness by attracting investment, fostering innovation, and enabling long-term planning, it can also align with climate goals. By investing in clean, resilient energy systems, emissions can be reduced. Energy security and the transition to net zero can work hand-in-hand.
“Reducing energy usage, increasing energy storage capacity and building greener solutions for energy are all important aspects of energy security and the transition to net zero.”
Notably, the report highlights how insurance, and the London Market in particular, plays a key role in unlocking, promoting, and facilitating the growth of new energy sources, both in the UK and globally.
“We have spoken to a broad representative group within the London Market — including brokers, syndicates, company market players and MGAs — to gain their insights, perspectives, and case studies of how insurance has supported projects across each stage of the lifecycle from the conception of an idea, securing financing, construction, operations and, where necessary, dismantling or re-purposing,” LMG said.
According to the firm, by adapting traditional insurance products and developing innovative solutions for emerging risks, the London Market continues to demonstrate how its scale, expertise, and longstanding culture of innovation can support and secure new sources of energy.
Caroline Wagstaff, Chief Executive Officer of the London Market Group, commented. “In an increasingly volatile risk environment, energy security is now at the heart of national resilience and economic prosperity.
“The London Market stands as a critical partner, able to unlock investment, foster innovation, and provide the financial safeguards that make ambitious projects possible.
“This report also demonstrates how our market’s scale, expertise, and collaborative spirit are enabling new energy sources, both in the UK and globally.
“By partnering with industry at every stage of the energy project lifecycle; from conception and financing to construction, operation, and eventual repurposing, the London Market is helping to instil confidence in investors and developers to pursue the solutions needed to ensure for a resilient, sustainable future.
“It also represents a significant area of growth. 73% of London Market participants surveyed expecting premiums from environmentally focused insurance products to triple over the next five years.”
Miqdaad Versi, Partner at Oxbow Partners, said, “Energy security is just not possible without insurance. We need innovation, risk management and capital to build this cleaner and more resilient future world.
“And it’s the insurance sector, and the London Market in particular as we see in this report, which is the centre of expertise and out-of-the-box thinking – and which can turn ambition into action and support the vision of energy being secure, sustainable, and affordable for all.”
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