How is Peak Cluster Decarbonising UK Cement Manufacturing?
The Peak Cluster project is setting out to modernise one of the most carbon-intensive parts of UK industry: cement manufacturing.
With four production plants around the Peak District, this major initiative is building the infrastructure needed to capture carbon emissions at scale – transforming how cement and lime are made in the UK.
At the centre of this shift is a group of manufacturers: Tarmac, Breedon, SigmaRoc and Holcim, who collectively operate the cement and lime plants involved.
These facilities, located across Derbyshire and Staffordshire, produce around 40% of the UK’s cement supply. By integrating carbon capture technology directly into manufacturing processes, Peak Cluster is aiming to cut more than three million tonnes of CO₂ emissions per year.
This project is backed by US$38.9m from the UK’s National Wealth Fund (NWF), alongside US$42m in private investment. The target is to create a supply chain for low-carbon cement that can serve the domestic construction industry and meet global demand for cleaner materials.
Ed Miliband, Secretary of State for Energy and Climate Change, sees the manufacturing sector as central to this effort.
He says: "This landmark investment will catalyse our carbon capture sector to deliver thousands of highly skilled jobs and growth across our industrial heartlands, as part of our plan for change. Workers in the North Sea and Britain's manufacturing heartlands will drive forward the country's industrial renewal, positioning them at the forefront of the UK's clean energy transition."
Cement manufacturing with carbon capture infrastructure
Cement production has always been difficult to decarbonise. Heating limestone at high temperatures to produce clinker — the main ingredient in cement — releases CO₂ both from fossil fuel combustion and the chemical reaction itself. Lime production has similar challenges.
Peak Cluster’s solution is to install carbon capture units at each plant, with captured CO₂ transported via a dedicated underground pipeline network. That CO₂ will then be stored permanently beneath the eastern Irish Sea.
The infrastructure is being designed to serve both cement and lime facilities, ensuring carbon is handled from the point of emission to long-term storage.
John Flint, CEO of the National Wealth Fund, emphasises the importance of private and public cooperation: "Substantial private investment, deployed at risk, will be needed to develop and deliver carbon capture projects across the UK. Through its investments, the NWF is well placed to support this, especially in hard to abate sectors such as cement and lime, to ensure a pipeline of projects is ready for deployment and the UK is able to meet its ambitious carbon capture targets."
Delivering low-carbon materials at scale
Peak Cluster supports jobs and productivity in an industry that has traditionally relied on high energy inputs and fossil fuels. According to UK government figures, the project will create 1,200 temporary jobs during the build phase, 300 permanent roles, and support 2,000 jobs in cement and lime production.
The economic angle is backed by the UK Chancellor, Rachel Reeves, who says: "We're modernising the cement and lime industry, delivering vital carbon capture infrastructure and creating jobs across Derbyshire, Staffordshire and the North West to put more money into working people's pockets."
Manufacturing low-carbon cement is not just about meeting environmental goals. Lime, a co-product of this industry, plays a key role in water purification, agriculture and land remediation — making the decarbonisation of its production essential for other sectors as well.
John Egan, Chief Executive of Peak Cluster, ties the strategy back to industry continuity and regional impact. He says the plan will help to secure "a sustainable future for the cement and lime industry," and "benefit communities across the Midlands and North West of England."
Infrastructure planning and next steps
Early-stage work is underway to map the infrastructure needed to support capture and transport operations. That includes defining the pipeline route and identifying four to six locations for above-ground installations to monitor and maintain the system.
With cement demand expected to remain high, Peak Cluster aims to ensure that the UK can meet that demand with lower-carbon materials, strengthening both manufacturing resilience and environmental performance.
