The UK Government has increased the maximum price it is prepared to guarantee companies generating electricity from new wind farms.
It comes as ministers are trying to meet challenging pledges to bring down household bills and create an electricity grid that it is almost entirely free of fossil fuels by 2030.
The Department for Energy Security and Net Zero published the details ahead of the latest auction for government-backed contracts.
This year, the maximum guaranteed price for offshore wind will be £113 per megawatt-hour, up from £102 in 2024.
Floating offshore wind, which is a newer technology, is more expensive at £271/MWh, up from £245.
The auction opens in August and will be one of the last which can deliver projects in time to meet the government's target of Clean Power by 2030.
The Conservatives have described the new prices for offshore wind as "eye-watering".
A spokesperson for Energy Secretary Ed Miliband said "the auction will reveal the true price, just like it did last year, where the auction cleared at prices significantly lower".
FTSE 100
The UK's flagship share index, the FTSE 100, was down 34-points at 9,104 shortly after opening this morning.
Brent crude oil futures were up 0.42% at $67.79 a barrel.
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