London, March 2, 2026, 09:32 GMT — Regular session
- National Grid shares moved up as the company raised its 2027 earnings growth outlook and pushed its financial framework out to 2031.
- The utility plans to go along with Ofgem’s fresh UK transmission price control, which takes effect in April and stands as a major revenue lever.
- Management’s analyst call has investors looking for specifics: returns, funding, delivery risk—details matter here.
National Grid climbed 1.33% to 1,409.5 pence by 0918 GMT on Monday, with prices lagging by a minimum of 15 minutes, after the UK power network operator boosted its 2027 earnings growth outlook and unveiled a larger five-year investment program.
The update arrives just as a fresh UK regulatory period looms, with investors eyeing how quickly network firms can ramp up spending before costs spiral. For National Grid, it’s not demand that’s in question — that’s trending higher — but rather how much revenue regulators will allow, and whether the company can deliver.
European stocks dropped Monday, with jitters over the Middle East driving investors out of travel and banking names and into energy and defence. That kind of risk aversion tends to splash onto daily trading for even typically steady utility shares.
National Grid is projecting adjusted earnings per share growth of 13%-15% in 2027, citing increased allowed revenue as the company heads into its next regulatory cycle.
National Grid, in a separate statement, outlined a new five-year financial plan running through FY31 and called for at least £70 billion in total capital spending. The company is targeting underlying EPS growth of 8%-10% off an FY26 base, and plans to keep dividends moving with UK CPIH, the inflation gauge that factors in owner-occupiers’ housing expenses. “Today marks a further step in accelerating investment in Britain and the US Northeast,” chief executive Zoë Yujnovich said. Investegate
The company added it’s agreed to all of Ofgem’s proposed RIIO-T3 price controls for its UK Electricity Transmission arm, spanning April 2026 through March 2031. These controls lay out how much network operators can earn, tied to meeting investment targets and service benchmarks.
National Grid is targeting an overall return on equity north of 9% for the RIIO-T3 period. The company did caution, though: incentive payments won’t land evenly and hinge on meeting output goals and efficiency benchmarks. Falling short on either could dent returns and trigger a more difficult dialogue with regulators.
Scale itself is proving tricky. National Grid is banking on advancements in its supply chain and what it calls “constructive” US regulatory outcomes to keep things moving. Still, major buildouts that stretch over several years face their own headaches: labour can run short, permits slow things down, and costs for equipment and contractors keep climbing.
The numbers only tell part of the story—analysts will get their chance to dig deeper when National Grid holds its call later Monday. According to the company’s event calendar, full-year results for 2025/26 are scheduled for May 14, with final-dividend dates falling toward the end of May.
