The Low Carbon Contracts Company (LCCC) has cancelled the contract for difference (CfD) for Hexicon’s proposed TwinHub floating offshore wind array off the coast of Cornwall in the Celtic Sea, highlighting the growing pressure on early‑stage floating wind projects. The Swedish developer was awarded the CfD for the 32 MW scheme in Allocation Round 4 in 2022.
The Department for Energy Security and Net Zero (DESNZ) said the decision was made by the LCCC, which manages CfDs as private law contracts with generators and operates independently of government.
Earlier in 2026, Hexicon reported an impairment of almost €11 million linked to the TwinHub project, reflecting the impact of rising inflation and supply chain costs on the scheme’s economics. The cancellation underlines the difficulty of bringing smaller, first‑mover floating wind projects to financial close in the current market environment.
Despite the termination, DESNZ reiterated that the UK remains committed to floating offshore wind, saying the country still has what it describes as the largest pipeline of floating wind projects in the world – a mix of larger, more advanced developments that are moving further down the development pathway.
