<div id="readability-page-1"><div><div><p>Staff at Ed Miliband’s energy quango own shares in the company responsible for rewiring Britain for net zero, raising concerns over a potential “conflict of interest”.</p><p>The National Energy System Operator (Neso) was hived off from the National Grid in October 2024 and tasked with overseeing the electricity operator on behalf of billpayers.</p><p>However, in the wake of the deal, staff were given six months to buy discounted shares in National Grid, which is listed on the London Stock Exchange and generates billions of pounds in profits each year.</p><p>This means some employees at Neso, which is an independent non-profit, stand to gain financially from National Grid while overseeing its operations and future investments.</p><p>This has raised concerns over a potential conflict of interest at Neso, as such decisions could boost National Grid’s revenues and in turn its share price.</p><p>Richard Tice, Reform UK’s energy spokesman, said it was wrong for Neso employees to have a financial interest in the companies they oversee.</p><p>He said: “The Neso regulator’s staff could be financially rewarded for being a softer touch with the entity they regulate. They used to call that a conflict of interest.</p><p>“A Reform government would remove the net zero obligations from Neso’s remit and enforce a total reset of its objectives, focused on secure, plentiful, reliable, cheap electricity.”</p></div></div><div><div><p>National Grid, which is worth £57bn, is integral to Mr Miliband’s goal of generating 95pc of electricity from clean sources such as wind and solar. This is because it is responsible for building the cables and pylons required to transmit green power across the UK.</p><p>Neso confirmed that staff have been allowed to retain their shares in National Grid but stressed that they would be subject to a declaration process under Neso’s share ownership policy.</p><p>They refused to say how many of its 2,000 employees still own shares in National Grid.</p><p>Kathryn Porter, an energy analyst, urged Neso to come clean: “It’s completely inappropriate for staff to own these shares. They should be sold and staff made whole for any loss arising from the forced sale.</p><p>“This position is completely untenable. Declare the extent of the share ownership issue and start a divestment process.”</p><p>Shares in National Grid have increased by more than 20pc over the past 12 months, with investors rallying behind the company, owing to increased demand for renewables.</p></div></div><div><div><p>National Grid is the largest of three monopolies in charge of the UK’s transmission system, alongside Scottish Power and SSE.</p><p>All three are now tasked with spending tens of billions of pounds on new electricity infrastructure to help hit net zero, aimed at reducing the country’s reliance on fossil fuels such as gas.</p><h2>‘Very strict’ ownership policy</h2><p>National Grid, in particular, is about to embark on a £90bn expansion plan by upgrading the nation’s high-voltage power lines, substations and other transmission infrastructure.</p><p>Neso was bought by the Labour Government last year for £630m to remove any perceived conflicts of interest with National Grid.</p><p>For staff, however, the move to Neso meant they lost access to discounted National Grid shares, a highly valued perk.</p><p>A compromise was then reached under which staff moving to Neso could retain the right to buy shares for another six months – a scheme that ended last March.</p><p>They were also allowed to keep shares already held.</p><p>Members of Neso’s leadership team who moved from National Grid were obliged to sell all shares but were compensated with a lucrative long-term bonus scheme.</p><p>Fintan Slye, Neso’s chief executive, was paid an annual salary of £288,000, with a bonus of £275,400, plus other benefits that took his total remuneration to £774,000.</p><p>A Neso spokesman said: “Whilst a small minority of Neso staff retain minimal shares in National Grid, they are subject to very strict energy share ownership policy rules, underpinned by law, which requires permission if they ever want to sell, to ensure the highest standards of propriety and ethics.”</p><p>Neso is constituted as a private company controlled by the Energy Secretary, and so is not covered by the UK Corporate Governance Code or the Wates Principles on managing public companies.</p><p>This means its directors are not subject to public scrutiny or annual re-election, and its staff are not civil servants – although they are expected to follow government codes of conduct.</p><p>A National Grid spokesman confirmed that shares had been offered to Neso staff at a 20pc discount for six months but that the scheme was now closed.</p><p>They added: “If an employee leaves due to injury, disability, redundancy or a business sale such as Neso, they may exercise their Sharesave (SAYE) options. This must be done within six months of the date they cease employment.</p><p>“Any Neso colleagues who hold shares in National Grid are subject to very strict energy share ownership policy rules, underpinned by law.”</p></div></div></div>

<p>Staff at Ed Miliband’s energy quango, Neso, own shares in National Grid, raising concerns over potential conflicts of interest. Neso oversees the electricity operator and was allowed to retain shares after being spun off from National Grid. Critics argue this could lead to biased regulatory decisions. Neso's leadership team had to sell their shares but received bonuses. The situation has prompted calls for transparency and divestment from Neso staff's shareholdings. National Grid is undergoing a £90bn expansion to enhance the UK's electricity infrastructure for net zero goals.</p>

Row over Miliband’s energy quango staff owning shares in National Grid