UK to cut green levies on businesses in bid to reduce energy costs and boost manufacturing | Manufacturing sector

The government is to reduce green fees on thousands of companies, in an attempt to reduce the higher energy costs in the sky and increase the manufacturing sector in exhaustion Hartlands.

This measure is a main panel of the long -awaited industrial strategy, a 10 -year plan to enhance sectors ranging from creative industries to manufacturing.

More than 7,000 companies can be reduced by their power bills, as the government removes fees such as the commitment of renewable energy sources, which funds the ongoing obligations of previous renewable electricity generation projects.

It will come along with a parallel policy, I mentioned in the guardian last weekIt aims to help the electricity -dense industries in particular, such as the besieged steel sector.

This will include an increase in the discount on the fees paid by the intensive energy companies to connect to the network to 90 %, up from 60 %.

Industry sources told the Guardian last week that although the policy was welcome, it is expected that the general savings of steel will only be about 15 million pounds annually.

However, the opponent is expected to help about 500 companies in other industries, including aluminum, ceramics and glass.

British manufacturers have long complained of having to deal with each other The highest electricity prices In the developed world, as well as delay in connecting to the network, which is a special concern in the technology sector.

There will be new systems that are set for major investment projects that create large numbers of jobs to reach the network faster, which is expected to be valid before the end of the year.

Announcing the plan, Prime Minister, Care StarmerHe said he hoped to be “a turning point for Britain’s economy and a clear break from the short term and stickers that stick in the past.

“In the era of global economic instability, long -term certainty and the direction that British companies need to invest and innovate and create good jobs that put more money in people’s pockets as part of the change plan.”

Adviser, Rachel ReevesShe said that the strategy will complete the spending review, which gave priority to investment in infrastructure and industry. She said: “The billions of pounds for investment and advanced technology will be seen, relieving energy costs and overcoming the nation. It will guarantee industries that make Britain a great could flourish.” “It will enhance our economy and create jobs that put more money in people’s pockets.”

The government said that the reforms will not directly cost the taxpayer anything or lead to an increase in families’ bills, but will be funded through the energy system reforms.

Power costs are likely to remain much higher than they were in Germany and France, because the UK electricity prices are linked to wholesale gas cost, which is more part of the British energy mixture more than the continent.

The key to the plan is the proposed connection to the UK emissions trading plan with the European Union plan, which was announced in May at a joint summit in London, although negotiations on the UK’s entry into the carbon market are still not chosen.

The strategy is expected to focus on eight sectors on Monday, where the UK has the possibility of rapid growth: advanced manufacturing, clean energy, creative industries, defense, financial services, life sciences, and professional services.

The Confederation of CEO of the British industry, Rain Newton-Smith, praised the strategy, saying, “Competitive energy prices, quick planning decisions and innovation support will provide the basis for growth. But the global race to attract investment will require a laser-like concentration on the comprehensive competitiveness in the United Kingdom.”

“The strategy was” a giant and an urgent need forward, “said Stephen Vipson, CEO of the UK manufacturer’s organization, said that there was a long -standing frustration in the sector in the skills crisis, energy costs and the difficulty of access to capital.

He said, “The strategy announced today determines plans to address all these three structural failures,” he said. “It is clear that there is a lot to do while we are moving towards implementation, but this will send a message throughout the country and around the world in which Britain has returned to work.”