The Chemical Industries Association, whose members are the UK’s number one manufacturing exporter, have criticised the Autumn Statement for not providing answers to Britain’s industrial energy crisis.

“If we are to realise a vision of 50% growth by 2030 – providing the societal solutions that our industry brings though our products and technologies – we need to see more action to ensure affordable and secure energy supplies. In particular, we need to see the promised rebates from the range of climate policies impacting on our power prices made broader and deeper and in a way that provides better long term business certainty for investment.

This should start with the UK-only Carbon Price Floor (CPF) but needs to extend to all policies if we are to compete with Germany, which offers full rebates, or the US, whose energy prices are already a third of ours due to shale gas” said Steve Elliott Chief Executive of the Association.

He continued “as a major user of gas as a raw material as well as a fuel, I am pleased the Chancellor has confirmed a competitive tax regime for shale gas. This is another step towards realising secure and competitive supplies and the economic benefits from investment in the UK.  With our strong science base we also welcome the increased support for apprenticeships and STEM subjects at university.”

Elliott said “The Chancellor has also highlighted the benefits of saving energy. We, therefore, continue to press for the need to completely exempt our combined heat and power generators from the Carbon Price Floor to help mitigate April’s double tax hit on our ability to make competitive use of this energy efficient technology”.

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Notes to Editors:

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