The UK chemical industry, one of Britain’s biggest manufacturing sectors and the engine room of the broader economy, has urged George Osborne to act now on energy costs or lose out on growth.
In its submission to the Chancellor ahead of the 2014 Budget, the Chemical Industries Association (CIA) said its member company needs were “wholly focused on the need for competitive energy supplies and comprise four specific proposals that will, in time, pay for themselves”. The industry wants action on:
• extending the compensation package for energy intensive users
• freezing the Government’s Carbon Price Floor mechanism
• incentivising combined heat and power
• exemptions from other subsidies for renewable electricity
Chief Executive of the CIA, Steve Elliott, speaking in Scotland to parliamentarians and chemical business leaders said “We cannot continue to load costs on to an industry that needs to be internationally competitive and expect substantial growth to be delivered. Companies will simply relocate and in the process take employment opportunities to other countries – its already happening and I don’t want to see any more of it”.
He continued “If we are serious about rebalancing the UK economy in favour of manufacturing then we should be equally serious about recognising and supporting the very industries that help deliver the medicines, cars, planes and houses that we all take for granted. The chemical industry is helping to drive an energy-efficient green economy but it can’t do so with one hand tied behind its back. We should be doing all we can to keep the industry and its skilled workforce in the UK. I want to export our products and services, not our jobs”
Notes to Editors:
Chemical Industries Association (CIA) is the organisation that represents chemical and pharmaceutical businesses throughout the UK www.cia.org.uk
The Council of CIA held its March meeting in Edinburgh, following a reception in the Scottish Parliament
For further information, copy of submission and interviews please contact Simon Marsh, 07951 389197 or Lena Nunkoo, 07951 388 919More Articles by Chemical Industries Association ...