The government is facing fresh calls to take urgent action on Britain’s soaring industrial energy costs, as leading industry bodies warn that more manufacturers could face collapse unless electricity prices are brought in line with European competitors.
In a joint letter to Chancellor Rachel Reeves, the Trades Union Congress (TUC) and Make UK, the manufacturers’ organisation, said that unless action is taken soon, ministers may be forced to repeat emergency interventions such as the recent British Steel rescue.
They warned that steelmakers, chemical producers and other energy-intensive sectors are being pushed to the brink by “exorbitant electricity prices”, placing them at a “competitive disadvantage” compared with rivals in countries like Germany and France.
According to figures from UK Steel, British producers will pay an average of £65.97 per megawatt-hour (MWh) for electricity this year — compared with £49.50 in Germany and £43.49 in France.
“The government has committed to ensuring Britain is open for business and pulling down barriers to investment,” the letter said. “If it is serious about this, it must publish a plan to deliver industrial electricity prices that are competitive with our European peers.”
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