Energy Intensive Industries: Trade Competitiveness
The question
To ask the Secretary of State for Business and Trade, what assessment his Department has made of the potential impact of industrial electricity prices on the international competitiveness of UK‑based energy‑intensive manufacturing sectors.
Answered by Chris McDonald
The Government recognises that industrial electricity prices are an important factor in the international competitiveness of UK-based energy intensive manufacturing sectors. We engage regularly with industry and monitor evidence on the impact of energy costs.
Through our Industrial Strategy we are taking action to address these challenges, including through the British Industrial Competitiveness Scheme, which will bring electricity costs more in line with other economies in Europe and reduce electricity costs by up to £40/MWh for eligible businesses.
For around 550 of the most electricity-intensive businesses the British Industry Supercharger is already cutting costs. The Network Charging Compensation scheme, one element of the Supercharger, was uplifted from 60% to 90% relief from 1 April 2026. This raised total support from the Supercharger to approximately £65-87/MWh, bringing electricity costs for recipients closer in line with those charged in competitor countries.
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