Only limited action to mitigate soaring costs of energy and climate change regulation
Greater relief needed to offset increasing Carbon Price Floor impact
Karl-Ulrich Köhler, MD & CEO of Tata Steel’s European operations, has reacted to the third Coalition Budget presented today by the Chancellor of the Exchequer.
“There were aspects of the Chancellor’s Budget today that are welcome, such as the move to ease the administrative costs associated with the overly complex Climate Reduction Commitment.
“We are also encouraged by plans to invest in the North Sea oil and gas sector and in rail infrastructure in the northwest of England – projects in which UK manufacturers such as Tata Steel can play a major part.
“The Chancellor is rightly aiming to reward work, but this Budget did little to ease the additional unilateral energy costs that UK industry must bear. The benefits to industry pale into insignificance against the costs imposed on them from existing energy and climate change regulations, which are rising alarmingly in the UK.
“We have consistently warned about the damage that the unilateral imposition of the Carbon Price Floor will inflict on the competitiveness of UK manufacturers.
“The government’s announcement today that the c