More than 7,000 British businesses will see their electricity bills cut by up to 25% from 2027 under the Government’s new Industrial Strategy.
British manufacturers currently pay some of the highest electricity prices in the developed world, while businesses looking to expand face lengthy delays when connecting to the grid. The new British Industrial Competitiveness Scheme will tackle these issues by reducing electricity costs by up to £40 per megawatt hour for electricity intensive businesses.
This forms part of a 10-year Industrial Strategy designed to boost investment, create skilled jobs, and make Britain the best place to do business. The plan aims to make it quicker, easier, and cheaper for companies to operate in the UK.
The strategy is expected to create 1.1m well paid jobs in thriving industries while giving businesses the confidence to invest and expand their operations.
Prime Minister Keir Starmer, said: “This Industrial Strategy marks a turning point for Britain’s economy and a clear break from the short-termism and sticking plasters of the past.”
“In an era of global economic instability, it delivers the long term certainty and direction British businesses need to invest, innovate and create good jobs that put more money in people’s pockets as part of the plan for change.”
Kate Nicholls, chief executive of UKHospitality, provided commentary on the industrial strategy, addressing its implications for both the hospitality sector and the wider economy: “This is not an industrial strategy that will deliver growth equally across the UK. In fact, by ignoring 70% of the economy it is at odds with the Government’s ambition to create jobs and help people into work. We were desperate to see a plan for hospitality and the high street, which together employs over 7 million people. We were disappointed.
“Instead, this strategy will once again leave behind the towns, coastal communities and rural areas which are most in need of a real strategy for growth. Given the Government has now accepted that the energy market is a barrier to growth, I hope they move swiftly to resolve the energy challenges that have plagued hospitality businesses for decades.”
