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Question
While welcoming the statement, I seek clarity on: 1) The scheme's reach as it will benefit only about 1% of businesses; 2) Immediate relief for businesses struggling now; and 3) Funding for a one-off payment next year. Additionally, Davies urged the government to address structural issues like carbon price support removal sooner.
Minister reply
The Minister confirmed that while BICS targets electricity-intensive manufacturers, it is part of an ongoing strategy to support British industry through challenging times. He emphasised the scheme's scale-up from initial consultations and invited businesses to contribute further details for implementation.
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Question
Welcomes the Government’s scheme but seeks clarity on funding, timing, and inclusion of businesses such as pubs, restaurants, farmers, retailers, and innovative companies like OpenAI. Asks how relief will be provided in a timely manner and funded given current economic concerns.
Minister reply
Acknowledges support for the competitiveness scheme aimed at specific businesses to boost global competitiveness. Explains that funding comes from reliefs on three schemes and Exchequer support, within fiscal rules. Offers willingness to meet industry figures to discuss further support.
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Question
Acknowledges positive recognition of industrial energy crisis but expresses disappointment that the ceramics sector is not included in the scheme, leading to potential factory closures and job losses. Asks how many job losses or factory closures will it take for Government intervention.
Minister reply
Offers to visit Stoke to meet ceramic industry figures, listen to concerns, and see what can be done. Acknowledges that some parts of the ceramics sector could qualify for the BIC scheme announced today.
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Question
We cannot defend ourselves, feed ourselves and power ourselves. The Government's response is too sluggish. Industry needs support now, not in 12 months. Will the backdated payment apply to food and farming industries including agri-tech businesses? May I urge the Government to investigate energy retail market for hospitality businesses and create an energy security bank?
Minister reply
The BICS was designed through consultation with industry. It will support businesses that have entered into fixed price contracts this year. The Ensus plant in Teesside has been unmothballed to ensure resilience in the economy.
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Question
Welcomes support for manufacturing sector but notes fertiliser sector closure under previous government. Will he address wider challenges facing automotive and manufacturing more generally?
Minister reply
The automotive sector will benefit from BICS and other high energy-intensive industries outside automotive will also receive support through the supercharger scheme.
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Question
The plan is lacking in oomph. The Energy Secretary's carbon taxes are behind electricity prices we face. Today’s announcement does nothing to address that.
Minister reply
In six months, the current government has done more than the previous one did in 14 years.
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Question
Welcomes expansion of scheme but ceramics sector is missing. How does the Secretary of State intend to support a sector that is crucial for our wider economy?
Minister reply
The ceramics sector and subsectors will be considered closely. The Chancellor will set out an approach for industries put into distress due to Middle East action.
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Question
Promised statement on BICS but got Secretary of State talking about compensating less than 1% UK companies next year. How does he support industries such as ScanStone, burdened with high energy bills and steel import quotas?
Minister reply
The scheme is targeted at manufacturing sector aimed at competitiveness within the sector. The government has invested £2.5 billion into steel and introduced a modern steel strategy universally welcomed by the sector.
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Question
Expresses concern about the lack of support for ceramics companies in his constituency, highlighting their high energy bills and urging urgent meetings to discuss specific needs.
Minister reply
Acknowledges Denby's situation and expresses willingness to meet with industry representatives to address challenges. Emphasises ongoing interventions and partnership efforts.
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Question
Critiques the BICS scheme for supporting only 10,000 businesses out of millions of small businesses in the UK facing high energy costs. Asks when the Government will admit that high energy prices are stunting economic growth.
Minister reply
Defends the BICS scheme, noting it provides a significant reduction in energy costs for participating businesses and is being funded by tariff reductions and government relief measures.
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Question
Welcomes Government support for manufacturing but asks if the BICS scheme will also help smaller manufacturers. Requests proactive engagement with businesses to address challenges.
Minister reply
Confirms that the eligibility of the BICS scheme is based on electricity intensity thresholds, and announces an upcoming eligibility checker tool for businesses to use.
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Question
Acknowledges Government investment in Wales but asks about the impact of energy markets on agriculture. Inquires if there was a concrete result after meeting with Secretary of State's Wales Office colleagues.
Minister reply
Highlights ongoing investments and planning efforts for food and agriculture, including meetings with the Environment Secretary to address specific challenges.
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Question
Welcomes recognition of energy-intensive industries but urges consideration for hospitality sector. Requests meeting to discuss stabilizing the future of this important sector.
Minister reply
Acknowledges importance of hospitality and highlights economic growth as key for the sector, noting regular engagement with UKHospitality.
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Question
Welcomes support for aerospace and defence sectors in his constituency but expresses concern about eligibility for smaller manufacturers. Asks what help is available for them.
Minister reply
Confirms ongoing work with Northern Ireland Assembly to ensure appropriate schemes are developed, ensuring all parts of the UK can benefit from BICS.
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Question
Asks how the new scheme will support remaining industrial businesses in Carlisle that export products abroad.
Minister reply
Confirms ongoing work to support industries such as Ensus, emphasising resilience and long-term economic growth.
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Question
The south-west is home to a cluster of high-value manufacturing businesses and is identified in the Government’s industrial strategy as a key region for advanced manufacturing. Can the Secretary of State set out how this Government are working with businesses in the south-west to ensure their prosperity?
Minister reply
The Minister highlighted visits to Agratas, a large battery production plant, and noted the use of British steel in its construction, alongside the development of nuclear power stations in the region. He emphasised the vibrancy and ambition of manufacturing in the south-west.
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Question
Erewash has a strong manufacturing history with businesses like furniture manufacturers and advanced manufacturing firms. Can the Secretary of State explain how the announced measures will support Erewash’s manufacturers in selling their goods internationally?
Minister reply
The Minister acknowledged the competitiveness of businesses in Adam Thompson's constituency and stated that they would benefit from the BIC scheme, which aims to enhance competitiveness for export.
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Question
When British businesses export, they grow more productive and create good jobs. Can the Secretary of State outline how today’s measures will support these businesses in selling their goods globally?
Minister reply
The Minister highlighted the BIC scheme as a measure to increase competitiveness for exports and noted trade deals with South Korea, India, America, and the EU that provide new opportunities for British manufacturing.
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Question
The Minister mentioned wanting to 'move faster' to support British manufacturing. Can he meet Adam Jogee to discuss the BIC scheme and its impact on the ceramics industry, which is crucial for many communities?
Minister reply
The Minister confirmed his availability to meet with Adam Jogee to discuss the issues affecting the ceramics industry.
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Question
Will the Secretary of State ensure that proving eligibility for the BIC scheme is not overly burdensome, especially for businesses in the metal-forming sector affected by high industrial prices and steel safeguarding changes?
Minister reply
The Minister stated that an eligibility checker will go live in the summer, allowing businesses to check their ability to benefit from the BIC scheme.
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Question
Will the Secretary of State reflect on steps to support food producers like Lea Valley Growers who use a lot of electricity and gas but are not recognised as energy intensive?
Minister reply
The Minister expressed willingness to meet Christopher Vince to discuss the specific issues facing Lea Valley Growers.