Cost of Energy Support for Businesses
2026-06-02
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Questions & Answers
Q1
Partial Answer
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Context
The question arises from discussions on expanding support for businesses facing high energy costs.
What recent discussions he has had with Cabinet colleagues on the potential merits of providing further support to businesses with the cost of energy?
Supporting businesses with the cost of energy is a priority for the Government. We have expanded support through the British industrial competitiveness scheme and increased discounts on electricity network charges, and we stand ready to act if market conditions worsen due to the middle east crisis.
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We Are Committed To
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Q2
Partial Answer
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Surelock McGill, a leading manufacturer in Wokingham, has acquired a foundry to keep manufacturing in the UK but faces increasing energy costs.
What will the Government do to support local businesses that are proud to contribute to the UK economy yet seem to be suffering as a result of their determination to keep manufacturing in the UK?
In the specific case that the hon. Gentleman mentions, if the company is operating a ferrous foundry, that will be part of the British industrial competitiveness scheme. If it is a non-ferrous foundry, he may wish to share further details with me, because I have had representations on both copper and aluminium foundries, which I am looking at very carefully.
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Assessment & feedback
Under Review
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Q3
Partial Answer
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Small businesses face high costs in connecting to the grid, affecting their ability to expand and create jobs.
Not only are small businesses facing increasing energy bills, but they are dealing with prohibitive costs in connecting to the grid when they want to expand. What is the Department doing to bring down the cost of grid connection?
We are concerned about the ability of businesses to connect to the grid, both to expand and to invest in new production facilities. Part of the work we did on reordering the grid queue was to help with that, but my colleague the Minister for Energy has commissioned an Ofgem end-to-end review so that we can bear down on the cost of grid connections.
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Under Consideration
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Q4
Direct Answer
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The ceramics industry is facing severe challenges due to rising energy costs, affecting jobs and business operations.
From Denby Pottery to Royal Crown Derby, soaring energy costs are hitting our ceramics industry hard. What can the Minister confirm regarding ensuring that energy bill support reaches ceramics manufacturers who need it?
I thank my hon. Friend and all the other MPs from the Stoke and Staffordshire area for their work in championing the ceramics industry. First, let me say how sad I was to hear the news about Denby, as that company proceeds into administration. The Government are providing support to the workforce. On the point he raised, with the Chancellor of the Exchequer's support we are providing £120 million to enable ceramics companies to invest in lower carbon production—essentially, electrical furnaces—so that they can decarbonise and reduce their operating costs.
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Q5
Partial Answer
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Lea Valley growers are facing significant challenges due to high energy costs, affecting food security.
What work is the Minister doing across Departments and with the Department for Business and Trade to ensure that no energy-intensive business, including the Lea Valley growers, is forgotten?
I thank my hon. Friend for his letter on the Lea Valley growers. I have had discussions as a result of his prompting with Ministers in other Departments, not only about the Lea Valley growers, but about the horticulture sector more generally.
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Working On This
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