Following the EU and UK Brexit reset agreement the chemical industry says “the direction is right”.

 

For the first time in almost a decade it feels like the UK and the European Union – the sector’s biggest export market – are better able to do business. The potential platform offered by today’s announcements are where we need to be. As always we need to see the detail as it becomes clearer, but we welcome the commitments on the electricity market and the Emissions Trading Scheme.

The ETS link might pave the way to a long-lasting solution but in considering options for linking it is important that any solution is adequate and aligned to deliver decarbonisation not deindustrialisation. Above all of this, whatever deal is or is not reached, the UK Government must ensure policy and economic stability so that chemical manufacturing sites in the UK who are competing with sites around the world, can attract investment in net zero technologies.

We are also pleased to see that the inclusion of dynamic alignment, rightly qualifies the need for this to be ‘where appropriate ’.

Looking ahead, we urge the UK Government and the European Leadership to continue the dialogue and as soon as possible deliver a new, Brexit-respecting, framework to do business.

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