As one of the UK’s top exporting earning sectors, the chemical industry believes today’s Autumn Statement is a missed opportunity in driving sustainable UK growth.
Speaking immediately after the Statement, Steve Elliott, Chief Executive of the Chemical Industries Association, said “whilst of course we welcome the £23 billion National Productivity Investment Fund and the additional money for Research & Development, we are disappointed the Chancellor did not tackle Britain’s energy challenge head-on”.
He continued “The UK is paying anything up to 80% more for its electricity than competitor countries. The longer that continues the more it becomes a disincentive for solution-providing foundation industries such as chemicals to invest in the UK. Given the uncertainty of Brexit this was the time to not only freeze but abolish Carbon Price Support tax; extend the energy intensive industries compensation package to a wider set of energy intensive businesses and provide greater certainty about the future level of the Levy Control framework.
Secure and affordable energy is a prerequisite for a stronger manufacturing base which I believe the world’s 5th largest economy must urgently address. It is also integral to the chemical industry’s long term future in the UK and its ability to contribute to an Industrial Strategy that works for all. Today marked an opportunity to address that challenge and it’s a shame that it has been missed”.
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For further information please call Simon Marsh 07951 389197.
Click here to access CIA's submission to the Autumn Statement
The chemical and pharmaceutical industry adds £15 billion of value to the UK economy every year from total annual turnover of around £50 billion.
The UK is a leading global chemical and pharmaceutical producer.
Over £4 billion of capital and R&D investment is made by UK chemical and pharmaceutical companies.
The sector employs around 140,000 people directly and supports in total around half a million jobs in the UK economy. The direct workforce is highly skilled and earns on average 30% more than the average UK manufacturing worker.