Starmer will slash firms' energy bills amid warnings net zero costs are crippling British industry
FIRMS will be spared billions in green levies as Sir Keir Starmer bows to warnings net zero costs are pricing British industry out.
The PM will today unveil a ten-year Industrial Strategy that slashes electricity bills for more than 7,000 energy-intensive businesses.
2
Manufacturers in sectors like steel, chemicals and automotive will be exempt from green taxes that have helped drive UK power prices to some of the highest in Europe.
The changes - coming in from 2027 - will knock up to £40 per megawatt hour off energy costs, cutting some firms' bills by up to 25 per cent.
Sir Keir hailed the plan as 'a turning point for Britain's economy and a clear break from the short-termism and sticking plasters of the past'.
He said: '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.'
The move follows warnings from industry bosses that spiralling costs were driving investment abroad and threatening thousands of jobs.
Officials insist the price cuts won't cost taxpayers a penny - with funding coming from reforms to the energy system and new revenue raised by linking the UK's carbon pricing scheme to the EU's.
Chancellor Rachel Reeves said the plan would 'ease energy costs', 'upskill the nation' and 'put more money in people's pockets'.
A second scheme - the British Industry Supercharger - will boost discounts on network charges from 60 per cent to 90 per cent for the most energy-hungry firms starting in 2026.
Ministers also pledged to speed up grid access for new investment projects under a separate Connections Accelerator - part of the wider strategy - which will go live in 2025.
Energy Secretary Ed Miliband said British industry had been 'held back' for too long by soaring bills and 'volatile' gas markets.
Business groups welcomed the announcement but urged the government to move fast.
CBI chief Rain Newton-Smith said the plan sent 'a positive signal' but added the UK must keep 'a laser-like and unwavering focus' on staying globally competitive.
Keir Starmer's deranged drive for Net Zero with eco-zealot Ed Miliband is a threat to UK's national security- here's why
2
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Guardian
23 minutes ago
- The Guardian
David Lammy repeatedly declines to say whether British government believes US strikes on Iran were illegal
Update: Date: 2025-06-23T07:53:06.000Z Title: Welcome and opening summary … Content: Good morning, and welcome to our rolling coverage of UK politics. Here are the headlines … Foreign secretary David Lammy has repeatedly declined to say whether the British government believes US strikes on Iran were illegal. Prime minister Keir Starmer has warned of a 'risk of escalation' in the Middle East and beyond, backing the strike on Iran's nuclear facilities and calling on Tehran to return to negotiations The government has promised electricity costs for thousands of businesses will be cut by scrapping green levies as a key part of a 10-year industrial strategy. Starmer said the plan marks a 'turning point for Britain's economy' Reform UK are to offer wealthy foreigners and returning British expats a bespoke tax regime in exchange for a one-off payment of £250,000 with all funds collected redistributed to Britain's lowest-paid workers, the party claims There are quite a few things in the diary for the day. Chancellor Rachel Reeves and business secretary Jonathan Reynolds will be out promoting the government's industry strategy. Health secretary Wes Streeting is giving a speech in London, while opposition leader Kemi Badenoch is appearing at a Policy Exchange event at lunchtime. Minister Stephen Doughty will be appearing before the foreign affairs committee discussing the Chagos agreement, while Northern Ireland secretary Hilary Benn faces the Northern Ireland affairs committee. In the Commons there are questions on work and pensions and a general debate on Pride month. It is Martin Belam with you today. You can reach me at
The Sun
26 minutes ago
- The Sun
The Original Factory Shop launches 80% off closing down sales ahead of shutting NINE stores this week
THE Original Factory Shop is shutting nine stores this week as up to 80% off closing down sales are launched at a host of locations. The fragrance, homeware and fashion retailer is pulling down the shutters on shops across the UK between Thursday and Saturday. 1 One branch in Milford Haven, Pembrokeshire, will permanently close on June 26, while eight others will shut on June 28, including stores in Pershore, Worcestershire, and Shaftesbury, Dorset. Closing down sales have been launched at a number of the soon-to-be shut shops. Prices at the Milford Haven site have been slashed by 30% with discounts on drinks, perfume and footwear. The Pershore branch has also reduced prices on beauty and pet products, jewellery and more by up to 50%. The Normanton branch has also cut prices by up to 50%, while stock at the Middlewich store is selling for up to 80% off. Here is the full list of The Original Factory Shop (TOFS) branches set to close this week, as well as three others shutting from July: Milford Haven, Pembrokeshire - June 26 Perth - June 28 Chester Le Street, County Durham - June 28 Arbroath, Angus - June 28 Kidwelly, Carmarthenshire - June 28 Pershore, Worcestershire - June 28 Normanton, West Yorkshire - June 28 Peterhead, Aberdeenshire - June 28 Shaftesbury, Dorset - June 28 Staveley, Cumbria - July 12 Cupar, Fife - July 27 Middlewich, Cheshire - TBC News of the branches closing this week has not been met well by shoppers and locals. Commenting on the Abroath closure, one customer said: "Another one bites the dust on the high street. "Going to be a ghost town soon enough." Britain's retail apocalypse: why your favourite stores KEEP closing down A second, commenting on the Pershore closure, said: "End of an era that is." A third, finding out about the Cupar branch shutting, said: "So sorry to see you're closing down." What's happening with The Original Factory Shop? TOFS was bought by Modella Capital in February which has since launched a restructuring effort to renegotiate rents at 88 of the retail chain's stores. Modella, a private equity firm, is known for taking on struggling retailers, having recently acquired Hobbycraft and WHSmith 's high street shops. Modella drew up plans to initiate a Company Voluntary Arrangement (CVA) for TOFS at the end of April. A CVA is a way of restructuring that means a business can continue trading while negotiating its debts, for example by cutting rent costs with landlords. A TOFS spokesperson previously told The Press and Journal a "number of loss-making stores will have to close" as part of the CVA. They continued: "Closing stores is always a tough decision and we are committed to keeping as many stores open as possible. "This is, however, dependent on successful negotiations with landlords as we strive to build a sustainable and successful business for the future." The Original Factory shop has already shuttered more than a dozen stores over the past 12 months. These are the locations that closed in 2024: Brightlingsea, Essex Bodmin, Cornwall Chepstow, Wales Fakenham, Norfolk Harwich, Essex Mildenhall, Suffolk Padiham, Lancashire Taunton, Somerset Deal, Kent Haverfordwest, Wales HIGH STREET STRUGGLES The Original Factory Shop is not the only retailer languishing across the high street. The retail sector has struggled for years, with thousands of shops closing across the UK. The Centre for Retail Research has described the sector as going through a "permacrisis" since the 2008 financial crash. In 2024 alone, more than 13,000 high street stores were shuttered for good, according to the Centre. It is also predicting the number of store closures to rise this year, blaming the increase on a hike to employer National Insurance contributions and the national minimum wage. RETAIL PAIN IN 2025 The British Retail Consortium predicted that the Treasury's hike to employer NICs would cost the retail sector £2.3billion. Research published by the British Chambers of Commerce earlier this year shows that more than half of companies planned to raise prices by early April. Separately, the Centre for Retail Research (CRR) has also warned that around 17,350 retail sites are expected to shut down this year. It comes on the back of a tough 2024 when 13,000 shops closed their doors for good, already a 28% increase on the previous year. Professor Joshua Bamfield, director of the CRR said: "The results for 2024 show that although the outcomes for store closures overall were not as poor as in either 2020 or 2022, they are still disconcerting, with worse set to come in 2025." Professor Bamfield has also warned of a bleak outlook for 2025, predicting that as many as 202,000 jobs could be lost in the sector. "By increasing both the costs of running stores and the costs on each consumer's household it is highly likely that we will see retail job losses eclipse the height of the pandemic in 2020."
Daily Mirror
33 minutes ago
- Daily Mirror
Keir Starmer to meet Volodymyr Zelensky in UK after leader's dire Putin warning
Keir Starmer will meet Ukrainian President in the UK today. Volodymyr Zelensky is set to hold talks with the Prime Minister, hours after at least seven people were killed in Russian air and drone strikes in Kyiv. Mr Zelensky branded Russia, North Korea and Iran a "coalition of killers" and said he would be sounding the alarm duuring his visit. He said: 'After the strikes on Iran's nuclear program facilities, there was a lot of noise from Moscow – the Russian leadership demonstratively condemned the 'rocket-bomb' steps. 'Today, Moscow is silent after the Russian army launched an absolutely cynical strike with Russian-Iranian [drones] and missiles on the civilian infrastructure of Kyiv and other our cities and communities. In Kyiv alone, five apartment buildings were damaged. 'These are ordinary residential buildings. As of now, six people are known to have been killed.' And the Ukrainian leader continued: 'Everyone in the countries next to Russia, Iran, and North Korea should think about whether they will be able to protect life there if this coalition of killers persists and continues to spread terror. 'Today, during my visit to Britain, I will talk to my partners about exactly this - about our defence, which should become the basis for a much stronger common defence. And we will also agree on new and strong steps to put pressure on Russia for this war and to stop the strikes.' It comes after Mr Zelensky claimed that Vladimir Putin's Russia is gearing up for military operations in Europe. The Ukrainian leader said his country is "preparing joint decisions for defence, in particular with the United Kingdom and the European Union" and promised to keep allies in the loop. Follow our Mirror Politics account on Bluesky here. And follow our Mirror Politics team here - Lizzy Buchan, Mikey Smith, Kevin Maguire, Sophie Huskisson, Dave Burke and Ashley Cowburn. Be first to get the biggest bombshells and breaking news by joining our Politics WhatsApp group here. We also treat our community members to special offers, promotions, and adverts from us and our partners. If you want to leave our community, you can check out any time you like. If you're curious, you can read our Privacy Notice. Or sign up here to the Mirror's Politics newsletter for all the best exclusives and opinions straight to your inbox. And listen to our exciting new political podcast The Division Bell, hosted by the Mirror and the Express every Thursday.
