Kwarteng submits formal bid for help for industries hit by gas prices

- Advertisement -


Tea

The Trade Secretary has submitted a formal bid to the Treasury to seek help for industries affected by the rise in global gas prices.

- Advertisement -

Ministers are facing growing calls for aid from industry bosses as they feared rising prices could force businesses to go to the wall.

The boss of British Glass, which represents the industry, has warned that a quarter of jobs in the sector could go without Government Cooperation.

advertisement

quasi quartengo Interacted with industry leaders last week, and ministers and officials will continue to speak to businesses on Monday and throughout the week.

The PA news agency has said it understands Mr Quarteng has now made a formal request for help to keep the worst-affected industries running.

- Advertisement -

Mr. Quarteng has pledged to maintain the energy price cap to help families grappling with rising costs.

But no new support was promised for the businesses, despite the owners and some Tories. MPs Called for help to prevent them from going down due to the spurt in wholesale prices.

/ PA Wire

Industries including ceramics, paper and steel manufacturing are considered the worst affected.

Speaking to the Times Radio Drive show, British Glass CEO Dave Dalton said the glass sector alone employs 6,000 people directly and between 100,000 and 120,000 more extensively in the sector.

He added: “I think we can find a quarter of them in the spotlight at the moment, and we want some support to put an end to this.”

Boss said: “Our conversation with Quarteng on Friday was ‘give us more details, give us more data so we can go along and ask the Treasury’.

“It now emerged over the weekend that asking the Treasury is a little different than what we were anticipating.”

UK Steel Director General Gareth Stace said Prime minister To “bang together ministerial heads” to avoid industry woes in their region.

These anonymous source stories keep popping up from time to time.

The official submission comes after the Treasury explicitly refused to negotiate with the Department of Trade on any support.

Mr Quarteng indicated on Sunday that struggling manufacturers and energy firms would not receive much support, but said he was working closely with the chancellor, Rishi Sunak, to help the industry.

However, a senior Treasury source stressed to the PA news agency that no such talks had taken place despite firms pleading for help to prevent further declines as wholesale gas prices spiral.

This led to Boris Johnson being urged To “bang the ministerial heads together” after a fight Rishi Sunak And quasi quartengo‘s whitehall department on energy crisis

It comes as Tory frontbencher Lord Agnew of Olton said rising energy costs had nothing to do with a lack of supply, but was due to a “geopolitical move”. Russia To put pressure on Europe.

The treasury minister’s candid remarks seem to go further than before, pointing the finger straight at the government Moscow for the current crisis.

And it follows claims that Russia was limiting gas supplies in order to move swiftly to certify the controversial new Nord Stream 2 pipeline to prod regulators in Europe.

Last week, a suggestion from the Russian President Vladimir Putin That his country could boost the supply of natural gas to Europe has led to a drop in prices.

pressed in Upper House On rising energy costs and calls for increased intervention and public ownership by “critical utilities”, Lord Agnew said: “The current squeeze on gas prices has nothing to do with the amount of gas available.

“This is a geopolitical move by Russia to put pressure on Europe and we are caught in it.

“Public ownership of our own utilities won’t matter.”

East, home Office Minister Damien Hinds Denied Mr Quarteng lied when he said there had been discussions between government departments about help for energy firms.

Mr Hinds said: “These anonymous source stories do come up from time to time.

“The fact that government departments, government ministers talk to each other all the time and certainly with an issue like this, these rising global prices and trade have to grapple with it and make sure they Of course this is something the business secretary — and of course, the energy secretary — are going to be completely focused on.

“Something that the Treasury, of course, is also very focused on as the nation’s Department of Economic Management.”

During this, Labour MP Pat McFadden said ideology “should not get in the way” when the government is trying to solve the crisis.

Former shadow business secretary told sky News: “We must not let ideology come in the way, because after supporting the economy through the pandemic, it will now be sad if we stand back and let these major industries go to the wall.

“They’re asking for help and it’s really important that the Treasury and Trade Departments stop fighting with each other and get around the table and get to the bottom of what these industries really need.”

Mr McFadden said a price cap for commercial energy use by Labor “could be considered” but “it may not be the only thing you have to do here”.

“You can look at some of the other costs that the industry has and maybe try and reduce them during this current crisis,” he told Sky News.

“There is more than one way to do this. The important thing is to talk to the industry and try to give them the support they need to get through this, because there are thousands of jobs at stake right now, and these industries are going to go to the wall. The long-term cost of helping them outweigh the short-term cost of helping them in the here and now.

Meanwhile, Labor MP Darren Jones, chairman of the Business, Energy and Industrial Strategy Select Committee, urged the government to impose unprecedented taxes on companies that are making huge profits from the jump in gas prices.

.

- Advertisement -
Mail Us For  DMCA / Credit  Notice

Recent Articles

Stay on top - Get the daily news in your inbox

Related Stories