Ceramics UK has issued an urgent plea to the Government to extend the British Industry Supercharger scheme and offer energy cost relief to the 90 per cent of ceramics manufacturers who do not qualify for the programme.
The national trade body, which has more than 90 member companies, has previously warned that the sector will face some of the highest industrial electricity prices in the G7 and globally.
It is calling for swift intervention to prevent further damage to competitiveness and business viability.
The move follows research from the Adam Smith Institute, which found that UK industrial power prices are up to 81 per cent higher than in France.
Ceramics UK CEO Robert Flello said: “Ceramics are critical to the UK economy enabling production of the vital products such as steel and glass, and other high temperature products that we really depend upon.
“Unfortunately, the relentless drive towards net zero is moving far faster than either available kiln and fuel technology, or the necessary infrastructure, allows.
“For sectors such as steel, already extensively supported on electricity costs (through the British Industry Super Charger and other schemes), the differential in prices may still undermine their competitiveness.
“However, for the likes of UK ceramics, where most companies are unable to qualify for the current support schemes, electricity costs are considerably higher, so the lack of level playing field is even more damaging and is having a clear impact on business viability in recent years.
“It’s urgent that this issue is addressed. We need the Government to reconsider its plans and work with us to back one of the UK’s most enduring and strategically important manufacturing industries.”
The British Industry Supercharger will provide up to £420 million in electricity bill relief per year to around 500 of the UK’s most energy-intensive businesses.
However, the majority of UK ceramics manufacturers – whose products are crucial to the manufacture of bricks, roof tiles, steel and glass as well as gifts, table ware and sanitaryware – are dependent on gas, which disqualifies them from the scheme.
According to the trade body, the UK ceramics sector contributes over £2 billion directly to the UK economy each year and employs approximately 20,000 people across the UK.
