Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, pursuant to the Answer of 29 June 2023 to Question 190814 on Iron and Steel: Environment Protection, what her planned timetable is for making a decision on the Clean Steel Fund.
Answered by Nusrat Ghani - Minister of State (Minister for Europe)
We have not set a timetable for decisions on the Clean Steel Fund as we are continuing to work with the sector to understand their decarbonisation investment plans and pathways, and what would work best for the industry to transition to lower carbon iron and steel production.
In the meantime, there are well established funding schemes such as the Industrial Energy Transformation Fund (IETF) and the Industrial Decarbonisation and Hydrogen Revenue Support (IDHRS) that the Steel sector can access in this regard. In February, we announced the British Industry Supercharger – decisive measures to reduce energy costs for energy intensive industries, including steel, in line with those charged across the world’s major economies.
The Government also takes seriously the potential for carbon leakage risk in the future. We have recently consulted on potential future measures to mitigate those risks, including the potential for a UK Carbon Border Adjustment Mechanism (CBAM). The consultation closed on 22 June 2023, and the government will respond to the consultation in due course.
Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what her planned timetable is for responding to the consultations on measures announced as part of the British Industry Supercharger strategy.
Answered by Nusrat Ghani - Minister of State (Minister for Europe)
A consultation on the Capacity Market exemption element of the Supercharger concluded on 29 June 2023 and a response will be issued soon. The Network Charging Compensation Scheme is subject to ongoing consultation through to 24 August 2023 and a Government response will follow.
It continues to be our expectation that all the measures comprising the Supercharger package be rolled out sequentially between April 2024 and April 2025.
Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what assessment she has made of the potential effect on industry of delaying the British Industry Supercharger scheme.
Answered by Nusrat Ghani - Minister of State (Minister for Europe)
Since the British Industry Supercharger was announced in February, the government is working to deliver it without delay. A consultation on the Capacity Market exemption concluded on 29 June and a response will be issued in due course, whilst the Network Charging Compensation Scheme is subject to ongoing consultation through to 24 August 2023. It continues to be our expectation that all the measures comprising the Supercharger package be rolled out sequentially between April 2024 and April 2025.
Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what recent assessment she has made of fraudulent practices in the housebuilding industry on public confidence in the housebuilding industry.
Answered by Kevin Hollinrake - Minister of State (Department for Business and Trade)
The Department for Business and Trade has made no such assessment.
Regarding labour fraud, HM Revenue and Customs recognise, and regularly assess, labour fraud within the construction industry and use the full range of civil and criminal powers where they identify fraudulent activity.
Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what assessment she has made of the impact of electricity prices on (a) steel producers and (b) the steel industry.
Answered by Nusrat Ghani - Minister of State (Minister for Europe)
Ofgem has previously carried out research on what drives comparatively high GB electricity prices for energy intensive industries (EIIs) and has compared these with selected European countries. Ofgem published a report in 2021 which can be found here: https://www.ofgem.gov.uk/publications/research-gb-electricity-prices-energy-intensive-industries(opens in a new tab).
The Government recognises that EIIs, including steel producers, are feeling the impact of high energy prices. The 2022 British Energy Security Strategy announced that the EII Compensation Scheme would be extended for a further 3 years.
In February, we announced the British Industry Supercharger: a decisive set of measures aimed at reducing electricity costs for EIIs to bring them in line with those charged across the world’s major economies.
We have already provided extensive energy costs relief to the steel sector since 2013, including through the Energy Bills Relief Scheme. Steel producers will continue to receive support until 31 March 2024 through the Energy Bills Discount Scheme.
Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, whether she plans to implement all the measures set out under the British Industry Supercharger scheme before April 2024.
Answered by Nusrat Ghani - Minister of State (Minister for Europe)
The delivery mechanisms for implementation of the British Industry Supercharger are subject to ongoing consultation, with an expectation that they be rolled out sequentially between April 2024 and April 2025.
Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, if he will make an assessment of the potential impact of industrial energy prices in (a) Germany and (b) France on the UK steel industry.
Answered by Nusrat Ghani - Minister of State (Minister for Europe)
Ofgem has previously carried out research on what drives comparatively high GB electricity prices for energy intensive industries (EIIs) and has compared these with selected European countries. Ofgem published a report in 2021 which can be found here: https://www.ofgem.gov.uk/publications/research-gb-electricity-prices-energy-intensive-industries(opens in a new tab).
The Government recognises that EIIs, including steel producers, are feeling the impact of high energy prices. The 2022 British Energy Security Strategy announced that the EII Compensation Scheme would be extended for a further 3 years.
In February, we announced the British Industry Supercharger: a decisive set of measures aimed at reducing electricity costs for EIIs to bring them in line with those charged across the world’s major economies.
We have already provided extensive energy costs relief to the steel sector since 2013, including through the Energy Bills Relief Scheme. Steel producers will continue to receive support until 31 March 2024 through the Energy Bills Discount Scheme.
Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what progress her Department has made on establishing a Clean Steel Fund.
Answered by Nusrat Ghani - Minister of State (Minister for Europe)
The Government recognises the vital role that the steel sector plays across the UK economy. We will continue to work with the sector to support its decarbonisation efforts and we have already established various funding schemes such as the Industrial Energy Transformation Fund (IETF) and the Industrial Decarbonisation and Hydrogen Revenue Support (IDHRS) in this regard.
A decision on the Clean Steel Fund has not yet been taken as we are continuing to work with the sector to understand its decarbonisation investment plans.
Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what recent assessment she has made of the effect of skills shortages in small and medium construction businesses on housing construction.
Answered by Nusrat Ghani - Minister of State (Minister for Europe)
The Department for Business and Trade does not produce assessments of skills shortages in small and medium construction businesses, and the impact of these on housing construction. Annual forecasts of demand for construction skills by occupation and by region and Devolved Administration are produced by the Construction Skills Network. The forecast for 2023-27 was published on 18 January 2023, and identifies the need for 225,000 additional construction workers during that period, based on likely demand. This forecast is publicly available on the website of the Construction Industry Training Board.
Asked by: Bill Esterson (Labour - Sefton Central)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what recent discussions she has had with the Secretary of State for Housing, Communities and Levelling Up on the number of SMEs building houses.
Answered by Nusrat Ghani - Minister of State (Minister for Europe)
Ministers engage in regular discussions with their counterparts, as well as with firms in the construction industry, on a range of issues relating to the construction sector.