Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what steps his Department is taking to prioritise financial support for the energy costs of ceramic manufacturers.
Answered by Miatta Fahnbulleh - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Government believes that our mission to deliver clean power by 2030 is the best way to break our dependence on global fossil fuel markets and protect billpayers permanently. The creation of Great British Energy will help us to harness clean energy with less reliance on volatile international energy markets and help in our commitment to make Britain a clean energy superpower by 2030.
Companies in the ceramics sector are eligible to apply to the British Industry Supercharger scheme, which has provided energy bill support to hundreds of firms in energy intensive sectors. Financial relief to support energy intensive industries with electricity costs is worth £470 million per year through a mixture of spending and bill discounts.
I understand that Minister Jones is due to meet with representatives of the ceramics sector later this month to discuss challenges faced by manufacturers, including high energy costs. Government is committed to continuing to listen and engage with the sector.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, pursuant to the Answer of 13 March 2025 to Question 36729 on UK Emissions Trading Scheme: Ceramics, whether he has made a sectoral assessment of the potential merits of exempting ceramics from the UK Emissions Trading Scheme.
Answered by Sarah Jones - Minister of State (Department for Energy Security and Net Zero)
The UK Emissions Trading Scheme, whose coverage includes energy intensive industries such as those in the ceramics sector, allows installations who meet certain criteria to apply to be exempted from the main scheme by obtaining ‘small emitter’ classification.
Over half of sites in the ceramics sector are already exempted from the UK ETS via achieving Small Emitter status. The UK Emissions Trading Scheme as an essential part of our approach to cutting emissions and driving green investment. UK ETS participants, including those in the ceramics sector, are provided with free allocations, to incentivise emissions reduction and protect energy intensive, trade exposed industries from the risk of carbon leakage. We have guaranteed current free allocation levels until 2027 and are currently reviewing how we calculate free allocations to better support sectors most at risk of carbon leakage.
We will always work in the best interest of industry.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, if he will introduce an energy price cap for (a) the ceramics industry and (b) other energy intensive industries.
Answered by Miatta Fahnbulleh - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Government has no plans to introduce a non-domestic price cap. Businesses have different needs to households. Non-domestic demand varies in scale, flexibility and seasonality. From high demand from large industrial users to intermittent demand from some microbusinesses. Accordingly, there are a range of suppliers and energy products that are available to efficiently meet these needs.
However, the Government is committed to championing businesses and improving non-domestic consumer protections. Since December 2024 Small and Medium Enterprises (SMEs) with fewer than 50 employees can now access free support to resolve issues with their energy supplier through the Energy Ombudsman. This means that 99% of British businesses can now access this service with outcomes ranging up to £20,000 in financial awards. Last year, the Government also launched a consultation on introducing regulation of Third-Party Intermediaries (TPIs), such as energy brokers. This is aimed at enhancing consumer protections, particularly for non-domestic consumers.
The consultation has now closed, and a Government response will follow in due course once all feedback has been reviewed.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, pursuant to the Answer of 13 March 2025 to Question 36729, if he will give an example of a cost effective solution to decarbonise for the ceramics sector.
Answered by Sarah Jones - Minister of State (Department for Energy Security and Net Zero)
Making Britain a clean energy superpower is one of the five missions of this Government — delivering clean power by 2030 and accelerating to net zero. British industries, such as those in the ceramics sector, have been held back by high electricity costs, which has often made investing here uncompetitive. The Government’s clean energy mission will drive down costs, making British businesses internationally competitive while our National Wealth Fund supports the most energy intensive sectors to decarbonise.
A recent report from Ceramics UK, Decarbonising UK Ceramic Manufacturing, outlines potential solutions for decarbonising the ceramics sector.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the potential impact of GB Energy on UK ceramic manufacturers.
Answered by Michael Shanks - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
Ceramics manufacturing is an energy-intensive process, and we recognise that price shocks in recent years have left businesses and families struggling with energy bills.
In an unstable world, the only way to guarantee energy security and protect billpayers is to accelerate the transition away from fossil fuels.
We have a sustainable, long-term plan to protect all UK billpayers. Great British Energy will be part of this plan by driving the deployment of homegrown energy to boost our energy independence. By delivering clean, secure energy, Great British Energy will help reduce our exposure to volatile international markets.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what discussions he has had with energy companies on reducing prices for (a) UK ceramic manufacturers and (b) other energy intensive industries.
Answered by Miatta Fahnbulleh - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
Details of Ministers' meetings with external individuals and organisations are published quarterly in arrears on GOV.UK.
The Government believes that our mission to deliver clean power by 2030 is the best way to break our dependence on global fossil fuel markets and protect billpayers permanently.
The creation of Great British Energy will help us to harness clean energy with less reliance on volatile international energy markets and help in our commitment to make Britain a clean energy superpower by 2030.
Companies in the ceramics sector are eligible to apply to the British Industry Supercharger scheme, which has provided energy bill support to hundreds of firms in energy intensive sectors. Financial relief to support energy intensive industries with electricity costs is worth £470 million per year through a mixture of spending and bill discounts.
I understand that Minister Jones is due to meet with representatives of the ceramics sector later this month to discuss challenges faced by manufacturers, including high energy costs. Government is committed to continuing to listen and engage with the sector.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether he plans to reintroduce an energy bills discount scheme for energy and trade intensive industries.
Answered by Miatta Fahnbulleh - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Government believes that our mission to deliver clean power by 2030 is the best way to break our dependence on global fossil fuel markets and protect billpayers permanently.
The creation of Great British Energy will help us to harness clean energy with less reliance on volatile international energy markets and help in our commitment to make Britain a clean energy superpower by 2030. We are working relentlessly in this Parliament on how we reduce wholesale energy costs, and we want to make sure this follows through onto domestic and non-domestic bills.
Financial relief to support energy intensive industries with electricity costs is worth £470 million per year through a mixture of spending and bill discounts.
Additionally, 300 energy intensive businesses across the UK will benefit from the British Industry Supercharger, which has targeted measures to ensure the energy costs for key UK industries are in line with other major economies around the world.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what assessment his Department has made of the capability of UK ceramics manufacturers to transition to lower-carbon fuels.
Answered by Sarah Jones - Minister of State (Department for Energy Security and Net Zero)
Carbon savings through fuel switching from fossil fuels to low carbon alternatives are needed for the industrial sector to transition to net zero. Government is developing a suite of policies to deliver these savings.
As it does so, it is closely engaging with sector trade association Ceramics UK, as well as ceramics manufacturers directly, to identify and understand the challenges and barriers to decarbonisation of this diverse sector.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, if his Department will make an assessment of the potential impact of the UK Emissions Trading Scheme on employment levels in ceramic manufacturers.
Answered by Sarah Jones - Minister of State (Department for Energy Security and Net Zero)
The Government is committed to supporting UK industry to decarbonise and protecting hundreds of thousands of jobs in regions across the UK. A strong UK Emissions Trading Scheme (UK ETS) will drive green investment as part of a broader industrial strategy, helping deliver a just transition, grow the economy, and secure good jobs for people across the country.
UK ETS participants, including those in the ceramics sector, receive free allocations to protect energy-intensive, trade-exposed industries from carbon leakage. As part of the review into free allocations, an assessment of impacts to sectors will be conducted before any final decisions are taken.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether he has had discussions with ceramics manufacturers on the viability of hydrogen as a fuel for energy intensive industries.
Answered by Sarah Jones - Minister of State (Department for Energy Security and Net Zero)
Details of Ministers' meetings with external individuals and organisations are published quarterly in arrears on GOV.UK.