Question

To ask the Secretary of State for Business, Innovation and Skills, what steps he is taking to encourage manufacturers to introduce sustainable manufacturing processes.

The Government’s top priority is to continue creating a highly competitive business environment that makes the UK an attractive location for new manufacturing investment in sustainable processes. We are protecting spending on innovation and the cutting-edge smart manufacturing technologies that will encourage digital, virtual, resource-efficient factories in the future. The High Value Manufacturing Catapult has skills, expertise and equipment available to help partner companies improve the efficiency and sustainability of their processes. As part of Autumn Statement 2015, my Rt Hon Friend the Chancellor of the Exchequer announced that funding to the nine existing Catapults would increase in real terms over the Spending Review period ensuring the UK remains a world leader in high-value manufacturing.

In addition, we are taking into account UK business opportunities during negotiations on the EU Circular Economy proposals which include aims to improve business sustainability, resource and energy efficiency.

At the Summer Budget 2015, the Chancellor announced a review of the business energy efficiency tax landscape and Government launched a consultation in September. The consultation set out proposals for delivering a simpler and more stable environment for business that will reduce administrative costs and improve incentives to invest in energy efficiency. This will help increase the productivity of UK businesses, save carbon emissions and ensure secure energy supplies. The Government is currently considering all consultation responses and is likely to publish its formal response at Budget 2016.

I would be delighted to receive further representations from the Manufacturing Commission on their recent Industrial Evolution report.