Energy support package – NFU response

21 September 2022

Energy
Energy support package - NFU response

Business Secretary Jacob Rees-Mogg has outlined plans to help cut energy bills for businesses for the next six months. Though these go some way to easing businesses fears about rising energy costs, there is still further detail needed about what will be available for farming businesses after the initial six-month period. Read our response.

The new scheme – the Energy Bill Relief Scheme – will see a cut in energy prices for non-domestic energy customers, such as businesses, charities and public sector organisations.

The government say that the scheme will support growth, prevent unnecessary insolvencies and protect jobs.

Responding to the information provided today about the energy support package for businesses, NFU President Minette Batters said: “We welcome the detail announced today in the energy support package which will provide a much-needed cushion for farmers, growers and food businesses who are vulnerable to high wholesale energy prices.

“Given the package does not cover limits on standing charges, it’s essential the government continues to assess the full impact that energy bills will have on business confidence and production.

Clarity needed

“We also need urgent clarity on what support will be available for food businesses after the initial six month period. Energy plays a core role in the production of our food and throughout the food supply chain, from fertiliser production and heating glasshouses and livestock buildings, to baking bread and keeping facilities clean. We simply can’t produce the food the nation needs without affordable energy.

Protecting food security

“Because of this close link between energy and food, the government must prioritise access to affordable energy for food production and the food supply chain. Continued support will be key for curtailing food price inflation going forward and ensuring the provision of affordable, nutritious, climate-friendly food for the country.”

Working on your behalf

This announcement does solve some of the questions outlined in NFU Agrifood Policy Delivery Manager Jack Watts' opinion piece, Energy Price Guarantee – what the NFU knows so far, but gaps in the detail still remain. 

We will continue working with government departments to bring you the clarity and support your businesses need. 

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