Net Zero: Impact on Manufacturing
1/28. What assessment he has made of the potential impact of his Department’s net zero policies on the manufacturing industry.
I am delighted that my first outing at the Dispatch Box is to answer a question from my hon. Friend, and on a topic that we have worked on so much over the past year. We on the Labour side know that net zero is the greatest economic opportunity of our generation. Unlike the previous Conservative Government, which allowed industry to wither, we do not accept that decarbonisation means deindustrialisation. Through our modern industrial strategy, we are working with business to help it to invest, grow and meet our climate ambition.
I congratulate the Minister on his well-deserved elevation to the Front Bench. He has worked quite hard with the ceramic sector on this issue. Energy-intensive industries, such as ceramics, are at the mercy of an international gas market over which very few countries have direct control, but one of the things that could help is looking at electricity costs. May I therefore encourage the Minister, in his new role, to consider expanding eligibility for the supercharger scheme so that energy-intensive industries, such as ceramics, can benefit from the support available until the supercharger scheme comes online in 2027?
My hon. Friend raises an important point about the scope of the supercharger, which we are going to look at in 2026. He will be aware that some parts of the ceramics supply chain can access the supercharger, but I too am concerned about the impacts of high energy costs on the ceramics sector. I will meet the head of Ceramics UK this month, I am chairing a meeting of the Energy Intensive Users Group, and I look forward to further engagement with the sector in the new year.
I welcome the Minister to his place. Talking about industry, the Lindsey oil refinery in Lincolnshire is in receivership and is currently being sold, but thousands and thousands of jobs are at risk and the workers there are desperately concerned that the Department for Energy Security and Net Zero and the official receiver are not running a proper process, frustrating potential bidders for the whole site. Will the Minister, in his new job, commit to helping ensure that the whole site is sold to a successful bidder?
The hon. Member said that thousands and thousands of jobs are at risk in this country; they are at risk from the climate-denying policies of Reform. The Institution of Chemical Engineers reported last week that there are 800,000 jobs in the green economy in this country—thousands and thousands in the constituencies of every single Member in this House—and the hon. Member’s party is putting that investment at risk.
I call the shadow Minister.
How many jobs have to be sacrificed on the altar of this Secretary of State’s vainglorious eco-zealotry before the Government acknowledge the utter destruction of the UK’s industrial base that is being wreaked by policies driven by an out-of-touch green lobby that has captured what is laughably still called the Department for Energy Security?
It is no wonder that there is so much laughter around the Chamber, because the policies of the previous Conservative Government saw industry decline. They were prepared to let industry decline because, fundamentally, they do not believe in industry, and now we find that they do not believe in climate science. We on this side of the House know that we can achieve decarbonisation in this country by winning investment from industry—investment that is coming in from all around the world. Our policies are giving industry the confidence to invest in creating jobs here in the UK.
On their watch, two oil refineries have closed in just one year, with Jim Ratcliffe warning of a million job losses to come. Thousands are being laid off in the North sea, as companies divest themselves of assets and investment dries up. Factories are closing and plants are shutting down. It is no wonder that the head of Unite the union is calling for the Secretary of State to be sacked. We know that the Prime Minister tried to do that but failed, so, short of that, will they instead consider our plans, which would save industry and jobs: scrapping the Climate Change Act 2008, scrapping the levies, scrapping the windfall tax and putting cheap energy first?
I would like to thank the Minister for reminding the House of the litany of errors that we had to pick up when we came into office. My portfolio is filled with companies that have struggled so much over the past 10 years, but those companies now find that they have a partner in Government who will work with them to attract the investment to build jobs in the UK. If the Opposition do not like those jobs, they can continue as they are.