Fighting the Tories’ Supertax on manufacturing ?>

Fighting the Tories’ Supertax on manufacturing

As Secretary of the All-Party Steel Group, I met DECC Minister Greg Barker on 26th April as part of a determined fight against crazy government plans for a carbon floor price which is like a supertax on our manufacturing industry. The carbon floor price proposed by the Tory-led government would hit energy intensive industries like steel very hard indeed, because it would levy a charge on any carbon-based fuel, such as coal, oil or gas that is used to generate the electricity that they use. We all understand the need to reduce emissions, no one more so than companies like TATA, who are only too aware of their fuel costs. But we cannot go it alone; we need to agree emissions reduction strategies with other countries. We have already seen manufacturers move factories to countries where costs are much lower and environmental conditions less stringent, but up until now the European Emissions Trading Scheme has helped create a level playing field within Europe. The real worry is that if the UK goes it alone with this new supertax, the proposed carbon floor tax, it would make us uncompetitive even compared with our European competitors and will drive TATA to invest elsewhere rather than in Wales, losing us valuable jobs. That would be absolutely devastating for our local economy in Llanelli. This is a completely mad, bad Tory idea , and I will continue campaigning vigorously against it.

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