British government to cut companies’ energy bills

Reuters reports that the UK government is set to cut electricity bills for thousands of domestic companies as part of a new industrial strategy. Business has called for a reduction in high energy costs, as they damage competitiveness and hinder economic growth. 

Under the 2025–2035 strategy, the government plans to slash energy-intensive companies’ bills by 25% from 2027. Besides, it says manufacturers will be exempted from renewable energy obligations to bolster their international competitiveness.

The UK authorities state that these measures will be funded through reforms to the system, with no raise in taxes or household bills. 

The British government has made boosting the country’s GDP growth one of its main goals, yet high electricity costs are a hindrance to that aim. The UK is facing the need to support its key industries and improve competitiveness amid global trade tensions, Reuters says.