The UK’s Spring Budget 2023: What the Energy and Sustainability Measures Announced Mean For Your Business

Yesterday’s announcement of the UK’s Spring Budget 2023 has brought a renewed focus on energy and sustainability. The Chancellor has laid out several measures, including funding for public swimming pools, the extension of the Energy Price Guarantee, adjustments to the Energy Bill Relief Scheme, and significant investments in carbon capture and nuclear power. This article will explore these measures in detail and discuss their potential impact on businesses in the UK’s energy and sustainability sector.

Support for Public Swimming Pools

The Spring Budget has allocated £63 million in new funding to help public swimming pools in England cope with soaring energy bills and invest in energy efficiency upgrades. This comes after the closure of almost 400 public swimming pools since 2010 due to budget cuts and rising energy costs. By applying for this funding, over 800 public swimming pools can implement energy-saving measures such as reducing waste, upgrading to renewables, adopting waste heat technologies, and installing LED lighting.

Energy Price Guarantee and the Energy Bill Relief Scheme

The Energy Price Guarantee will remain at £2,500 for the typical household for the next three months, providing some stability to consumers. However, the Energy Bill Relief Scheme for business customers will be rolled back from April. This scheme has frozen prices for businesses and public sector bodies since the autumn, but the Treasury has acknowledged that targeted support will be needed for energy-intensive sectors still struggling with historically high energy bills.

Carbon Capture and Storage (CCS) Investment

A £20 billion, 20-year funding programme for the carbon capture sector has been announced. This significant investment will support the development and deployment of CCS technology, which plays a crucial role in achieving the UK’s net-zero emissions target by 2050.

Extension of the Climate Change Agreement Scheme

The Climate Change Agreement (CCA) scheme has been extended for two years, allowing eligible businesses to receive £60 million of tax relief on energy efficiency measures. This extension will encourage more companies to invest in sustainable technologies and practices, further driving the energy transition.

Nuclear Power as an Environmentally Sustainable Solution

The Spring Budget has declared nuclear power as “environmentally sustainable,” giving it access to the same investment incentives as renewable energy. This decision underscores the government’s commitment to diversifying the UK’s energy mix and reducing reliance on fossil fuels.

Conclusion

The UK’s Spring Budget 2023 has introduced several energy and sustainability measures aimed at transforming the industry and helping businesses manage their energy needs. From supporting public swimming pools to investing in CCS and promoting nuclear power, the government is attempting to take a multifaceted approach to addressing the energy crisis and moving towards a more sustainable future.

While the Spring Budget 2023 has introduced several measures to address the energy crisis and promote sustainability, there is a concern that it may not go far enough to support businesses struggling with energy costs, particularly with the end of the Energy Bill Relief Scheme (EBRS). The new Energy Bill Discount Scheme (EBDS), set to replace the EBRS from April 2023, might not provide the same level of support to businesses, leaving some companies exposed to the volatile energy market. Moreover, critics argue that the budget has not placed enough emphasis on promoting renewable energy as a key solution to the UK’s energy security. Despite declarations of support for renewables, the budget’s focus on nuclear power and carbon capture technologies could divert crucial resources away from the development and implementation of more sustainable, renewable energy sources. This raises concerns that the UK’s commitment to a truly sustainable and secure energy future may be wavering, leaving businesses and the environment at risk.

At Inteb, we understand the importance of staying informed about the latest developments in the energy and sustainability sector to best serve our clients. As a leading energy and sustainability management company, our commitment to helping businesses meet energy and carbon targets, improve efficiency, reduce costs, control energy performance, and ensure full compliance with regulations and laws remains steadfast. By keeping up-to-date with new policies and incentives, such as those introduced in the Spring Budget 2023, we can provide tailored guidance to help businesses navigate the post-Energy Bill Relief Scheme landscape and implement effective energy management strategies.

Visit our website to discover how we can support your business in achieving a sustainable and secure energy future. And be sure to follow our LinkedIn (insert link) and Twitter pages to stay informed on what’s best for your business’s energy future.