Chancellor to unveil £250m to help energy-intensive industry

THE government will today announce a package of reliefs worth £250m to help offset the crippling impact of its green policies on energy intensive companies.

The package, which was first revealed in City A.M. last month, will help those firms who use large amounts of energy such as steelmaker Tata and chemicals specialist Ineos.

There will be £110m to compensate firms hit by the EU emissions trading scheme; £100m for those hurt by the government’s carbon price floor; and £40m for firms who lose out because of the climate change levy.

The chancellor is also expected to say he will examine how the government can reform the electricity market so it discourages the use of carbon without hurting firms who need to use large amounts of it.