The food sector has been “forgotten again” by the government as it announced its latest round of energy support.
The government expanded its British Industrial Competitiveness Scheme (BICS) to include 10,000 manufacturers but excluded the agricultural sector.
The scheme will cut electricity bills by up to 25% for a wide range of businesses but excludes farming, which is also not included in the Energy Intensive Industries scheme.
NFU president Tom Bradshaw said the move was “deeply frustrating”.
“Parts of the horticulture sector, for example, are incredibly energy-intensive growing tomatoes, cucumbers and peppers in heated glasshouses, and are grappling with the same global price volatility as any factory – yet are being left to face these surging costs alone,” said Bradshaw.
Earlier this month, higher electricity standing changes came into force for glasshouse growers which, combined with soaring energy prices caused by the conflict in Iran, had created an “immediate and unsustainable financial burden”, growers warned at the time.
This latest blow, Bradshaw warned, was the government “effectively putting a handbrake on our investment and our ability to produce a supply of sustainable, high-quality food”.
The NFU has called on the government to review the eligibility criteria for the BICS and to reconsider the electricity standing charges.
“If we want a resilient domestic food system, we cannot continue to treat farming as an optional extra in industrial policy,” said Bradshaw. “Our members need the same relief on electricity policy costs as other heavy users if they are to remain competitive and continue feeding the nation.”
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