British Industrial Competitiveness Scheme

Lord Johnson of Lainston Excerpts

Wednesday 22nd April 2026 Lords Chamber

[Baroness Lloyd of Effra (Lab)]

This is a long-term support programme to support industries in line with the industrial strategy. I have heard calls to expand and deepen the scheme. We have designed the scheme to support about 10,000 businesses that are aligned with the manufacturing frontier industries and the foundational industries, such as chemicals. They will get that support. We have heard the calls to act sooner and for transitional relief. That is why there will be a payment next year, reflecting the situation had the scheme been applied this year.

[Lord Johnson of Lainston (Con)]

My Lords, I was extremely excited about this debate today. I saw “British Industrial Competitiveness Scheme” and raced to read the Minister’s Statement. But all I see in it is simply a series of taxes that were being levied on businesses being discounted back to them, as my noble friend Lord Gove said. Why are we engaging in such a complex progress?

To pick up on a point made by the Minister, she said that there was no point in exploiting our North Sea oil and gas assets because it would not shift the global price. That is like saying that we should not grow wheat in this country because it will not shift the global price. The tragedy is that we have everything in this country. We are a wealthy country—we are as wealthy as any country in the world in our natural fossil fuel resources. It beggars belief that we could actively decide, in this act of self-harm, to limit the opportunity for our nation to access these resources. What needs to change for the Government to change their mind and take advantage of what God has given us? That is what businesses really want.

[Baroness Lloyd of Effra (Lab)]

We have seen the damage that volatility and energy price spikes have caused in the past. That is why the long-term plan towards a clean energy future will bring more stability, more resilience and more homegrown power.

In respect of the North Sea, as I mentioned earlier, we will introduce new transitional energy certificates that will enable some oil and gas production in areas adjacent to already licensed fields that are licensed via a tieback or areas that are already part of an existing field. That is what we are doing. The only way to take back control of Britain’s energy and bring down bills for good is with clean, homegrown power.