Increasing energy costs have prompted manufacturers of heavy building materials to seek government support.
The Chancellor of the Exchequer has been asked by the Mineral Products Association (MPA) and its members to take action to alleviate the impact of rising energy costs. MPA is the trade association for the aggregates, asphalt, cement, concrete, dimension stone, lime, mortar and silica sand industries.
Four steps have been suggested by MPA that the Treasury could take to alleviate the increasing burden on the UK mineral products companies:
- Allow a temporary deferral of VAT payments
- Reinstate or replace the red diesel rebate to cut fuel duty
- Extend the freeze on Aggregates Levy Indexation beyond April 2023
- Take measures to tackle costs for energy intensive industries (eg cement & lime)
Robert McIIven MPA director of public affairs said that members were seeing a significant rapid increase in fuel and energy costs placing them and their supply chains under huge pressure. Given the essential nature of the industry’s products and the fundamental role in the UK economy it is vital that the chancellor addresses these pressures facing the sector.