Climate Change Levy

Trade and Industry written question – answered on 20th July 2001.

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Photo of Boris Johnson Boris Johnson Conservative, Henley

To ask the Secretary of State for Trade and Industry what assessment she has made of the impact of the climate change levy on productivity in the manufacturing sector.

Photo of Mr Brian Wilson Mr Brian Wilson Minister of State (Industry and Energy), Department of Trade and Industry

The climate change levy has been designed to avoid damaging the competitiveness of UK manufacturing. The levy's impact on individual businesses will depend on the extent to which they take advantage of the various levy exemptions, the new scheme of enhanced capital allowances for energy efficiency, the energy efficiency advice and support from the new Carbon Trust, and whether their sites qualify for a discount from the levy. The Government are giving an 80 per cent. discount to energy intensive industries exposed to international competition in return for delivery of challenging energy saving targets.

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