Osborne has delivered what he promised – much needed help for the British Manufacturing Industry. The Carbon Price Floor (a levy that is paid by power plant generators and passed on to their customers) will be frozen at 2016 rates until the end of the decade. It is due to rise from £9.95 in April to just over £18.00 in 2015.
Osborne also extends the compensation scheme for steel, chemical and paper industries for another four years as well as investing another £1bn to safeguard them from the cost of other green taxes.
This will reduce energy costs for the economy by up to £7bn by 2018-19 and will, Osborne claims “[be] delivered without any reduction in the investment in renewable energy.”