Member Article

10,000 jobs at risk if “green levies” on energy bills are cut, construction industry warns

More than 10,000 construction and insulation jobs could be lost - many as early as Christmas - if the Government cuts so-called “green levies” on energy bills.

That is the stark warning from the UK Green Building Council and construction industry as the Government considers its review of green levies.

Construction firms installing energy efficiency measures through the Energy Company Obligation (ECO) and manufacturers which make products such as solid wall insulation fear over 10,000 jobs could be lost if ECO is scrapped or scaled back.

Prime Minister David Cameron has signalled his desire to “roll back” green levies following the public debate on the cost they add to household energy bills. Government is expected to announce its intentions in the Autumn Statement on 5 December.

The Association of the Conservation of Energy (ACE) estimate up to 33,000 people are currently employed delivering ECO and the Green Deal. This should have risen to 60,000 jobs in 2015, according to Government’s own projections (see notes to editors).

Paul King, Chief Executive of the UK Green Building Council, said: “The Prime Minister needs to realise that going after ECO in a bid to cut household energy bills could end up costing 10,000 construction and insulation jobs. That will decimate the very industry that is helping people – including some of the most vulnerable in society – reduce their bills in the long-term.”

Sally Hancox, Director at Gentoo, said: “The position the industry currently finds itself in is extremely serious and we are calling for urgent action to be taken before more jobs are put at risk and vulnerable households left to choose between eating or heating their home this winter. We believe that the Coalition’s brave, strong initial commitment to ECO remains right; the large scale installation of green measures actively stimulates economic activity, it creates jobs, and addresses the growing issue of fuel poverty.”

This was posted in Bdaily's Members' News section by Laura Facey .