CPI warns climate change policies have put UK manufacturing at risk

The Confederation of Paper Industries (CPI) has said the future of energy-intensive industry in the UK, such as paper manufacturing, is under threat from climate change policies.

CPI members have contributed to a report entitled The Cumulative Impact of Climate Change Policies on UK Energy Intensive Industries, which was published jointly by the Energy Intensive Users Group and the Trades Union Congress.

David Workman, CPI director general, said energy-intensive sectors, including paper, had been "bombarded with a series of measures for energy and climate change".

He said: "Total energy bills could rise by 141% by 2020 as a result of UK government energy policy.

"The government hasn't looked at the cumulative effect of all these different policy measures and the figures are frightening."

Such a steep rise in UK costs would "jeopardise the future competitiveness" of all energy intensive industries, Workman claimed.

The report calls for a full cost-benefit analysis of energy-intensive sectors to understand the direct impact on companies.