§ 26. Mr. Nicholas WintertonTo ask the Secretary of State for Wales what recent discussions he has had with172W ministerial colleagues about the impact of the climate change levy on manufacturing employment in Wales. [53171]
§ Mr. Paul MurphyI meet regularly with Cabinet colleagues and discuss a wide range of issues, including the impact of the climate change levy on manufacturing employment.
Part of the Government's strategy of encouraging energy efficiency through the Climate Change Levy (CCL) has been to move the burden of tax from 'goods' such as jobs to 'bads' such as pollution. The Government is committed to making Britain one of the most competitive environments for business in the world, which is demonstrated, for example, by the fact that the overall tax burden in the UK is much lower than the EU average. It is also important to consider the less-easily quantifiable costs on operating a business, such as employment regulation.
The climate change levy is small in proportion to total energy costs, and energy costs themselves are only a small proportion of total business costs. All sectors can reduce the impact of the levy on their costs by improving energy efficiency, and taking advantage of the available incentives.