Data shows UK steel producers will pay more for electricity than in France and Germany

According to UK Steel’s latest industrial electricity price data, UK steelmakers will pay £59.48/MWh compared to £52.04/MWh in Germany, and £47.76/MWh in France.

Gareth Stace, director general at UK Steel said: “The UK steel industry has a hand tied behind its back as it faces electricity prices up to 25% higher than its European competitors, let alone its global counterparts.

“Uncompetitive power prices pose a threat to jobs, future investment, and our Net Zero ambitions.

“Our report shows there is now a straightforward solution with a two-way Contract for Difference (CfD) mechanism and swift backdating of network charge relief, the Government can finally eliminate the disparity in industrial electricity prices.”

UK Steel has outlined that as the industry invests in electric arc furnaces, competitive energy prices are crucial.

Stace added: “The prize is enormous. By securing competitive power prices, the UK can build a modern, low-carbon steel industry that underpins growth in clean energy, infrastructure, and manufacturing for decades to come.”