Solar Energy UK
IMMEDIATE RELEASE
30/10/2020
A coalition of trade associations representing major British industries including retail, property, construction and technology, has written to the Chancellor to ask that renewable energy technologies such as solar PV and battery storage be excepted from business rates to boost commercial deployment and provide much needed green jobs.1
Solar Energy UK estimates that excepting solar PV from rates could deliver 1500-1800 additional jobs annually, and increase business investment in the UK by more than £315m a year.2 Many businesses shelved plans to install solar on their sites after a change in the way business rates are calculated saw early-adopters punished by skyrocketing premiums. In some cases well over 500% more.
Solar Energy UK Chief Executive Chris Hewett said: “This will help businesses in Britain to build back better and contribute towards a green economic recovery by easing the frankly unjustified and disproportionate tax burden on renewables, driving the uptake of new solar in the commercial sector and delivering thousands of high quality green jobs across the country.”
National Federation of Roofing Contractors CEO James Talman said: “The roofing industry is in a prime position to help the government reach its net-zero target through the installation of solar technologies on Britain’s commercial roof spaces. However, we are being held back by the archaic business rates system, which is stifling investment and innovation.
“We urge the Chancellor to rectify this by exempting renewable energy generation and storage from business rates to help reduce in carbon emissions and create thousands of quality skilled construction jobs, as well as generating millions of pounds of green business investment.”
The Government is currently undertaking a review of the Business Rates regime, with a public consultation due to close on Saturday 31 October 2020.3 The changes made in 2017 were met with contempt by several major businesses, including Sainsbury’s, IKEA and Kingfisher PLC.4 Exception from business rates for renewable energy technologies would bring tax treatment in line with certain fossil fuel technologies such as gas Combined Heat and Power.5
ENDS
Editor’s notes:
The full list of signatories are as follows:
Chris Hewett, Solar Trade Association
James Talman, National Federation of Roofing Contractors
Julian David, techUK
Helen Dickenson OBE, British Retail Consortium
Melanie Leech, British Property Federation
Caroline Gumble, Chartered Institute of Building
Julie Hirigoyen, UK Green Building Council
James Calder, Society of Independent Brewers
Rennie Schafer, Self Storage Association
Steven Davies, Lighting Industry Association
Steve Bratt, Electrical Contractors Association
Jeff Moody, British Independent Retailers Association
Brian Madderson, Petrol Retailers Association
Pam Murell, Cast Metals Federation
Peter Caplehorn, Construction Products Association
Ian Cass, Forum of Private Business
Russell Bertie, Federation of Environmental Trade Associations
Madeleine Greenhalgh, The Electricity Storage Network
Nina Skorupska, Association for Renewable Energy & Clean Technology
1. Solar Trade Association – Letter to the Chancellor RE: Business Rates and Renewable Energy: https://www.solar-trade.org.uk/wp-content/uploads/2020/11/Letter-to-Rt-Hon-Rishi-Sunak-RE-Business-Rates-and-Renewable-Energy-.pdf
2. Solar Trade Association – Priorities for a Renewable Recovery Package: https://www.solar-trade.org.uk/wp-content/uploads/2020/06/STA-Policy-Paper-Priorities-for-a-Renewable-Recovery-Package-June-2020.pdf
3. HM Treasury – Fundamental review of business rates: call for evidence: https://www.gov.uk/government/consultations/hm-treasury-fundamental-review-of-business-rates-call-for-evidence
4. Solar Trade Association – Big Brands Say Stop the Solar Tax Hike: https://www.solar-trade.org.uk/big-brands-say-stop-solar-tax-hike/
5. Department for Business, Energy & Industrial Strategy – Combined Heat and Power Incentives: https://www.gov.uk/guidance/combined-heat-and-power-incentives#business-rating-exemption
For further information or to request an interview, please contact:
Name: Jack Dobson-Smith
Title: Senior External Affairs Adviser
Main line: 0203 637 2946