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Government extends energy bill relief for museum sector
Vulnerable sectors will continue to receive a higher level of support until March 2024
The UK's museum sector will continue to receive an enhanced discount on its energy bills until 31 March 2024, the UK Government has confirmed.
The government is replacing its current energy bill relief scheme, which comes to an end in March this year, with a slimmed down package targeted at more vulnerable sectors.
The new Energy Bill Discount Scheme will offer a substantially higher level of support to energy and trade intensive industries (ETII).
Eligible areas of work include museum activities, library and archive activities, operation of historical sites and buildings and similar visitor attractions, and botanical and zoological gardens and nature reserve activities.
These businesses will receive a discount reflecting the difference between a price threshold and the relevant wholesale price. The price threshold for the scheme will be £99/MWh for gas and £185/MWh for electricity.
The discount will only apply to 70% of energy volumes and will be subject to a “maximum discount” of £40.0/MWh for gas and £89.1/MWh for electricity.
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Businesses may need to register for the higher level of ETII support and details on how to apply will be released in due course.
Chancellor Jeremy Hunt said: “Wholesale energy prices are falling and have now gone back to levels just before Putin’s invasion of Ukraine. But to provide reassurance against the risk of prices rising again we are launching the new Energy Bills Discount Scheme, giving businesses the certainty they need to plan ahead.
“Even though prices are falling, I am concerned this is not being passed on to businesses, so I’ve written to Ofgem asking for an update on whether further action is action is needed to make sure the market is working for businesses.”
Sharon Heal, director of the Museums Association, said: “We very much welcome the extension of this support over the next year and the recognition that not only are museums a vulnerable sector but that they are also playing a key role in supporting their local communities through this crisis.
“But even with this much needed support museums are still facing significant funding challenges. Local authorities are having to make tough decisions about spending priorities and this is putting museums and collections at risk throughout the UK. We need a strategic approach to funding from central government that puts local museums on a firm financial footing and secures their future beyond this current crisis.”