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UK solar industry loses over 50% jobs due to subsidy cuts

UK solar industry loses over 50% jobs due to subsidy cuts
Pic credit: theguardian

By BizLED Bureau

June 29, 2016: The UK solar industry has lost more than 50% of its entire workforce of 35,000 due to the recent changes in the energy policies laid down by the government, according to recent reports.

Even though it was obvious that the new policy changes would result in subsidy cuts, some industry analysts believe that the implemented cuts were more than excess and also the execution was carried out way too earlier than expected.

Fall of solar companies

Following the quick and unexpected cuts, several solar companies in UK have collapsed as there was no time to react on the changing situations. Solar Cloth Company and Solarlec are among the many firms that have collapsed due to the subsidy cuts.

UK solar industry loses over 50% jobs due to subsidy cuts

Solar Trade Association (STA), which represents the industry, pointed out that it was collecting precise statistics to be published in the near future. However, experts have estimated that almost 18, 000 jobs have been lost in less than 12 months.

The solar industry was extremely hard hit and a number of companies were either altering their business models or heading out of the nation, according to STA. Probable job losses are often a chief point of focus when bearing in mind policy changes, but the circumstances seems to have been a bit altered concerning solar industry.

Move to cut power bills and support low-carbon measures

The main concern is to keep power bills as minimum as possible for both business houses and domestic purpose, at the same time supporting low-carbon measures that symbolize value for money. The price of solar has progressively declined since the last decade and it is accurate that as this comes down so should the customer -funded support, according to the Department of Energy and Climate Change.

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Industry experts pointed out that solar has profited from amazingly generous subsidies and it was extremely surprising to see such unbelievable growth rates. It has been rather seismic for a nation that was attaining a smidgen of power from renewable but the cuts have been really dramatic and fast.

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