Following the Prime Minister's announcement of a comprehensive review of the UK's energy policy, David Frost, the Director General of the British Chambers of Commerce (BCC), said:

“We welcome the announcement of a comprehensive energy review. This is a crucial issue given rising demand, the threat of climate change and the UK's switch to becoming a net importer of oil and gas. In light of these conflicting pressures, the Government has tough decisions ahead to ensure we have sufficient, secure supplies of energy at affordable prices whilst considering environmental consequences.

“Businesses have already been feeling the pinch as a result of increases in energy costs of up to 100% over the last year. It is now a matter of urgency that the Government constructs a joined-up energy policy. It is vital that we establish a balanced long-term energy mix.

“Fossil fuels will continue to make a significant contribution. However, as we become more dependent on imported sources, this must be supported by alternatives. We must have an open and balanced assessment of nuclear power, so that the decision made settles the debate for decades to come. Nuclear power currently provides a fifth of all our power but all but one of our power stations are set to close by 2023. Until realistic and cost effective alternatives are available on a large scale, the Government cannot afford to duck this issue. We must also explore all of our other options including renewables and measures to encourage energy efficiency. This is a tough debate and we all know there is no simple solution.”