Hull could be one of cities most impacted by Middle East energy crisis
Energy prices are rising around the globe due to Iran’s blockade of oil from the Gulf in the Strait of Hormuz.
Jobs in Hull are some of the most exposed to the energy shock caused by the Middle East conflict, a new report has found.
Analysis by Centre for Cities has broken down the shares of jobs in energy-intensive industries – such as steel, electronics and pharmaceuticals – in each of Britain’s 62 largest cities and towns.
In Hull, more than 8,000 jobs are in such industries, which is around one in 15.
This is the sixth highest level in Britain, with Derby and Sunderland topping the list.
Hull has a major chemical cluster in Saltend, which includes the Ineos Acetyls business.
The south bank of the Humber also includes two of the UK’s four main oil refineries. The region is the UK’s biggest carbon emitter.
Yunze Wang, analyst at Centre for Cities, said: “The impact of disruption to energy supplies is felt differently throughout the UK.
“The higher share of local jobs there are in energy-intensive industries, the more concern there will be locally about the energy price shock and the Government’s response.
“Hull is one of the places in the country most affected as manufacturing jobs make up a large part of the local economy.
“It has 10 times as many jobs in energy-intensive industries as York, with a similar-sized workforce.”
Iain Harris, managing director of the Humber Energy Board, said: “Securing a long-term future for industry in the Humber alongside creating thousands more jobs in the region requires significant private investment and that can only be unlocked with policy certainty.
“Our plan to re-energise the Humber sets out the steps we believe the Government should take to deliver this, by designating the region as the first hydrogen infrastructure network and to push forward with carbon capture and storage delivery.”
Energy prices are rising around the globe due to Iran’s blockade of oil from the Gulf in the Strait of Hormuz.
Yesterday, the Islamic Revolutionary Guard Corps (IRGC) fired at three container ships travelling through the Strait.
Households will not see the impact of this until July, as they are protected by the price cap, however businesses are not.
Rachel Reeves recently announced that 10,000 energy intensive businesses would have their electricity bills cut by up to 25 per cent.
She said: “This Government has the right plan for the economy: backing British industry, cutting electricity costs, and building a stronger, more resilient future.”