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UK growers warn of 1st April energy cost shock: Higher food prices “inevitable” without government action

The UK's protected horticulture sector has issued an urgent warning that a 60%-80% increase in electricity standing charges from 1 April (a further 60% by 2030) will force growers to raise prices or halt production, unless the Government intervenes within weeks.

The British Tomato Growers' Association (BTGA) and the Cucumber and Pepper Growers' Association (CPGA) say the April deadline is a hard cliff edge, with some glasshouse businesses facing up to £1 million per year in additional charges and in 2027 there will be a similar increase.

"We are weeks away from unavoidable price rises for British tomatoes, cucumbers and peppers," said Simon Conway, BTGA Chair. "If the Government doesn't act before the 1st of April, growers will have no choice but to pass these costs on or stop production altogether."

Conversations with Ofgem and Defra are progressing, but the 1st of April deadline is looming and fast action is essential to avoid a food inflation surge across the sector.

To be clear: without urgent Government intervention, the UK will lose its ability to grow its own protected Salads, gifting production to overseas competitors. The Netherlands has built a world‑leading protected horticulture sector because their energy policy supports investment and long‑term planning. The UK has the talent and the technology — but not the policy. If ministers want British growers to survive and thrive, they must act now. Delay any longer and we will permanently fall behind our European competitors and become increasingly dependent on foreign imports, commonly in water scarce Southern Europe or North Africa in the winter months.

The sector remains locked out of the Energy Intensive Industries (EII) exemption scheme due to outdated SIC codes, despite operating at energy intensities comparable to manufacturing sectors receiving a 90% discount.

Growers say the Government could fix the issue quickly by updating eligibility rules — a simple intervention that would immediately ease pressure on UK food production and help prevent further food inflation.

"This is a preventable crisis," Conway added. "Without urgent action, domestic production will shrink, imports will rise, and consumers will pay the price."

For more information:
British Tomato Growers Association
www.britishtomatoes.co.uk

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