21 December 2005
Two thirds of the UK's brick-makers will extend their Christmas break in efforts to offset the costs of soaring wholesale gas prices, the Brick Development Association warned yesterday.
The announcement marks the first serious sign of the effects of Britain's current gas crisis on the working of the UK's industries.
Yesterday Hanson, which produces about 30 per cent of the UK's bricks, announced that it would cut production in four of its plants this January in an effort to push through the continuing gas price inflation.
"This is the most cost effective way to deal with the situation," Hanson spokesman Nick Swift told AFX news yesterday.
He continued: "The high costs of energy are putting companies' costs under pressure and putting them at a disadvantage compared to their European counterparts and making UK industry more competitive."
Cutbacks in North Sea production and a lack of storage space in mainland Britain have been blamed for the shortages, with some European countries also having been accused of hoarding supplies for the winter.
UK firms are currently paying more than double for gas than their European counterparts.
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