Aerospace Industry Under Pressure: Energy Costs and Market Challenges in 2024

In this episode of the North West Aerospace Alliance News, Emma and Daniel delve into the pressing issue of escalating energy prices and their profound impact on the UK aerospace industry. With electricity costs for businesses in the UK now the highest in the developed world, the conversation explores how this surge is affecting major aerospace players such as BAE Systems and Rolls-Royce, based in the North West. Daniel highlights a 124% increase in electricity prices over five years, creating a challenging environment for long-term planning and competitiveness. The discussion also examines the insights from Enexus Energy regarding the 2024 outlook, revealing that UK energy prices remain four times higher than in the US, further complicating the global market position for UK aerospace. Emma and Daniel discuss the broader implications for the industry and the actions being taken by the North West Aerospace Alliance to support its members. Tune in to understand the challenges and the potential pathways forward for the aerospace sector in the UK.