Gary Smith, head of the GMB union, has sharply criticized the UK government's Net Zero policies, warning they are leading to significant job losses in the manufacturing sector. Speaking at a Tony Blair Institute event ahead of a key government decision on the approval of the Rosebank and Jackdaw oil and gas fields in Scotland, Smith described the Department for Energy as increasingly becoming "the department for P45s," referring to the termination notices given to workers.
Smith argued that while union members generally support Net Zero goals and technological progress, they oppose the current energy policies because of their direct impact on factory closures and job cuts, particularly in the Midlands. He highlighted that the rising energy costs in the UK—among the highest in Europe—are a major factor undermining industrial competitiveness. According to Smith, the majority of energy consumption for heating homes and powering industry relies on gas rather than electricity, with four times more energy transmitted via gas pipelines than electric cables.
Emphasizing the practical challenges of transitioning to renewables, Smith stressed the necessity of maintaining gas power as a backup when wind and solar sources are insufficient. He warned that Labour’s energy agenda would face pushback from economic realities, engineering constraints, and voter sentiment. Smith cautioned that if energy costs remain elevated, it would be impossible to achieve reindustrialization, and attempts to separate gas and electricity costs are overly simplistic.
His remarks come amid broader debates on balancing climate ambitions with economic and employment considerations, particularly in regions historically reliant on fossil fuel industries. The government is set to decide soon whether to endorse new oil and gas exploration projects, a move seen by some as vital to ensure energy security and stable prices during the transition to cleaner sources.
