Business Secretary Addresses Budget Speculation Concerns
UK Business Secretary Peter Kyle has issued a formal apology for the widespread speculation surrounding the upcoming Autumn Budget, acknowledging that the rumours have become a significant distraction for businesses. Speaking to Times Radio on Monday, November 24, 2025, Mr Kyle expressed understanding about how the ongoing speculation is affecting economic stability.
"I'm not apologising on behalf of the people who are reporting on the speculation, because that would be absurd," Mr Kyle stated. "What I can apologise for is the fact that there has been so much speculation. I understand that it's a distraction, but it is speculation and the reporting of such. I'm here to talk about the facts of the economy right now."
Major Energy Cost Reduction Initiative
In a significant move to support British industry, Mr Kyle revealed plans to substantially reduce electricity bills for approximately 7,000 companies across the UK. The proposal, which will be formally outlined at Monday's Confederation of British Industry (CBI) conference, aims to cut energy costs by 25 percent for businesses in high-growth sectors including automotive and aerospace.
Speaking to Sky News, the Business Secretary described the current energy system as "incredibly difficult and complicated" while emphasising the competitive benefits of the new initiative. "It will bring us much more into line with the EU average for costs. It won't get there entirely, but we'll start moving in that direction," he explained.
The government will launch an eight-week consultation to determine which companies will qualify for the energy cost reduction scheme. Mr Kyle highlighted that this measure would enhance Britain's competitiveness and help businesses leverage the "three great trade deals that we've struck in the last year."
Expanded Investment Through British Business Bank
Alongside the energy cost reductions, Mr Kyle will announce plans to significantly increase investment activities through the state-owned British Business Bank. According to government estimates, these proposals are expected to benefit approximately 180,000 British firms and contribute an additional £68 billion in Gross Value Added (GVA) to the economy over the next five years.
The CBI conference, where these announcements will be formally made, will also feature Conservative leader Kemi Badenoch as a speaker. These developments come at a crucial time, just two days before the Chancellor's Autumn Budget announcement and following recent revelations that UK government borrowing exceeded forecasts in October.
The timing of these measures reflects growing concerns about economic pressures, with benefits and public sector wages reportedly increasing strains on public finances. Mr Kyle's dual approach of addressing budget speculation while announcing concrete support measures demonstrates the government's effort to stabilise business confidence during uncertain economic conditions.
