Fears of tough times ahead as the energy crisis hits UK makers
Soaring energy costs are proving especially serious for craftspeople, as they await the government’s next moves
Sharpening a blade. Photo: courtesy Blenheim Forge
Makers whose work relies on energy-intensive processes, including glassmakers, ceramicists and metalworkers, are among those seriously affected by rising electricity and gas prices.
'It isn't really an option for us to turn off the forges,' said James Ross-Harris, a blademaker at Blenheim Forge in Peckham, London. 'Without our forges we cannot make knives.'
'The energy prices are especially serious for people working in blown glass,' said glass art duo Philip Baldwin and Monica Guggisberg. 'Both the gas increases and the electrical increases affect us directly.'
Baldwin and Guggisberg are prioritising the energy reduction at their remote rural studio in Powys, Wales. 'Our previous relaxed attitude toward energy use has given way to a whole new regime,' they said. By reorganising their way of working to be more efficient, they run their furnace for fewer months of the year. 'It is our goal to get our gas fees annually down to where they were before the increases,' added Baldwin and Guggisberg.
But there are limits to the efficiencies that can be made. Well aware of the energy-intensive nature of their work, the Peckham-based steelworks said it has already taken every step they can to reduce its energy consumption. 'There is very little more we can do to economise,' explained Ross-Harris.
For the metalworkers, the spike in electricity prices is a huge blow. Alongside the forges themselves, their making process require kilns, water heaters, and large pieces of machinery – all of which rely on electricity to run.
'Until six months ago electricity cost was not really something we would ever think about,' said Ross-Harris, who makes hand-forged knives at Blenheim Forge alongside Jon Warshawsky and Richard Warner. 'Now we have seen our bills increase five-fold.'
Like many other independent makers, it’s hard to find a solution that doesn’t involve raising prices. But passing the costs along to the customer in the volatile economic climate isn’t necessarily the solution. 'It’s difficult, especially as a lot of our customers work in the hospitality industry,' said Ross-Harris, 'which is another sector that has been heavily affected by the increase in energy costs.'
“Until six months ago electricity cost was not really something we would ever think about. Now we have seen our bills increase five-fold”
- James Ross-Harris
An emergency package introduced by the government from 1 October has temporarily capped energy prices, but the ongoing political crisis has only increased uncertainty.
Prime minister Liz Truss originally promised to freeze energy prices for two years, but that was scrapped after a disastrous response to ex-chancellor Kwasi Kwarteng’s mini budget. His hastily installed replacement Jeremy Hunt reneged on the offer, saying the government could only cap costs until April 2023.
The uncertainty only creates more headaches for makers – and the institutions trying to support them. 'Until we know more details about the government’s support plan for businesses, we're a little in the dark,' said Nicky Dewer, head of learning and skills at the Crafts Council.
Currently, the whole of Europe is facing a winter energy crisis. Russia’s invasion of Ukraine led to economic sanctions from the West, prompting retaliation from Russian president Vladimir Putin in the form of cutting off gas supplies.
A summer of extreme heat and the worst drought in 500 years reduced nuclear and hydropower output, and slowed the shipping of coal. In Venice, many venerable craft businesses have already been forced to close, with Murano’s glassblowers crippled by snowballing gas prices.
Of all Europe, the UK could be hit hardest. According to a recent report from the International Monetary Fund, the UK’s reliance on gas, and continued failure to insulate its buildings has left the country particularly vulnerable to rising prices. Brexit has also made exporting goods more expensive and complicated.
These pressures only add to the concerns of independent makers, especially those with multiple employees who also face rising energy bills at home – now alongside rocketing rent or mortgage payments, and inflation that is expected to peak at 11 per cent.
'This comes on the tail of such a lot of buffeting and change, and I think the worst problem for all sizes of business, and households too, is the uncertainty,' ceramic designer and business owner Emma Bridgwater told the BBC’s Today programme.
“This comes on the tail of such a lot of buffeting and change, and I think the worst problem for all sizes of business, and households too, is the uncertainty”
- Emma Bridgewater
Bridgewater explained that the anxiety of all this precariousness made it hard to function as a business – and as an individual. 'It feels as if something vertiginous is happening, and nobody knows where it’s going to end.'
Compounding all this are the already low wages for makers. A 2020 report from the Craft Council found that the majority of UK makers report profits of less that £30,000 a year.
'Income levels for craft makers are already low compared to the median annual salary in the UK,' said Crafts Council head of research Julia Bennett. '[We are] working actively to support businesses to survive the cost of living crisis – including the increase in studio energy costs – at a time when Brexit has increased export costs. We’re providing craftspeople with up-to-date information regarding exporting, surveying the sector to influence government policy around support packages, and sharing case studies from craft businesses.’
For some makers, the crisis has been an opportunity to grapple with the urgency of the climate crisis and the need for everyone – craftspeople included – to adapt.
'We believe it is important to treat these developments not as a catastrophe, but rather as an opportunity,' said Baldwin and Guggisberg. The challenges could encourage 'artists to be much more frugal and mindful as concerns both their gas and electricity consumption', they suggested. 'Perhaps planet Earth will say thank you into the bargain.'
There is some evidence of this already. Murano’s youngest glassmaker Roberto Beltrami has designed his own energy-saving heat recapture furnace to keep production running at his studio, Wave Murano Glass.
But for others, the crisis is clouding all vision of the future. 'It is impossible for us to plan ahead or invest in new equipment if there is the potential for these increases to continue,' said Ross-Harris. 'There are definitely some very tough times ahead for many independent makers.'