One in four British manufacturing companies have moved, or are considering moving, some of their operations abroad due to high energy costs in the UK, according to new research.
A survey by industry lobby group Make UK found firms are taking the step due to domestic energy costs making them "uncompetitive".
The data shows 10% of firms have already started outsourcing production overseas, while another 16% are exploring the possibility of doing the same.
The Times reports the majority of manufacturers looking to outsource production overseas are targeting Asian countries like China and South Korea where industrial energy prices are lower.
Make UK Chief Executive Stephen Phipson said: “We’ve got the highest energy costs in the world.
“A year ago, the big trend was onshoring and bringing back supply chains to the UK. Now [companies] can’t use UK suppliers because they’re too expensive so they’re going overseas.
"We are seeing quite a flight from UK manufacturing because we’re uncompetitive. We need the government to step in now.”
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