Because of planned cuts to subsidies, some 576 jobs in the solar industry have been axed and 1,600 more are at risk, a trade body has found.

The industry has been hit by a series of government plans aimed at cutting financial support to renewable energy. In July, the government proposed an 87% cut to the feed-in-tariff – the key subsidy which supports domestic and commercial rooftop solar and some small solar farms. It has also proposed to exclude solar from the Renewables Obligation, a scheme which supports larger-scale projects. The solar industry insists it can, by the end of this Parliament, compete without subsidy for rooftop solar if support is tapered off slowly.

Despite the planned cuts, Energy Secretary Amber Rudd has said that she believes the solar industry will "continue to thrive". The government believes the technology is almost ready to stand on its own feet without subsidy.

But the ultimate impact of the subsidy cut will depend upon the level at which it is set. A decision is due within the next month. "Our priority is to keep bills as low as possible for hardworking families and businesses, while reducing our emissions in the most cost-effective way", DECC said. "We have engaged extensively with industry and the public via the Feed-in Tariff consultation and we intend to publish a Government Response later in the year."

Source: BBC