A government minister has been accused of 'making things up' in an extraordinary briefing war after claiming he was in talks with the Treasury over high energy prices.
Business Secretary Kwasi Kwarteng yesterday said he was looking to see whether 'existing support' was 'sufficient' despite warnings that some factories could shut in weeks.
But in a shocking rebuttal, the Treasury accused him of 'making things up' by claiming its departments were in talks about helping industry.
Mr Kwarteng told Sky News he was 'constantly' in conversation with the Treasury to see what support can be given to manufacturers and energy firms.
Business Secretary Kwasi Kwarteng has been accused of 'making things up' in an extraordinary briefing war after claiming he was in talks with the Treasury over high energy prices
The Business Secretary said he is 'convinced' the nation 'will have full energy supply' in the colder months but he could not give a cast iron assurance. Wholesale gas prices have spiked in recent months
But a Treasury source hit back, saying: 'This is not the first time the [Business] Secretary has made things up in interviews. To be crystal clear, the Treasury are not involved in any talks.'
When he appeared on Times Radio after the Treasury's comment, Mr Kwarteng insisted there were 'lots of conversations' taking place with Treasury - although he had not 'asked him (Rishi Sunak) for anything'.
Firms have slammed ministers for failing to help protect companies from an energy price shock that could see factories shutting down within weeks.
Heavy-industry leaders, covering steel, brick manufacturing, chemicals, ceramics and papers, are furious at the inaction.
UK Steel director general Gareth Stace warned of possible 'long-term damage' to the industry. He said: 'Currently, UK steel-makers face energy prices five times higher than the average of last year, in addition to remarkable price volatility.
The surge in wholesale gas prices has already forced many small suppliers in the UK out of business
'As such, longer and more frequent pauses in production are becoming a fact of life. These circumstances are simply not sustainable for the sector.
'We urge the Government to take action, as has been done in Italy and Portugal, to support the sector.'