The funding for an organisation which advises companies on how to access cheap energy has been cut by over 50 per cent, according to the Times.
Envirowise received over £20 million last year, but this year the figure has been reduced to under £10 million, while other environmental organisations such as the Carbon Trust and the Energy Savings Trust have also been affected.
With total cuts amounting to almost £70 million, the credibility of the government's claim that it is prioritising environmental concerns could be under threat.
Greg Clark, the Conservative energy spokesman, told the paper: "What the market needs is long-term certainty. This sort of stop-start funding is anathema to any business trying to establish itself in these key industries."
A spokesman for the Department for Environment, Food and Rural Affairs said that resources are being channelled into promoting reasons why businesses should change their practices, rather than funding specific business projects.
In addition, the chancellor recently unveiled new funds in his Budget report.
The government recently announced plans to insulate every home in the UK.
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