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UK Modern Industrial Strategy 2025-06-23
23 June 2025
Lead MP
The Secretary of State for Business and Trade Jonathan Reynolds
Debate Type
Ministerial Statement
Tags
EconomyTaxation
Other Contributors: 40
At a Glance
The Secretary of State for Business and Trade Jonathan Reynolds raised concerns about uk modern industrial strategy 2025-06-23 in the House of Commons. A government minister responded. Other MPs also contributed.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Government Statement
EconomyTaxation
Government Statement
Today I launch a strategy to make Britain the best place in the world to start and grow a business, based on a fundamentally new economic approach—a break from the declinism, dither and disinterest that defined the last Conservative Government. The strategy aims to rebuild Britain through new jobs, industries, and investments; it includes slashing electricity costs by 20-25%, launching an expanded supercharger scheme for electricity-intensive sectors, investing over £275 million in engineering skills, establishing industrial strategy zones to boost investment, and unlocking billions of pounds in business finance. The plan also aims to double business investment in advanced manufacturing, turbocharge clean energy missions with investments in offshore wind, small modular reactors, carbon capture, green hydrogen, ports, and green steel. It seeks to make the UK one of the top three places for creating and scaling digital and technology businesses by training 1 million young people in tech skills and expanding AI research resource by at least twentyfold by 2030. The strategy also plans to double business investment in professional and business services, transform the UK into a defence industrial superpower by 2035, and ensure free trade and fair resilient trade.
Robert Jenrick
Con
Wellingborough
Question
Does the Minister agree that there is a very real risk of the strategy being perceived as just another Whitehall initiative that will fail to deliver results? How can he ensure that this strategy has the necessary focus and commitment?
Minister reply
The Government's approach is fundamentally different from previous initiatives, focusing on stability and long-term vision. The Industrial Strategy Advisory Council will be placed on a statutory footing, ensuring continuity and prioritisation of industrial policy.
Mark Fletcher
Con
Sherwood
Question
Does the Minister recognise that if this strategy is to succeed, it must also address skills shortages in engineering, particularly for young people from underprivileged backgrounds? How does the Government plan to tackle these challenges?
Minister reply
The strategy includes an investment of over £275 million in engineering skills and a new approach to technical education. It will help create good jobs and ensure that every constituent can benefit.
Ian Levy
Con
Crawley
Question
Does the Minister agree with me that if we are truly going to level up across the country, the Government must be more supportive of areas such as Crawley? How is the strategy addressing regional disparities?
Minister reply
The new industrial strategy will ensure that all regions can play to their strengths. It includes measures such as industrial zones and investment in infrastructure like rail enhancements in Wales.
No extracted contribution text available for this contributor yet.
Liam Byrne
Lab
Birmingham Hodge Hill and Solihull North
Question
I congratulate my right hon. Friend on the biggest remaking of the relationship between the public and private sectors for a generation... Cutting industrial energy prices is a way to get rid of the albatross around the neck of British business. It is a big promise; can he assure the House that there is both the plan and the pound notes to deliver on it?
Minister reply
On skills, one in eight young people are not in education, employment or training, while net immigration is at 1 million... The small business plan will come out in July, and it will deal with issues such as late payment, business support and access to the kinds of tools—rental auctions and so forth—that will make a difference on the high street...
Sarah Olney
LD
Richmond Park
Question
What steps is the Secretary of State taking to ensure that small businesses across sectors have access to better energy deals? Will he look to bring forward the industrial competitiveness scheme from its current two-year horizon?
Minister reply
I want to see action as quickly as possible, especially on existing schemes like supercharger. However, the industrial competitiveness scheme requires legislation and may take more time depending on co-operation in the House.
Question
N/A (Minister's own statement)
Minister reply
I welcome my hon. Friend’s comments. The strategy recognises pressure on sectors like ceramics through energy prices, with a focus on eligibility for the British industrial competitiveness programme.
David Williams
Lab
Stoke-on-Trent North
Question
What does the industrial strategy mean for traditional and advanced ceramics companies?
Minister reply
The strategy includes foundation sectors like ceramics, which would benefit from a proper process to assess thresholds and eligibility for the programme.
Martin Vickers
Con
Brigg and Immingham
Question
Will he give an assurance that production of virgin steel will continue in Scunthorpe? Will he work with North Lincolnshire council on redevelopment plans?
Minister reply
We have taken measures to save jobs, including running the plant at full capacity and working towards a bright future for the steel sector based on the policy environment we are putting in place.
Chi Onwurah
Lab
Newcastle upon Tyne Central
Question
How might the north-east benefit from doubling business investment by 2035?
Minister reply
The north-east will benefit from increased capacity of British Business Bank, UK Export Finance, and a comprehensive offer including finance for innovative start-ups to mature businesses.
Question
Responds positively to the industrial strategy and commits to providing specific information on local funding. Acknowledges the advanced manufacturing R&D budget and long-term plans in sectors such as quantum, aerospace, and clean energy.
Minister reply
Reiterates support for the industrial strategy and acknowledges the need for consistent assurance and investments.
Antonia Bance
Lab
Tipton and Wednesbury
Question
Welcomes the industrial strategy, highlights investment in Eku Energy’s battery energy storage system, and seeks more details on action to reduce high energy prices.
Minister reply
Acknowledges the birthplace of the industrial revolution debate, promises quick implementation of actions where possible while consulting for certain decisions. Emphasises the importance of certainty for businesses.
Maidenhead
Question
Asks if businesses know where public finance’s front door is and whether it is as simple as it could be.
Minister reply
Welcomes the question, discusses the devolved landscape of organisations like Innovate UK and Invest Northern Ireland. Focuses on addressing scale-up issues in the UK economy.
Luke Charters
Lab
York Outer
Question
Highlights the persistent scale-up gap for defence SMEs, welcomes increased NSSIF funds but asks to clear up red tape.
Minister reply
Commits to doubling the amount of the defence budget going to SMEs, rising to £2.5 billion a year. Encourages collaboration on removing any regulatory barriers.
Kit Malthouse
Con
North West Hampshire
Question
Critiques past industrial strategies and urges for risk-taking measures like entrepreneurs’ relief and tax cuts.
Minister reply
Acknowledges the number of recent strategies, discusses the need to balance regulation with economic growth. Emphasises competitive tax rates but seeks supply side tools and consistency.
Rachel Taylor
Lab
North Warwickshire and Bedworth
Question
Highlights Horiba Mira's visit and apprentices’ opportunities.
Minister reply
Commits to delivering opportunities for young people and manufacturing industries in North Warwickshire and Bedworth.
Moray West, Nairn and Strathspey
Question
Critiques UK Government’s strategy towards Scotland and highlights Scottish Government's success.
Minister reply
Responds negatively to the question, highlighting clean energy opportunities, supercomputer in Edinburgh, tech and digital advancements, creative industries, net zero ambition, and reduced industrial energy bills for Scotland.
Johanna Baxter
Lab
Paisley and Renfrewshire South
Question
Welcomes the doubling of business investment by 2035 and £4.3 billion funding for advanced manufacturing sector in Scotland, asks how he will work hand in hand with the devolved Administration to ensure tailored delivery.
Minister reply
Acknowledges benefits for constituents, commits to working closely with Holyrood despite limitations due to devolution.
Witney
Question
Questions impact of leaving EU’s customs union and single market on UK GDP, exports down 13% since trading co-operation agreement took effect.
Minister reply
Explains decision taken at referendum time, argues against revisiting past decisions, highlights benefits of India trade deal.
Rachel Hopkins
Lab
Luton South and South Bedfordshire
Question
Asks about aligning skills provision with high-growth sectors such as advanced manufacturing and clean energy.
Minister reply
Commits more funding into courses, flexibility for technical colleges, ensuring availability across UK.
David Reed
Con
Exmouth and Exeter East
Question
Inquires about Ministry of Defence’s role in compilation of modern industrial strategy.
Minister reply
Welcomes the question, states MoD has been a partner in defence industrial strategy closely aligned with strategic defence review.
Sonia Kumar
Lab
Dudley
Question
Asks about measures to ensure towns like Dudley receive fair share of economic regeneration and job creation.
Minister reply
Appreciates the question, outlines range of tools available for local economic plans and inward investment.
Gregory Campbell
DUP
East Londonderry
Question
Enquires about flexibility of modern industrial strategy in relation to towns fund.
Minister reply
Highlights parts of skills package allowing short courses, more flexibility for foundational apprenticeships.
Anneliese Dodds
Lab/Co-op
Oxford East
Question
Welcomes reduction in energy costs and asks about incentivising domestic electric vehicle production.
Minister reply
Commits to changes in ZEV mandate, reviews consumer demand in sector.
Mid Sussex
Question
Asks for advice on accessing more markets for Consort Frozen Foods.
Minister reply
Explains support through business growth service and digitisation of interactions with UK state.
Constituency Not Specified
Question
Responds to concerns raised by other MPs about the industrial strategy's impact on specific sectors and regions, providing assurances that the strategy will support foundational industries like ceramics through BICS despite current limitations in immediate energy price assistance. He also highlights planned R&D funding commitments for Wales, life sciences initiatives, vocational training improvements, hospitality sector growth opportunities, critical minerals investment in Cornwall, and technology workforce development.
Minister reply
Provides detailed responses to each MP's concerns, emphasising the strategy's comprehensive approach across various sectors including ceramics, Welsh R&D funding equity, support for Macclesfield's life sciences sector (AstraZeneca), Harrogate college's technical training needs, Rochdale Training's apprenticeship initiatives, hospitality industry growth in Bedfordshire, Cornwall’s critical minerals ecosystem, and the tech workforce development as outlined in the Lovelace report.
Question
The hon. Gentleman welcomes the news that more than 7,000 British businesses are set to see their electricity bills slashed by up to 25% by 2027 but calls for a reduction in corporation tax specifically for Northern Ireland.
Minister reply
Acknowledging the complexities of trade policy and the Windsor agreement for Northern Ireland, the Minister states that while UK corporation tax is already lower than any G7 country, he understands the competitive pressures businesses face near the Irish border. He commits to working closely with colleagues in the Northern Ireland Executive to ensure consistent and coordinated benefits.
Luke Myer
Lab
Middlesbrough South and East Cleveland
Question
Welcomes the focus on Tees Valley’s clean energy sector, which currently represents 8,800 jobs and is expected to scale up significantly. Asks when a clean energy workforce strategy will be published and what steps the Government will take to align skills into the future.
Minister reply
Acknowledges that the modern industrial strategy provides a framework for other departments to filter their policy decisions through. The Home Office, for instance, is publishing exemptions to the skilled worker visa in relation to sectors set out in the strategy. Regarding the clean energy workforce strategy, no specific timescale was provided but colleagues will write to him about it.
Joani Reid
Lab
East Kilbride and Strathaven
Question
Welcomes the ambitious industrial strategy and long-term thinking that differs from previous governments. Requests reassurance for constituents that this time, the strategy will deliver growth and jobs.
Minister reply
The Minister emphasises that past documents lacked real measures behind them, whereas this strategy has clear measures and funding in place across energy, finance, and skills to create conditions for private sector success.
Derby North
Question
Highlights the 9% of secondary vocational learners studying engineering compared with the OECD average of 32%, welcomes the £100 million investment in engineering skills, and asks how that funding will help to meet skills shortages.
Minister reply
Acknowledges Derby’s strong pedigree in engineering skills and adds funding from his Department to support engineering courses. The strategy aims to increase capacity in technical excellence colleges and improve course availability across the country.
Amanda Martin
Lab
Portsmouth North
Question
Welcomes the comprehensive UK modern industrial strategy that is an investment in Britain, British people, and businesses. Asks how “Invest 2035” can work alongside future devolution to unlock growth, investment, skills, and jobs for Portsmouth businesses and residents.
Minister reply
The Minister highlights that increased defence spending will see real economic benefits for the country. He mentions measures in the strategy for local areas with mayoral leads on innovation and successful examples from Greater Manchester and the West Midlands.
Alan Strickland
Lab
Newton Aycliffe and Spennymoor
Question
Welcomes the industrial strategy, specifically asks about high-tech SMEs in regions like the north-east. Asks how this strategy will support these businesses.
Minister reply
The Minister acknowledges interest in success stories from the north-east of England. The strategy provides provisions on access to finance for high-tech SME clusters and dedication of resources from the defence budget, aiming to boost such businesses over the next few years.
Melanie Ward
Lab
Cowdenbeath and Kirkcaldy
Question
Welcomes the modern industrial strategy, particularly for Scotland. Asks how this strategy will support the chemicals industry and jobs it supports.
Minister reply
The Minister acknowledges conversations with his right hon. Friend about high gas prices affecting crackers in Scotland and recognises the chemicals sector as a key foundational sector in the strategy.
Lola McEvoy
Lab
Darlington
Question
Welcomes the finance solutions and energy subsidies provided by the industrial strategy, asks how this will lead to more highly paid, skilled job opportunities.
Minister reply
The Minister acknowledges Darlington's history of making world-class products and exports. He commits to supporting industries like Hitachi at Aycliffe and the Centre for Process Innovation in Darlington, aiming to protect jobs and create new opportunities.
Alex Baker
Lab
Aldershot
Question
I congratulate the Secretary of State on the ambition of this industrial strategy and invite him to visit Cody technology park in Farnborough, which is home to world-class defence and aerospace innovation. What role does he see for places such as Cody, which are already contributing but have the potential to do even more to help to create jobs and fire up our industrial base?
Minister reply
I thank my hon. Friend for her question; I was very proud of the work we did with Hitachi. The strategy addresses tariffs, the Drive 35 programme, energy costs, and the ZEV mandate to support better-paying jobs in every part of the UK.
Sarah Coombes
Lab
West Bromwich
Question
The Black Country has been an industrial powerhouse for hundreds of years. Will the Secretary of State set out how this 10-year plan for industry will support Black Country manufacturing businesses with lower energy prices and upskill the next generation of people for these highly skilled, well-paid jobs? Would he like to visit one of my brilliant businesses in West Bromwich?
Minister reply
I certainly would love to visit; I am happy to commit to that. There is funding for lower energy costs, skills for young people, access to finance, and expanding Made Smarter, which will make a difference to her area.
Allison Gardner
Lab
Stoke-on-Trent South
Question
The industrial strategy recognises the role of ceramics as a key foundational industry. Will the Secretary of State set out what specific support is planned to aid the ceramics industry, not only in managing its energy costs but in supporting its decarbonisation?
Minister reply
I thank my hon. Friend for her question; the ceramics sector faces more challenges with decarbonisation than some other sectors, and we have committed to reviewing the energy-intensive industries compensation scheme.
Scott Arthur
Lab
Edinburgh South West
Question
There are 16 mentions of Scotland’s capital city in the industrial strategy. Can the Secretary of State say more about how he will work across Government to ensure that universities will not face pressures and support innovation?
Minister reply
Universities play a huge role in innovation and are at the heart of our approach to economic success across the UK.
Jacob Collier
Lab
Burton and Uttoxeter
Question
My constituency boasts some of the nation’s most energy-intensive industries. Can the Secretary of State say more about how he will work across Government to ensure that manufacturers and brewers will not be paying champagne prices for power?
Minister reply
I recognise that there are regulatory issues, particularly in relation to extended producer responsibility; I am always keen to work with colleagues across Government to provide answers to his questions.
Tom Collins
Lab
Worcester
Question
How will this strategy help businesses across the country to bridge the valley of death and grow in this decade of renewal?
Minister reply
There are specific funds to support innovation: £500 million has been allocated for innovation, which will be split among areas up and down the country. The access to finance provisions will also apply to his constituency.
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