Make UK Statement on Industrial Strategy launch and one pager
The government has published its long-awaited Industrial Strategy. Please find Make UK response below.
Digital and Technologies Sector
Clean Energy Industries Sector Plan
And more to come.
Commenting on the publication of the industrial strategy, Stephen Phipson, CEO of Make UK, said:
“Today is one of the most important days for British industry in a generation. In launching the modern industrial strategy white paper, Jonathan Reynolds has demonstrated the Government’s commitment to honour its promises and tackle the major structural problems that have blighted UK manufacturing for so long and we congratulate him for doing so.
“Make UK has led the campaign for a new industrial strategy for many years, highlighting the three major challenges that were diminishing our competitiveness, hampering growth and frustrating productivity gains: a skills crisis, crippling energy costs and, an inability to access capital for new British innovators.
“The Government has listened and the Secretary of State has acted decisively with a joined up strategy which reflects a wider commitment from the Prime Minister and Cabinet alike. The strategy announced today sets out comprehensive and well funded plans to address all three of these structural failings. Clearly there is much to do as we move towards implementation but, this will send a message across the Country and around the world that Britain is back in business.”
Commenting on the Advanced Manufacturing Sector Plan, Lord Richard Harrington, Make UK Chair said:
“We fully endorse the Government’s ambition to be the best place in the world to start, grow and invest in Advanced Manufacturing and welcome the Sector Plan as the first step to boosting investment in our innovative sector. Today’s Plan sets out how Government will work with industry to help our businesses become more resilience, boost exports and upskill the people it needs for the future. The focus on place-based initiatives through Advanced Manufacturing clusters will ensure that more regions across the country will benefit from the jobs and wealth creation that manufacturers deliver for their region.”
On measures to reduce the cost of energy, Ben Fletcher, Chief Operating Officer, said:
The Government has today listened to Make UK’s concerns that industrial energy prices need to be dramatically reduced in line with international competitors. All eyes will now be on the consultation which will set an energy intensity threshold for those companies that will be eligible for these lower rates. With over a quarter of manufacturers saying that electricity costs alone make up 11-25% of their total business costs it’s clear that the manufacturers need to be in scope. We will be pushing hard on ensuring that all of the manufacturing sector receives this support and Government moves at pace on the consultation and importantly the implementation.
On skills, Verity Davidge, Director of Policy at Make UK, said:
“We know that the foundation of any successful Industrial Strategy is people. Make UK strongly welcomes the Government’s investment into engineering, and its commitment to reducing the skills gap in our sector. In supporting provision for both recruitment and upskilling, this is a promising start to filling the nearly 50,000 existing vacancies in manufacturing.
Looking ahead, it is critical that Government develops a long-term vision for skills in the sector, ensuring that all contributions made by employers can be used by employers for both the Growth and Skills Levy and the Immigration Skills Charge, and delivering the crucial funding reforms to ensure the training market is equipped and funded to train the next generation of manufacturers.”
On measures to improve access to finance, Seamus Nevin, Chief Economist, said:
“Access to external finance is one of the biggest barriers to growth for small and medium-sized enterprises (SMEs). SMEs make up 99% of the UK economy, so this longstanding challenge has significantly held back the UK economy.
“Today the government has taken decisive action. This announcement of new incentives, backed by an additional £7 billion in funding for the British Business Bank, marks a major step forward to support more UK businesses to invest, scale up, and seize new market opportunities — unlocking the full potential of innovative manufacturing companies to transform and grow.”
