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Renewed calls are being made for the UK government to implement a comprehensive industrial plan aimed at attracting much-needed investment and mitigating the adverse effects of Brexit. Manufacturing organization Make UK has issued a stark warning, stating that failure to put in place a coordinated strategy focusing on technology, robotics, renewables, and training could result in the loss of billions of pounds in foreign investments.
The urgency of the situation cannot be overstated, with Make UK’s Chief Executive Stephen Phipson emphasizing the need for immediate action. He revealed that international companies are hesitant to invest in the UK due to the uncertainty surrounding the country’s industrial strategy. Without a clear plan in place, these potential investors are withholding billions of pounds, which could otherwise flow into the UK economy.
Phipson, who represents major players in the manufacturing sector such as Rolls-Royce, Siemens, Airbus, Tata, and Jaguar Land Rover, is set to meet with Chancellor Rachel Reeves to discuss the pressing need for an industrial plan. He is also expected to raise concerns regarding the shortcomings of the Brexit trade deal negotiated by Lord Frost, which he described as “terrible” for British industry.
The lack of a robust industrial strategy since 2010 has left the UK lagging behind in crucial areas such as renewable energy and robotics. Phipson pointed out that despite ambitious climate targets, the UK still lags behind its European counterparts in terms of robot utilization and manufacturing capabilities. The country currently has only one battery factory, highlighting the urgent need for investment in these critical sectors.
The introduction of the Catapult Networks in 2010 helped propel the UK to the forefront of advanced manufacturing and innovation. However, subsequent governments have failed to build upon this momentum, resulting in a stagnation of industrial progress. Phipson criticized the recent “short advanced manufacturing plan” implemented by Kwasi Kwarteng, which he claimed did not provide the certainty needed to attract major companies to the UK.
In addition to technology and innovation, Phipson emphasized the importance of a skilled workforce to drive industrial growth. He highlighted the need for a comprehensive skills agenda and investments in education to equip workers with the necessary expertise to meet the demands of a rapidly evolving industry. Moreover, he called for upgrades to the national grid and cited the disappearance of cable and transformer producers as evidence of neglected sectors requiring attention.
Brexit has posed significant challenges for the manufacturing sector, with Phipson describing it as a “disaster” that necessitates major policy reforms. He criticized the absence of provisions in the Brexit trade deal that would enable seamless cross-border manufacturing, citing the impact on supply chains and production processes. The lack of regulatory alignment with the EU has created barriers to trade and hindered the flow of goods and services between the UK and its European partners.
As the UK navigates a post-Brexit landscape, the importance of a robust and forward-thinking industrial plan cannot be overstated. Make UK’s urgent call for action underscores the need for decisive government intervention to attract investment, drive innovation, and secure the future of British industry. Failure to act swiftly could result in a lost opportunity to position the UK as a global leader in technology, manufacturing, and renewable energy.
