Critical Minerals: Domestic Production

Alistair Strathern Excerpts

Tuesday 3rd December 2024 Westminster Hall

[Perran Moon]

I thank my hon. Friend for that intervention and wholeheartedly agree with him. As I will mention later, although I am Cornish and focus on Cornwall, there are benefits to be had throughout the United Kingdom.

Relying unreservedly on international supply chains increases our global carbon emissions and means we cannot ensure a higher level of environmental care and social standards in the extraction and processing of these materials. To mitigate that dependency and build secure localised supply chains, including for electric vehicle batteries, investment in domestic extraction and processing is essential. Establishing our domestic industry would also aid our export capabilities.

Our significant lithium reserves could be upstream of a developed battery industry, in turn feeding into the demand for electric vehicles, which is predicted to increase by 30 times up to 2050. The EU is the main export market for UK cars. In 2027, EU rules of origin will come into force, mandating that 65% of the value of a battery must originate in the EU or UK, or there will be significant additional costs. Developing domestic industry will keep our exports compliant with those rules and will keep us protected against any other rules on environmental credentials.

Let us consider the critical mineral resources that the UK possesses. From my own constituency in the heart of Cornwall to Pembrokeshire in Wales, County Durham, Cumbria, County Tyrone in Northern Ireland and the central highlands of Aberdeenshire, the UK is littered with critical mineral potential. Most significantly for the green transition, we find reserves of lithium, tin and tungsten in economically viable quantities.

We should also appreciate that those key areas have been mined historically and are all areas of significant socioeconomic deprivation. If we can create an environment for a domestic industry, there is significant potential for wealth to be held in those communities in the form of good, well-paid jobs. I would like to discuss the particular opportunities in Cornwall, with which I am most familiar.

[Alistair Strathern (Hitchin) (Lab)]

My hon. Friend is making a compelling case, not just for the national security implications of critical minerals, but for the welcome huge economic benefits. Given that, does he welcome the Government’s commitment to bring forward a new strategy for critical minerals security? Does he agree that that would bring benefits, not just for the regions blessed with the minerals in natural supply, but for companies such as Panther Metals in my constituency, which will be able to deliver a big part of the national supply chain in future?

[Perran Moon]

I thank my hon. Friend for his intervention and wholeheartedly agree, once again, with the desire for the Government to focus on critical minerals, hopefully developing the critical minerals strategy as a core part of the UK’s overall industrial strategy. I will talk more about that later.

Beneath Cornwall lies a mass of granite rock called the Cornubian batholith—that is harder to say at 9.40 am than one would think—in which lithium-bearing mica was discovered in 1825. In recent years, the extraction and processing of that resource has been developed by two enterprises: Imerys British Lithium and Cornish Lithium, as mentioned by my hon. Friend the Member for Basingstoke (Luke Murphy). Significantly, the UK lithium demand is projected to be 80,000 tonnes a year by 2030, with geological reserves in Cornwall covering a significant proportion of that demand over the next few decades. I point out that even though demand is projected at 80,000 tonnes a year, we currently have no domestic supply.

Both companies have received significant investment, and just this year Cornish Lithium opened its first processing facility, refining battery-grade lithium hydroxide, locally in Cornwall. These companies constitute not potential on the horizon, but enterprises employing hundreds of people, generating wealth, developing technologies and working with communities and academics.

The potential in Cornwall is underpinned by a rich depth of mining heritage over thousands of years, with an economic peak in the 19th century, when tin was mined on an industrial scale, before the price collapsed and jobs moved to other places around the world. The last tin mine closed at South Crofty, in the heart of my area of Camborne, Redruth and Hayle, in 1998. When it did, the following words were graffitied on the closed gate:

“Cornish lads are fishermen,

And Cornish lads are miners too,

But when the fish and tin are gone

What are the Cornish boys to do?”

Today, a firm called Cornish Metals is working to reopen South Crofty tin mine; it is draining it of water as we speak, so that work can start again to meet the severe supply shortages of tin worldwide that the global economy now faces. I have been down South Crofty mine myself and, although it must be said that I am not a geologist, I am convinced that the objectives of Cornish Metals can and must be achieved. Lithium gets a lot of deserved attention because of its use in lithium-ion batteries, but tin is as crucial to modern technologies and electrical infrastructure such as solar panels. Cornwall hosts the third highest-grade tin deposits in the world, and it is the highest grade of tin deposit that is not currently mined.

South Crofty and much of Cornwall more generally represent a unique blend of ancient mining heritage, geological reserves and community support. That comes alongside a cluster of companies and expertise in and around educational institutions such as the world-leading Camborne School of Mines and the University of Exeter, based in Penryn, which has more top 100 climate scientists than any other university in the world.

The UK’s burgeoning critical minerals industry could be a game changer, helping to relieve pressures on communities such as mine and generating jobs and wealth. With those communities in mind, it is fundamental that domestic production works for local people and the natural environment, so that we do unleash the Cornish Celtic tiger.

As an officer of the all-party parliamentary group on critical minerals, alongside my hon. Friend the Member for St Austell and Newquay (Noah Law), I am in close contact with the industry. We attended the Critical Minerals Association conference yesterday and will attend another industry conference on the future of mining later this week. Industry leaders have made it very clear to me that there is a serious gap in the midstream supply chain for batteries, including magnet development. Much focus is on the upstream, but those gaps must be plugged as well.

Industry is crying out for domestic production guaranteed by the Government, whether as a set tonnage or as a percentage of demand on a sliding scale. That would reassure mining finance, which is relatively risk-averse. In that vein, I ask the Government to consider implementing de-risking financial instruments such as price floors, as well as considering mineral-extraction projects as part of the enterprise investment scheme, which provides tax reliefs for investors supporting small and growing enterprises. The industry suffers from a long development timescale and high up-front costs, both of which need to be considered as the Government tackle this country’s industrial and planning issues.

Giving more support to this industry will increase its credibility as a possible career path in the education system. Camborne School of Mines, the UK’s only dedicated mining college, and perhaps the world’s most famous, offers sector-specific undergraduate courses, but we require greater focus on STEM subjects—science, technology, engineering and maths—at GCSE and A-level, alongside apprenticeships. To conclude—I am sure hon. Members will be relieved to hear that—

Paternity Leave and Pay

Alistair Strathern Excerpts

Wednesday 23rd October 2024 Westminster Hall

[Alistair Strathern (Hitchin) (Lab)]

I thank my hon. Friend the Member for Telford (Shaun Davies) for securing this important debate. For many, parenthood is one of the most exciting journeys of their lives, and one of the most rewarding, too, but speak to any parent and you will be under no illusions that it is also bloody hard work. For too many, it is also work that is split in an unequal and gendered way. We should not shy away from acknowledging the gendered way in which the cost of that imbalance is doled out across society. We should also acknowledge that every child, every parent, every family and every member of society loses out as a result.

In some cases, biological realities drive imbalances that are inevitable. As my partner Megan regularly points out to me, if we do ever have a child together, it will not be me that is likely doing the bulk of the having. But there are others that are entirely in our gift. This debate highlights a really important one: paternity pay.

I have spoken to far too many families, fathers and co-parents across my constituency who have had to make heartbreaking choices over the last few years as a result of the current inequity in parental pay and parental leave—fathers who have had to make the difficult choice about whether to squander their savings, which they could barely afford, to stick around for those crucial early months of their child’s upbringing; or parents who have had to make the difficult choice of taking unpaid leave, which sometimes can be deeply contested with their employer, or depriving the mother of the support they need after a C-section while also going through all the burdens of early parenthood. These are not choices that anyone should have to make, and we must put that right.

I welcome the action that the Government have taken already, particularly their introducing day one rights to paternity leave and pay, but it is clear we need to do more. I look forward to working with colleagues across this House and with the Minister to ensure that, over the course of this Government, we can deliver that change.

Oral Answers to Questions

Alistair Strathern Excerpts

Thursday 5th September 2024 Commons Chamber

[Jonathan Reynolds]

I welcome the hon. Gentleman and the new shadow ministerial team to their posts. I have sat on those Benches in many questions sessions and understand how it can be at times.

Businesses of all sizes overwhelmingly supported the Labour party at the general election. How we behave in government will be exactly how we behaved in opposition, and we will co-design policy to ensure that. There is nothing in what we call the plan to make work pay—the new deal for working people—that is not already in the public domain. We had a manifesto with all that in it.

It is important to recognise—[Interruption.] There is a bit of chuntering coming from the Opposition Front Bench; again, something that I am not unfamiliar with. Look at the success of businesses in this area. Look at the businesses that already recognise trade unions and that already pay the living wage—look at that success. We are going to raise the employment floor, but it will be to a level above which many UK businesses are already operating. It is important to talk about the really successful things that businesses are doing to make sure that their workforces are treated with dignity and respect and get the living standards and prosperity that Members on this side of the House are all about delivering more of.

[Alistair Strathern (Hitchin) (Lab)]

3. What steps his Department is taking to help support high street businesses.

[The Parliamentary Under-Secretary of State for Business and Trade (Gareth Thomas)]

The decline of too many high street businesses was one powerful example of the failure of the last Government’s economic record and the cost of living crisis they caused. Working with business and others, we are determined to breathe new life into our high streets. In particular, we will stamp out late payments, tackle soaring levels of retail crime and create a fairer business rates system.

[Alistair Strathern]

High street businesses such as Rose’s café in Shefford and Jamie’s Shoe Repairs in Hitchin do so much to bring joy and life to their high streets and make the towns and villages in my constituency so special, but far too many high street businesses right across my constituency have been feeling the squeeze over recent years and just did not feel that the previous Government had their back. What will we be doing differently to make sure that we will always be on the side of the high street businesses that make our communities such fantastic places to live?

[Gareth Thomas]

First, let me take this opportunity to say how much of a pleasure it is to see my hon. Friend back in this House; I went up to his constituency during the by-election campaign, and his result was one of many on election night that brought us all great pleasure.

We set out a five-point plan when we were in opposition to support businesses on high streets. At the heart of that was a plan to introduce a fairer business rates system, which I know colleagues in the Treasury are working very hard on. We also want to tackle the high levels of retail crime that scar too many of our high streets, and we will be bringing forward proposals on that in due course too.