Asked by: Blake Stephenson (Conservative - Mid Bedfordshire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, if she will make an assessment of the potential impact of the Zero Emission Vehicle mandate on employment in the automotive industry in (a) Bedfordshire and (b) the UK.
Answered by Sarah Jones - Minister of State (Department for Energy Security and Net Zero)
In 2024, 132,000 people were employed in automotive manufacturing in the UK, and 3,570 businesses were operating across the sector. While the government does not hold data on how the Zero Emissions Vehicle Mandate has affected automotive employment in Bedfordshire or the UK more widely, we speak regularly to all the major UK automotive stakeholders to understand the health of the sector and factors impacting competitiveness. Government is committed to ensuring the transition to zero emissions works for industry. That is why we introduced significant changes to the Mandate, allowing for greater flexibility in meeting ZEV targets and extending the sale of hybrid vehicles.
Asked by: Blake Stephenson (Conservative - Mid Bedfordshire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, if he will make an assessment of the potential impact of the UK leaving the EU on the level of tariffs applied to the UK by the US.
Answered by Douglas Alexander - Minister of State (Cabinet Office)
The UK has a strong and balanced trading relationship with the US worth £315 billion. Investment supports around 2.5 million jobs across both countries. Trade is second only to the EU where our trading relationship is worth £813 billion. The level of tariff applied to any country, including the UK, by the US is determined by the US government.
On 8 May, the UK government announced a landmark economic deal with the US, making the UK the first country to reach an agreement with President Trump. This deal protects jobs in the automotive, steel, aluminium, pharmaceutical and aerospace sectors - sectors that employ over 320,000 people across the UK.
Asked by: Blake Stephenson (Conservative - Mid Bedfordshire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what assessment he has made of the potential impact of the target to reach net zero on the number of imports of electric vehicles from China in each of the next ten years.
Answered by Sarah Jones - Minister of State (Department for Energy Security and Net Zero)
The Secretary of State and I regularly meet stakeholders from the Auto sector to discuss net zero related issues, including imports of electric vehicles from China. China has rapidly become a major automotive manufacturer and brings competitive challenges for the sector. Government is closely monitoring the monthly data and analysing how this impacts the UK automotive sector, especially given our ambitious policies on Zero Emission Vehicles.
To ease the transition to Electric Vehicles, we announced significant changes to the Zero Emission Vehicle Mandate on 7 April, allowing for greater flexibility in meeting ZEV targets and extending the sale of hybrid vehicles.
Asked by: Blake Stephenson (Conservative - Mid Bedfordshire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what steps he is taking to support van manufacturers in the context of US tariffs.
Answered by Sarah Jones - Minister of State (Department for Energy Security and Net Zero)
A landmark economic deal with the US, announced on 8 May, protects jobs in key sectors including automotive, directly supporting over 320,000 jobs across the UK. The Government also continues to support van manufacturing through the Automotive Transformation Fund, aiming to build a competitive electric vehicle supply chain. The 2024 Autumn Budget allocated over £2 billion for zero-emission vehicle manufacturing and supply chains, including £120 million to extend the Plug-in Van Grant (PIVG) until 2025/26. In addition, following the recent ZEV support consultation, fine levels for vans will also decrease by £3,000 to £15,000, and a bidirectional mechanism will be implemented for credit exchange between car and van schemes.
Asked by: Blake Stephenson (Conservative - Mid Bedfordshire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, if he will make an assessment of the potential impact of the Employment Rights Bill on the vehicle manufacturing industry.
Answered by Justin Madders - Parliamentary Under Secretary of State (Department for Business and Trade)
On Monday 21 October, the Government published a comprehensive package of analysis on the impact of the Employment Rights Bill. This package provides analysis of the potential sectoral impacts of the Bill.
It shows the majority of employees will benefit from new protections in the Bill and our assessment finds that workers in low-paying sectors, including social care, hospitality, retail, transport, and some manufacturing sectors will benefit the most.
The Bill will also deliver wider benefits for the business environment by improving wellbeing, incentivising higher productivity, and creating a more level playing field for good employers. This could have a positive knock-on impact on productivity and growth.
Asked by: Blake Stephenson (Conservative - Mid Bedfordshire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, with reference to his Department's press release entitled Cuts to red tape to make great British staycations cheaper published on 7 April 2025, if he will make an assessment of the potential impact of the proposed reforms on the economy in Bedfordshire.
Answered by Justin Madders - Parliamentary Under Secretary of State (Department for Business and Trade)
The domestic tourism sector is of great value to the UK. It provides meaningful employment and supports holiday makers to explore and enjoy the UK’s diverse and plentiful attractions.
By removing obstacles and red tape that unnecessarily hinder businesses, especially smaller firms, the proposed reforms seek to open-up the sector to offer consumers better choice and better value options.
The proposals will support business collaboration and innovation across all areas of the UK. An Impact Assessment will be published as part of the process.
We encourage comment on the consultation ahead of its close on 30 June 2025.
Asked by: Blake Stephenson (Conservative - Mid Bedfordshire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what recent discussions he has had with his US counterpart on negotiating a free trade agreement with that country.
Answered by Douglas Alexander - Minister of State (Cabinet Office)
We have concluded a landmark economic deal with the United States, making the UK the first country to get an agreement with President Trump.
This deal protects jobs in the automotive, steel, aluminium, pharmaceutical and aerospace sectors – sectors that employ over 320,000 people across the UK.
We are continuing talks on a wider UK-US Economic Deal which will look at increasing digital trade, access for our world-leading services industries and improving supply chains. The US has committed to further negotiations, including on the 10% tariffs introduced on 2nd April across our economy.
Asked by: Blake Stephenson (Conservative - Mid Bedfordshire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, how much and what proportion of the funding for steel through the National Wealth Fund will be used to maintain steel production in Scunthorpe.
Answered by Gareth Thomas - Parliamentary Under Secretary of State (Department for Business and Trade)
The funding required to maintain iron and steel production at Scunthorpe will be drawn from the £2.5bn funding for steel, which is available through the National Wealth Fund and other routes. The National Wealth Fund is operationally independent, and financing is already accessible to projects that meet the investment principles. Companies across the UK are already engaging with them on projects within the steel sector.
The Department for Business and Trade's accounts for 2025/26 will reflect the financial support that the department has given to British Steel.
Asked by: Blake Stephenson (Conservative - Mid Bedfordshire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, if he will make an assessment of the potential impact of the Zero Emission Vehicle mandate on automotive manufacturers in the context of Stellantis closing its Luton plant.
Answered by Sarah Jones - Minister of State (Department for Energy Security and Net Zero)
Stellantis’ decision to close its diesel van plant in Luton was a commercial decision taken as part of its response to wider challenges. Regrettably, despite active engagement from Government, we were unable to reverse the company’s decision. My Department has regular engagement with automotive manufacturers around the transition to zero emission vehicles (ZEVs). Having heard from industry and other stakeholders, in April the Government announced changes to the ZEV Mandate by significantly increasing flexibilities for manufacturers up to 2030. This allows them to comply with requirements in the way most suitable to their business and consumer demand, avoid fines and not need to buy credits from competitors.
Asked by: Blake Stephenson (Conservative - Mid Bedfordshire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what steps he is taking to increase (a) support for and (b) resilience of the vehicle manufacturing industry.
Answered by Sarah Jones - Minister of State (Department for Energy Security and Net Zero)
The Budget committed over £2 billion of funding support to 2030 to unlock capital investment in zero emission vehicle manufacturing and supply chains. This funding will ensure the resilience of the sector and boost competitiveness. We’ve also listened to business on regulations, and the changes announced by the Prime Minister on 7 April introduced significant extra flexibility into the Zero Emission Vehicle (ZEV) Mandate. And we continue to open up markets - and have protected British carmakers jobs - as our new deal with India and our landmark deal with the US clearly demonstrate.