Oral Answers to Questions

Chi Onwurah Excerpts

Tuesday 30th April 2019 Commons Chamber

[Greg Clark]

The discussions that we have had are intended to ensure that the steel sector, which is of fundamental importance to this country, can benefit from some of the manufacturing opportunities that we have talked about. As we expand our production of vehicles, as I hope we will do, there will be a strong requirement for steel, and through the proposed strategy we will ensure that that is British steel.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

The Secretary of State’s industrial strategy states that manufacturing is crucial to the economy and promises to support businesses to access international markets and drive up exports. However, according to Make UK, stockpiling in the UK is now the highest of any G7 nation ever, as manufacturers try to protect themselves from Brexit uncertainty. Chambers of commerce across the country report falls in cash flow because money tied up in stock is not available to drive exports or pay wages. Cash flow is the lifeblood of manufacturing and the cause of up to 90% of business failures. Whatever the eventual outcome of the Government’s Brexit shambles, British manufacturers must be in business to meet its challenges, so will he now commit to providing financial support?

[Greg Clark]

The hon. Lady quotes Make UK. The chief executive of Make UK, with whom I meet almost every week, has said:

“Make UK has consistently supported the Government’s withdrawal agreement as it removes the risk of no deal and delivers a sensible transition period which is vital for the needs of manufacturers.”

I think the hon. Lady and I have a joint view on the importance of manufacturing, not least in the north-east. I hope that she will have the flexibility and pragmatism to come together—I am talking to her colleague the shadow Secretary of State—and agree a way forward in line with what Make UK recommends.