Critical Minerals: Domestic Production

James Wild Excerpts

Tuesday 3rd December 2024 Westminster Hall

[James Wild (North West Norfolk) (Con)]

It is a pleasure to serve under your chairmanship, Mrs Harris, and I congratulate the hon. Member for Camborne and Redruth (Perran Moon) on securing this important debate. As he set out, critical minerals are essential for our transition away from fossil fuels while offering economic opportunities in areas where extraction is undertaken, such as Cornwall. I remember many family holidays to Cornwall—coming from Norfolk, we did have to get away sometimes—and enjoying visits to the Poldark tin mine, which I believe is in the constituency of the hon. Member for St Ives (Andrew George).

Clearly, a lot of focus has been on Cornwall, but—as has been mentioned—this is an opportunity across the country. The International Energy Agency has stated that the world in 2040 is expected to need four times as many critical minerals for clean energy technologies as it does today, so as a nation, we need the right materials if we are to make that clean energy transition. We need the lithium, cobalt, and graphite for electric vehicle batteries; the silicon and tin for our electronics; and the rare earth metals for electric cars and wind turbines. While we will always rely on international supply chains, we have to maximise where the UK can produce domestically and make our supply chains more resilient. As has been said, that will also boost our energy and national security.

A strong case for increasing the domestic production of minerals has been made by the hon. Member for Strangford (Jim Shannon), as well as the hon. Member for St Austell and Newquay (Noah Law), who referred to the importance of skills. I hope that he would acknowledge the work that his predecessor, Steve Double, did in pushing that agenda in the last Parliament. I admire the passion that the hon. Member for Bournemouth East (Tom Hayes) has to go more fast and furious; I wonder if his constituents will share that when they see not the promised £300 cut in energy bills, but the pylons being imposed on communities without proper consultation, particularly in my constituency and across the east of England.

We are moving to a world powered by critical minerals and demand is increasing. Indeed, the UK’s 2022 critical mineral strategy, to which the hon. Member for St Ives referred, stated that global demand for electric vehicle battery minerals is projected to increase by up to 13 times over the next decade or so, exceeding the rate at which new primary and secondary sources are being developed.

The UK has 18 metals and minerals on its critical raw minerals list, and another six are classified as having elevated criticality. China is the biggest producer of 12 of those minerals. Despite the significant deposits of lithium, particularly in Cornwall, and the tin, manganese and tungsten across south-west England, Cumbria, Wales and Scotland, we are almost wholly dependent on imports for our critical minerals, as has been mentioned.

Many of the UK’s vital sectors rely on those minerals, which is why last year we launched a task and finish group on industry resilience, particularly focusing on aerospace, energy, automotive, chemicals and other sectors. While we were in government, we adopted a comprehensive approach to critical minerals, engaging readily with our foreign partners and allies, as well as with industry. That is why we published the first ever critical minerals strategy, which was then refreshed last year to reflect the changing global landscape and the pace of change we need to see.

In partnership with the British Geological Survey, we launched the Critical Minerals Intelligence Centre to help to monitor the supply chain risks and assess the importance of different minerals over time, a point made by the hon. Member for Middlesbrough South and East Cleveland (Luke Myer). We also ramped up work through the Critical Imports Council in April, so there is a lot for this Government to build on.

We know that critical minerals supply chains are complex and vulnerable to disruption, and that production is centred and highly concentrated in certain countries. In some cases, single nations are responsible for half of worldwide production, and are often vulnerable to aggressive debt regimes implemented by states with which the UK directly competes. The level of concentration is even higher for processing operations: China’s share of refining is about 35% for nickel, 50% to 70% for lithium and cobalt, and around 90% for rare earth elements.

All those issues present challenges to the UK’s security of supply, so we must accelerate the growth of our domestic capabilities and back UK critical minerals producers to take advantage of opportunities along the whole length of the value chain. Cornish Lithium, in the constituency of the hon. Member for Camborne and Redruth, is enjoying successes in extracting lithium from granite. Weardale Lithium is also exploring the potential for lithium extraction and geothermal energy from water. Green Lithium, which has also been referred to, has plans to build and operate the first UK merchant lithium refinery in Teesside. There are opportunities around the country.

The UK is also well placed to lead on midstream processing, including refining and materials manufacturing, building on the globally competitive chemicals and metals sectors that we enjoy. That is why the previous Government invested in critical minerals programmes and explored regulatory mechanisms to promote battery and waste electrical and electronic equipment recycling. As of April, there were 50 projects at various stages of development to mine, process and recycle critical minerals domestically.

The UK is a pioneer in recovering critical minerals from waste. Companies such as Altilium, which has operations in Plymouth, are working to develop battery recycling capabilities, so that the raw materials can be extracted and can re-enter the supply chain. That will become increasingly important because, by 2040, recycling is expected to account for up to 20% of battery mineral demand for electric vehicles.

Critical minerals will become ever more important as we seek to bolster our energy security and domestic resilience. There is particular demand for their use in electric vehicles. As has been referred to by the hon. Member for Bournemouth East, in government, we took the decision to push back some of those targets: we moved the target for ending the sale of new petrol and diesel cars from 2030 to 2035, bringing us in line with the major car manufacturing countries around the world. Yet this Government have tied themselves in knots about their policy on mandates. Can the Minister provide some clarity on the Government’s policy to address the uncertainty facing supply chains, including those in the critical minerals sector?

[Sam Rushworth (Bishop Auckland) (Lab)]

I am grateful to the hon. Gentleman for mentioning Weardale Lithium, which is in my constituency, as is Northern Lithium. The regulatory framework for companies trying to invest in lithium is not supportive, and they face waits of one or two years for planning approval from the Environment Agency.

I will also say that Nissan in Sunderland is not at all happy: it already had a plan in place to hit the 2030 target for electric vehicles. It is going to stick to its original plan, but it wants a Government that will match its ambition.

[James Wild]

I am grateful to the hon. Gentleman— I hope he will forgive me; I did not realise that Weardale Lithium is in his constituency, otherwise I would have acknowledged that. He is absolutely right about the regulatory issues that we face. Every MP will know of the difficulties that the Environment Agency causes companies due to its slow decision making and the fact that there is often a lack of certainty. Different car manufacturers, even just in this country, have different views. I acknowledge Nissan’s point, but other companies in this country take a different view.

The hon. Member for Camborne and Redruth, who secured the debate, said that we need to elevate the importance of this issue and give it a much higher profile. I do not disagree, although I would say that we have set out quite a strong foundation for doing that. Given the centrality of the issue, I was surprised that there was only one passing reference to critical minerals in the Government’s industrial strategy, published a month ago, which is supposed to be the Government’s blueprint for growth. Given that passing reference, are critical minerals really a priority issue for the Government? I hope we will get some reassurance from the Minister on that.

Business confidence has plummeted as a result of the Budget. Although there is an abundance of minerals in the ground, especially in areas that need investment and more jobs, does the Minister recognise the damage that has been done to the UK’s attractiveness to investors as a result of the measures in the Budget? Apparently the Minister will announce that the Government are launching a critical minerals strategy next year—wow. Given the importance of the issue, why is there not more urgency from the Government to do that? That strategy joins a long list of other consultations and commitments that will come in that year. Labour Members have had 14 years to get ready, but they do not seem to be.

Industry needs certainty about what the plan is to ensure that our critical minerals supply chains are strong, sustainable and resilient for now and for many years to come. Let us hope that the Minister can offer that security.

Digital Markets, Competition and Consumers Bill

James Wild Excerpts

Consideration of Lords message
Tuesday 21st May 2024 Commons Chamber

[Sir Chris Bryant]

The hon. Member makes a very good point. Indeed, in the main the market is a good thing—it can operate to produce good and efficient outcomes in society—but in this case the market is not working, and where the market does not work, the state has to intervene.

I cannot understand why any sane person should oppose such a measure, but unfortunately the Government have. Their amendment (a) in lieu is a weak sock puppet of a concession. It does not strengthen the rules; it simply leaves them in place. It does not prevent tickets from being sold without evidence of proof of purchase or the seller’s title to the tickets. It does not limit the quantity of resale tickets to the original number limited by the seller or artist. It leaves in place the current system for showing the face value of a ticket, despite the fact that section 90(8) of the Consumer Rights Act 2015, in my view and in the view of everybody who has spoken to Members about this, is very opaque and open to interpretation—or, I would argue, open to deliberate misinterpretation by the secondary ticketing market.

For instance, Viagogo does not say “face value”, but has a little box that says “FV”, which is not explained anywhere on the website, and people have to click on that. If Viagogo genuinely wanted to be open and transparent, it would say “face value”, and put the price at the very beginning. StubHub is similarly advertising tickets for Taylor Swift on 21 June at £711, but nowhere on the first page does it give the face value. I note that, if someone goes on to the second page, it says $75 there, but I am told that that is not the actual cost of the ticket. Seatsnet has tickets for Murrayfield—for Taylor Swift again—selling at £1,294.79 or £1,092.15 each, and nowhere does it give the face value of the tickets. Interestingly, AEG Presents and AXS, which are managing the tickets for the concerts at Murrayfield, say that tickets are strictly not to be resold:

“Any tickets found to be purchased via re-sale on the non-official secondary market will not be valid for entry into the concerts.”

In other words, it is completely in doubt whether the tickets being sold at £711 or £1,294 are tickets that will actually gain admittance for an individual.

[James Wild (North West Norfolk) (Con)]

The hon. Gentleman referred to Viagogo, and I have just gone on to its website. He mentioned the “FV” symbol, but when I click on it, it tells me the face value of the ticket. Did I misunderstand the point he made?

[Sir Chris Bryant]

Yes, the hon. Member did misunderstand the point I made. Why does it not just say “face value”, instead of “FV”, which would be perfectly simple? For that matter, why should people have to click on it? The point of the Lords amendment is very clear, and it is that people should know from the very first time they see the ticket what the face value of that ticket is. I am perfectly happy, if people want to be scammed, that they should be free to be scammed, but they should at least know from the very first point at which they seek to buy a ticket what the face value of the ticket is.

Post Office Ltd

James Wild Excerpts

Monday 29th January 2024 Commons Chamber

[Kevin Hollinrake]

I thank the right hon. Gentleman for his question, but I do not accept his premise that the Post Office is rudderless. The chief executive is still there and I spoke to him a few moments ago, prior to the urgent question. As I have said, we are looking to appoint an interim chair as soon as possible and a permanent replacement shortly after that, and meanwhile the daily work of the board will continue.

On our commitment to overturn convictions on a blanket basis, I appreciate the right hon. Gentleman’s previous constructive collaboration and engagement with our Department, and I hope that continues. I am keen to engage with him on our approach. These are legal matters that need to be considered carefully and we had a number of meetings last week on this very issue, so I am keen to engage with him, but in a way that does not slow down the process of bringing the legislation forward. He will find us contacting him and knocking at his door in the coming days to talk about how we will go forward with that legislation.

I should point out that Mr Bates’s compensation is not related to the overturning of convictions, because he was never convicted. That is not what is getting in the way of Mr Bates’s compensation, although it is getting in the way for something like 900 other people, and we are keen to resolve that as quickly as possible.

[James Wild (North West Norfolk) (Con)]

Will my hon. Friend take this opportunity to look at the Post Office’s reported practice, under the former chairman, of making payments of just £5,000 under the Horizon shortfall scheme for distress and inconvenience to people it falsely accused of theft, when a similar claim made at an employment tribunal, in the most exceptional cases, is 10 times that amount?

[Kevin Hollinrake]

To be clear, those schemes are run independently of the Post Office. There are independent processes all the way through, and an independent panel assesses the loss. I think my hon. Friend is talking about the Horizon shortfall scheme, but it is clear that any tariffs that might go with payments are not a ceiling—they tend to be a floor. People should of course be fully compensated for both their financial and their non-pecuniary loss; that is a principle we have adhered to all the way through the process. We are looking at the recommendations of the advisory board on how to make sure people who have been through those schemes have received fair payments. In the group litigation order scheme, there will effectively be a minimum £75,000 fixed-sum award. We are keen to ensure not only that we get the money out of the door, but that that compensation is fair and seen to be fair.

Oral Answers to Questions

James Wild Excerpts

Thursday 18th May 2023 Commons Chamber

[Ms Ghani]

There is no deep-sea mining currently happening in areas beyond national jurisdictions. The UK has committed not to sponsor or support the issue of any exploitation licences for deep-sea mining projects unless and until there is significant scientific evidence about the potential impact on deep-sea ecosystems.

[James Wild (North West Norfolk) (Con)]

9. What steps her Department is taking to improve the accountability of business regulators.

[The Parliamentary Under-Secretary of State for Business and Trade (Kevin Hollinrake)]

I am grateful to my hon. Friend for his fine work as part of the Regulatory Reform Group, which has just published a report. Last week the Government published “Smarter Regulation to Grow the Economy”, setting out our vision for the UK’s regulation and how we can harness the opportunities that Brexit presents to re-think how and when we regulate. As part of that, we set out our agenda to ensure that regulators help drive economic growth.

[James Wild]

I thank the Minister for his answer and for the reforms published last week. He kindly mentioned the Regulatory Reform Group and our report last week. Will he carefully consider our recommendations in the report on the Government better holding regulators to account, and look at the proposal for an accountability framework that looks at key metrics, including competition, to judge their performance?

[Kevin Hollinrake]

I read that with interest, and I spoke to my hon. Friend the Member for Hitchin and Harpenden (Bim Afolami) yesterday about the matter. It is important that all regulators with responsibility for regulating and promoting growth continue to be held to account for delivering on those objectives. His proposed joint committee of Members of both Houses is for the House authorities to consider, but I note that in a regulatory system that already has a number of accountability mechanisms, adding another layer could risk more uncertainty rather than clarity.

--- Later in debate ---

[Kevin Hollinrake]

The hon. Lady raises an important point. Which? does fantastic work. The CMA acts independently, without ministerial influence, and it is right that it does. However, I am sure it is keeping a close eye on that matter. As I said in a previous answer, the best way we can regulate prices in the UK is through strong competition. We have a very strong, competitive market in the supermarkets, with 14 chains in this country, and that is the best way to hold down prices. However, she raises an important point and I am sure the CMA will have listened to it.

[James Wild (North West Norfolk) (Con)]

UK Export Finance plays a vital role in supporting export opportunities, but a company in my constituency is having difficulties landing support to secure a contract based in one of our Trans-Pacific Partnership area countries. Will my right hon. Friend meet me to discuss this and how we can support that business?

[Kemi Badenoch]

I thank my hon. Friend for raising that. I will see whether I can get a meeting with him, but, if not, I will make sure that one of my officials is able to look into this issue specifically for him.

Digital Markets, Competition and Consumers Bill

James Wild Excerpts

2nd reading
Wednesday 17th May 2023 Commons Chamber

[James Wild (North West Norfolk) (Con)]

I am pleased to have the opportunity to talk about the Bill, which will drive innovation, growth and productivity by reforming digital market regulation, the competition regime and consumer protection.

Let me begin with the digital market elements. Technology permeates every aspect of our lives. The businesses that develop and apply new technologies—be they social media platforms, online marketplaces or innovation-driven firms—create huge benefits for consumers and make a major economic contribution. As the Chancellor frequently reminds us, the UK is the only country outside the US and China to have a tech sector with companies valued at more than £1 trillion—companies that have developed their businesses and attracted customers.

We must always be mindful that regulation and intervention in markets come at a cost. My starting point is to trust the invisible hand of the market as much as possible to drive competition, but markets require rules, and where those rules exist, they need to be enforced. We must be careful in how we approach regulation, and not penalise firms for being successful.

As has been said, digital markets have features, including the importance of data and network effects, that tend towards a few large players. It is certainly not the case, however, that having a small number of players with large market power is in itself a bad thing—it can represent the reward for innovation and investment. However, the CMA concluded in its review of online advertising that Facebook and Google’s market position meant that consumers and businesses faced increased costs, there was less innovation, and consumers had unfavourable terms imposed on them owing to competition.

The Bill will give the CMA the tools to designate firms with that strategic market status and apply conduct requirements for fair dealing, open choices and trust, which all sounds reasonable—for example, ensuring that there is a clear appeal process if a user’s marketplace access is terminated, or giving consumers choices and the ability to easily switch between services. However, it could easily become a burdensome requirement, so we must ensure that the regime is proportionate and that the cumulative impact of such requirements is regularly reviewed. Perhaps the Bill could be further improved by including something on its face to require the CMA to do so.

As a member of the Regulatory Reform Group, ably chaired by my hon. Friend the Member for Hitchin and Harpenden (Bim Afolami), I share his concern about the accountability of regulators and the systematic underperformance that we see. Given the significant power that regulators wield and the impact of their decisions on the lives of our constituents, they must be accountable for those decisions. My hon. Friend set out very clearly and powerfully the case for our first report’s recommendations to promote greater accountability, as well as introducing standardised metrics so that we can judge regulators’ performance. I hope those recommendations will be taken forward.

I will briefly focus on the consumer regulation part of the Bill. Where companies breach consumer protection rules, there should be swift and proportionate action, but currently that does not happen, as the CMA lacks the powers to rapidly act: it has to go to court when it considers there has been a breach of consumer law. Which? has pointed out that a lack of powers meant that it took nearly six years to get the online secondary ticketing market to change its practices, although as we have heard from the hon. Member for Washington and Sunderland West (Mrs Hodgson), there are still problems in that sector. That is why the new powers in the Bill are to be welcomed: there will be a direct enforcement regime, so that the CMA can investigate suspected breaches and issue enforcement notices and fines. That brings us into line with other major jurisdictions.

Others have referred to subscription services. About £30 billion is spent annually on those services, and consumer groups have identified that as another area of potential abuse. We will all have had different experiences: in some cases, it has been simple to unsubscribe from a service, and in others, it has been far more difficult—perhaps deliberately so, to make customers stick. Sky has raised concerns about the level of prescriptiveness on the face of the Bill regarding this issue, and has pointed out that in some cases, the requirements are more onerous than those that apply in regulated sectors. I hope the Minister will carefully consider those concerns, while ensuring that it is simple for customers to unsubscribe from services they no longer wish to pay for.

The final element I will focus on is that of fake reviews, and the detriment they cause to consumers and businesses. According to research by Which?, fake reviews make consumers more than twice as likely to choose poor-quality products, and people can be put off from making choices, whether about restaurants or about somewhere to stay. That is a particular issue for my constituency of North West Norfolk, which has a vibrant tourism and hospitality sector. UKHospitality welcomed the Bill’s helping to deliver fairness for hospitality venues and customers in that area, so I would be grateful if the Minister confirmed when the consultation he has referred to, which will get into the detail of how we tackle fake reviews, will be published so that we can act rapidly to close down those unfair practices.

To conclude, I support the intention of the Bill: to give the CMA powers to act rapidly against breaches of consumer law, to strengthen competition, and to crack down on abuses.

[Mr Deputy Speaker (Mr Nigel Evans)]

I call John McDonnell.

Oral Answers to Questions

James Wild Excerpts

Tuesday 7th March 2023 Commons Chamber

[Neil O’Brien]

This is exactly why we are investing the extra £8 billion in elective recovery. Ophthalmology 52-week waits are coming down from 42,000 to just under 27,000. But can I pay tribute to the hon. Lady for her passion for this subject? We had a Westminster Hall debate the other day and she had to run to be there—such is her passion—but she made it. I thank her for all her work on this matter.

[James Wild (North West Norfolk) (Con)]

When my right hon. Friend the Health Secretary joined me at the Queen Elizabeth Hospital in King’s Lynn, he saw the new West Norfolk eye centre, which is enabling an extra 2,000 appointments and 2,000 more injections every year to help to deal with the backlogs. Does that not just demonstrate the difference that new buildings can make to better patient care, but underline the importance of the Queen Elizabeth Hospital being added to the Government’s new hospitals building programme, which I know he is working hard to achieve?

[Neil O’Brien]

The Secretary of State will have taken note of my hon. Friend’s representations.