Backing Business to Create Economic Growth

Lillian Jones Excerpts

Monday 18th May 2026 Commons Chamber

[Lillian Jones (Kilmarnock and Loudoun) (Lab)]

I welcome the King’s Speech and the Government’s focus on backing business to drive economic growth across every part of the United Kingdom. I declare my interest at the outset as the chair of the all-party parliamentary group for the wood panel industry.

I want to begin with a positive vision of what Government can achieve when they work in genuine partnership with industry, supporting British manufacturing, strengthening domestic supply chains, creating skilled jobs and delivering the homes and infrastructure our country needs. The UK wood panel industry ought to be and should be central to that mission. It is a strategically important British sector, supplying essential products including chipboard, MDF and OSB to construction, housebuilding, furniture manufacturing and home improvement markets. It meets around 65% of domestic demand using British timber and recycled wood, directly employs more than 2,300 people, and supports a further 8,500 jobs across the wider supply chain.

Last year’s CBI report confirmed that in 2022 prices the wood panel industry added £1.1 billion of gross added value to the UK economy. Yet despite that contribution, wood and wood-based products are too often overlooked in industrial policy, particularly compared with steel, cement, ceramics and glass. That must change and it must change quickly. Timber security is national security. The UK currently imports more than 80% of its timber and wood products, leaving us exposed to global supply shocks, price volatility and geopolitical uncertainty. I welcome the solid foundation this Government have laid, but I urge Ministers to go further. First, timber security should be formally recognised within national security and supply chain resilience planning. Secondly, wood and wood-based products should be explicitly recognised within the industrial strategy as strategic construction materials, alongside steel, cement, glass and ceramics. Thirdly, we must support domestic forestry expansion and ensure that productive planting targets are actually met. Without the raw material, we cannot build the resilient supply chain we need. This is not a niche issue. It goes to the very heart of growth, jobs, housing, net zero and national resilience.

I strongly welcome the Government’s commitment to modernising public procurement and backing British business through public contracts. The Cabinet Office is right: it does matter where things are made and who makes them. Procurement should be used to put Britain’s national interest first and to back British industry. That principle must also apply to wood panel manufacturing. When taxpayers’ money is invested in infrastructure, defence accommodation, public housing and regeneration, we should be asking how we maximise the benefit to British jobs, British manufacturing and British supply chains. We have already seen the UK wood panel industry successfully win defence accommodation contracts, supporting domestic employment while delivering excellent value for money. Public procurement should not be a race to the cheapest product available anywhere in the world. It should promote quality, sustainability, resilience and long-term economic value here at home.

[Kirsteen Sullivan]

We have just heard mention of the very ambitious Government plan for investment in national infrastructure. Does my hon. Friend agree that we must consider the safety of workers in our procurement contracts and include inclusive personal protective equipment in any specification for public sector procurement going forward?

[Lillian Jones]

I agree. Health and safety should be written into public procurement contracts as standard.

Finally, economic growth is about not only national strategy but the small businesses and entrepreneurs driving our local economies at home in our communities. On the day of State Opening, I was delighted to welcome to Westminster my constituent Elaine Borland, founder of Kilmarnock-based Blowin’ Free Gin, whose premium small-batch Agronomist gin is the very best of local produce and innovation—it is available to try now in the Strangers Bar. Businesses such as hers are exactly what we should be championing, and I welcome the Government’s commitment to supporting them through exports and by promoting British excellence.

I welcome the direction set out in the King’s Speech, but I urge the Government to go further and faster: recognise strategic industries, back British supply chains, use procurement to strengthen domestic manufacturing and ensure that growth reaches every nation and region in our country. When we back British industry, support local enterprise and invest in resilient supply chains we do more than grow the economy; we create skilled jobs, strengthen the communities we serve and build a more secure future, giving hope to our great nation.