Automotive Manufacturing Sector: Support

Lord Woodley Excerpts

Monday 15th May 2023 Lords Chamber

Asked by

[Lord Woodley]

To ask His Majesty’s Government what is their investment strategy to support the automotive manufacturing sector in the United Kingdom.

[The Minister of State, Department for Business and Trade (Lord Johnson of Lainston) (Con)]

Our automotive industry has a long and proud history. We are determined to build on our heritage, and to secure international investment in the technologies of the future to position the UK as one of the best locations in the world to manufacture electric vehicles. That will include aspects such as the automotive transformation fund, our Advanced Propulsion Centre, UKRI, our critical minerals strategy, our overall global trade strategy, UKEF and, on top of that, the specific investment opportunities that I, my team and colleagues from the Department for Business and Trade are working on assiduously.

[Lord Woodley (Lab)]

My Lords, in my opinion, what appears to be missing here is a proper government strategy for the automotive sector as part of a much wider industrial strategy. The House will be well aware that the EU’s Green Deal industrial plan is in place, with tens of billions of euros in manufacturing grants topped up by literally hundreds of billions in loans to companies, while the US is investing over $2 trillion in its advanced manufacturing, energy and clean technology efforts. We have already fallen behind our competitors, according to my contacts at the Society of Motor Manufacturers and Traders, who tell me that we are at a tipping point. Does the Minister therefore agree that what we need now is a truly tripartite industrial strategy council, with the Government, companies and trade unions working together, and that it should be placed on a statutory footing—as called for only this weekend, ironically, by Labour?

[Lord Johnson of Lainston (Con)]

I am grateful to the noble Lord for his continued engagement on this important matter, which I know he holds dear to his heart, as do I. My department will work continually with all parties to ensure that we have the right amount of investment in our future industries. Please make no mistake about it: the creation of an EV industry in this country and the importance of the automotive sector is paramount to our long-term strategy, and to the success and prosperity of this great nation.