The press release issued by the Department for Business and Trade on 26 November 2023.
Industry leaders from across UK advanced manufacturing have welcomed the Government’s landmark Advanced Manufacturing Plan (AMP) backed by billions to boost Britain’s manufacturing sector, announced by Business and Trade Secretary Kemi Badenoch today (26 November).
The package of measures will build on our existing strengths in manufacturing and offer certainty to business by building on our successful programmes and committing more than £4.5 billion to 2030 in targeted funding to back the long-term future of the UK’s world leading industries as well as supporting SMEs through extending and expanding our Made Smarter digital adoption programme through this decade.
The Plan outlines key measures to improve the business environment and attract investment, including faster grid connections, full expensing and more apprenticeships.
Manufacturing Sector Organisations
Stephen Phipson, CEO of Make UK, the manufacturers’ organisation said:
A battery strategy is very welcome and much needed. Having a joined-up battery plan in place will be critical for the UK economy to benefit fully from new technological opportunities going forward, and we must ensure that manufacturing involves the entire supply chain, right from design to manufacturing and recycling, closely connecting car and battery industries.
Recycling will also be very important to recover those critical materials that are essential for the low-carbon economy, and this joined up Advanced Manufacturing Plan will help deliver better coordination across the whole of the clean energy sectors.
Make UK and industry will continue to work with the government on the practicalities of this plan, including how to incorporate manufacturing supply chains. These supply chains have a key role in supplying components and services for clean energy in the future low-carbon economy and we must ensure that the full potential is delivered to enable our companies to compete on the global stage.
Karen Betts, Chief Executive, The Food and Drink Federation said:
The advanced manufacturing plan will provide critical support to the UK’s largest manufacturing sector in helping to unlock innovative investments in food and drink businesses. The £4.5billion of funding will help to derisk and incentivise investments focused on the transition to net zero and strengthening food security while the expansion of Made Smarter will particularly help SMEs. Making full expensing permanent will support businesses across the sector, boosting productivity and growth.
Richard Torbett, Chief Executive of the Association of the British Pharmaceutical Industry said:
We’ve long believed that the UK’s has the potential to be a world leader in advanced and sustainable medicines manufacturing. This £520 million in support announced by the government will supercharge UK life sciences manufacturing, combatting the increasing international competition to attract major manufacturing investment.
Added to our existing strengths and technical expertise in manufacturing innovation, this announcement is a major step forward in delivering on our shared ambitions for long term growth.
Mike Hawes, SMMT Chief Executive said:
Decarbonising road transport is essential if net zero is to be achieved, and that transition must be ‘built in Britain’. The government’s Advanced Manufacturing Plan sets out measures to support the UK automotive supply chain as it undergoes the most significant transition in its history.
The plan, together with a new battery strategy to support the development and production of this critical technology, is essential if the UK is to compete in the face of fierce global competition. These initiatives can only help to attract the investment necessary to seize the growth opportunities a Net Zero economy offers.
Richard Kenworthy, Managing Director, Toyota Motor Manufacturing UK said:
We welcome the announcement of a new Advanced Manufacturing Plan and the priority the Government is giving to the automotive sector.
Our industry is undergoing a significant transition as we make the changes and investments required to secure a zero-carbon future. It is important for manufacturers to continue to work together with the Government to deliver on this goal and ensure the global competitiveness of the UK automotive industry.
This new Plan will help prepare British businesses and the Government to maximise the opportunities this period of change will bring.
Guillaume Cartier, Chairperson, Nissan Africa, Middle East, India, Europe and Oceania, said:
We welcome the Advanced Manufacturing plan for the long-term approach presented for the UK automotive industry.
It addresses a number of important topics that will support our wider electrification strategy as we move to 100% electric vehicles, and also with the demands we’re seeing from consumers for cleaner, smarter, safer cars on the roads.
Jaguar Land Rover said:
JLR welcomes this package of investment and policy announcements for the Advanced Manufacturing sector. The Advanced Manufacturing Plan and UK Battery Strategy is an important first step and we look forward to working with the Government to create the right environment to ensure an innovative and internationally competitive sector.
John Pritchard, President of Civil Aerospace for GKN Aerospace said:
GKN Aerospace welcomes the Government’s Advanced Manufacturing Plan. To maintain its position as a global leader in aerospace manufacturing, the UK needs close collaboration between Government and Industry and significant investment to maintain our competitive advantage. This Plan is a step forward, providing important guidance for building resilience and increasing productivity in our manufacturing supply chain.
Coupled with the announcement to extend the funding of the Aerospace Technology Institute out to 2030/31, the Plan also provides further confidence and a stable base for international businesses to invest in the UK.
The Hydrogen Task Force is a particularly important and welcome development. Hydrogen will be at the core of future sustainable flight, as well as the UK’s wider economy and energy infrastructure. It is critical that Government and Industry collaborate now in order to develop and invest in the supply chain and position the UK as the destination of choice for investment in the future.
Dr Rob Watson, President-Civil Aerospace, Rolls-Royce said:
We warmly welcome the ATI budget extension and the recognition of advanced manufacturing, and aerospace in particular, as priorities for the UK. The ATI extension provides long-term stability in aerospace funding that will allow for investment in technologies that will make our sector more competitive.
The ATI has been instrumental in accelerating the next generation of aerospace innovation since 2013, helping sustain the UK as a global leader in aerospace. The pace and scale of progress on our UltraFan demonstrator, the world’s largest and most advanced jet engine, would not have been possible without the ATI. This additional 5 year commitment to the ATI will give the aerospace industry confidence in the UK’s desire to grow and export.
Kevin Craven, CEO of ADS said:
ADS and our members welcome today’s Advanced Manufacturing Plan publication, reaffirming long-term backing for our world-leading advanced manufacturing sectors, including UK aerospace. This is a very timely intervention given the growing pace of aerospace recovery, huge aircraft order backlog and industries’ continued commitment to net zero.
Our aerospace sector provides high-skilled jobs throughout the country, and set against a backdrop of increasing global competition, the continued commitment towards aerospace R&D is significant. These measures will provide a boost to continued investment in innovation and advanced manufacturing in the UK, in turn securing the future advantage of our industry.
Dame Professor Clare Grey, Co-Chair of the UK Battery Strategy Team and professor at Cambridge University, said:
I – as both an academic working to optimise battery function and understand failure modes and a cofounder of the fast-charging battery company Nyobolt – welcome the publication of the UK battery strategy.
Clarity in the commitments, along with announcements of significant funding out to 2030, will be welcomed by the many industry sectors in the UK working towards achieving next zero, where certainly is key to making key business decisions and investments.
The continued funding is also critical for building on the momentum already achieved in the laboratory, to move some of the early-stage research out into commercial, manufactured products.
The breadth of the strategy – from skills, manufacturing, critical mineral supply chains, financing, recycling and the circular economy, to regulation and speeding up grid connections – along with the commitments towards implementation – will be critical in building battery- and related industries in the UK.
Tom Flack, CEO of Agratas said:
Through our multi-billion-pound investment, Agratas is building the UK’s largest battery cell manufacturing facility and pioneering next-generation battery technologies, powering the transition to net zero and creating thousands of green economy jobs. The Advanced Manufacturing Plan and the UK’s Battery Strategy outline the vision, collaboration and support required to deliver on that ambition. We look forward to working closely with the Government to grow a globally competitive UK battery sector.
Brian Holliday, Managing Director, Digital Industries at Siemens:
The new investment clearly says that UK manufacturing matters. It represents a tremendous boost for our makers that will enable the confidence to invest in innovation, productivity and sustainability.
Key sectors benefit but so does the long tail of small and medium firms which is really important to directly address our recent challenges of weak overall productivity and investment.
The business benefits of digitalisation are now clear, while being an enabler for industrial decarbonisation too – the package of measures announced in bolstering Made Smarter, targeted regulatory reform and sector support, along with our world-class Catapults and Universities now makes the UK one of the best countries on the planet to sustainably design, make and export goods.
Merlin Hyman OBE, Chief Executive, Regen and Electricity Storage Network, said:
The Electricity Storage Network welcome this strategy to develop the UK’s capability in the vital area of battery storage. The UK is leading the way in putting electricity storage at the heart of a high renewables, flexible power system with over 3GW now installed and world leading expertise in battery optimisation.
Developing a UK grid scale storage supply chain, environmental standards, and recycling facilities will be key to the resilience of the sector and to achieving our goals for secure, net zero power and high value jobs in the low carbon industries of the future.
Nicholas Beatty, Founder Director of Zenobē said:
I am delighted to support the Taskforce’s vital work to develop the UK’s domestic battery industry.
As the UK’s largest independent owner of battery storage, Zenobē welcomes these efforts to cut planning and grid connection delays, develop innovative financing for the battery industry, and introduce new models to increase the use of second life batteries.
These measures will help to secure the UK’s green supply chain as we transition to a decarbonised energy and transport system. With the right government support, the UK can be a leading global player in the future battery industry.
We welcome the publication of the first UK Battery Strategy, which highlights the importance of the sector. Long-term commitment is critical for providing the confidence to invest and ensure that the UK plays a leading role in the transition to Net Zero.
As a growing UK battery company making fast charging a reality, we look forward to working with Government to realise this commitment and bring the batteries of the future to the UK today.