Sarah Jones is the Labour MP for Croydon West.
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Despite the challenges facing the steel sector today after years of neglect under the previous Government, we believe that this industry will bounce back and grow stronger tomorrow. This Government are doing everything we can to make that happen. We are pressing ahead with a bold steel strategy for the UK, set to be published later this year. That strategy will set out our vision for a competitive, decarbonised and resilient domestic steel industry. Our approach is clear: we want the UK steel sector to thrive, with strong private investment and commercially sustainable operations at its core.
Full debate: Speciality Steel UK: Insolvency
Liberty Pipes is separate and is not part of this situation at all. Of course, there will be concern in the wider group about the impact—I understand that—but at the moment, there is no crossover. Liberty Pipes will continue to do what it is doing and, I am sure, will continue to support the CCUS industry, which is great news for the workers there, and great news for us.
Full debate: Speciality Steel UK: Insolvency
As I have stated previously, our long-term aspiration for British Steel will require private investment to enable modernisation and decarbonisation, support jobs, safeguard taxpayers’ money and retain steelmaking in Scunthorpe. We are continuing discussions with Jingye on options to achieve that objective.
Full debate: British Steel
This measure will reinforce the fact that the UK is a great place to do business. It will help secure jobs and attract new investment into the UK as part of the plan for change. It will protect our foundational manufacturing sectors from the risk of carbon leakage, while helping to unlock investment in dynamic new sectors such as gigafactories, which will be critical to the UK’s future transition to net zero.
Full debate: Network Charging Compensation Scheme Uplift
Today, I am pleased to have laid a departmental minute with an update on the contingent liabilities associated with the carbon capture usage and storage track 1 clusters, HyNet and East Coast Cluster. This update is in anticipation of our signing contracts with the Padeswood cement project, which we expect soon, subject to timely conclusion of negotiations and resolution of outstanding conditions. Padeswood is a key demonstrator for decarbonisation of the cement industry, on which the security of the UK’s net zero transition is dependent. The addition of further CO 2 capture projects like Padeswood was planned and is part of the Government’s plan to maximise our investment in the HyNet cluster.
CCUS is the only feasible method for decarbonising many hard-to-abate sectors, including cement. Located in north Wales, Padeswood will be the first at-scale UK cement plant incorporating carbon capture and storage technology. The project presents a high value opportunity for the UK to secure a strong global foothold, in a growing customer market, for low-carbon cement production.
His Majesty’s Government’s CCUS programme is the first of its kind and consequently we have sought to overcome multiple market barriers which inhibit the development of a CCUS market in the UK. The costs of constructing and operating CCUS currently exceed the costs of emitting CO 2 —Government support is necessary to address these challenges and enable CCUS deployment at scale. Parliament agreed in November 2024 to accept five contingent liabilities within the CCUS track 1 contracts in order to reduce investor risk in CCUS technologies by bearing some of the initial risk inherent in developing a CCUS market, as well as the cross-chain risk existing across the participants in the CCUS network.
Parliament was notified on 13 November 2024 of the five CLs outlined below, which are associated with the various CCUS track 1 contracts. These were:
The increase in maximum exposure outlined above is necessary to allow us to decarbonise, not deindustrialise, our cement industry. The adoption of the five contingent liabilities summarised above is already allowing HMG to deliver a first-of-a-kind CCUS sector, which we know will be vital for delivering on our net zero targets, as well as supporting jobs and growth in our industrial heartlands.
Full debate: CCUS Track 1 Contingent Liabilities: Padeswood
Building on the successes of the automotive transformation fund and Advanced Propulsion Centre R&D programmes, this programme will support the latest research and development, accelerate commercial scale-up, and unlock capital investment in zero emission vehicles, batteries and the wider supply chain. It will ensure continuity in Government support while transitioning to a new funding offer for investors that is much simpler, clearer and faster. The new programme will work alongside the national wealth fund, as part of a comprehensive offer to attract strategic investments.
“That this House authorises the Secretary of State to undertake, during the period beginning with the date of approval of this motion and ending on 31 July 2030, to pay, by way of financial assistance under section 8 of the Industrial Development Act 1982, grants to businesses as part of His Majesty’s Government’s project to support zero-emission vehicle manufacturing in the UK and the UK’s automotive supply chain, including to support the creation of jobs, private investment into the UK, the development of the automotive industry and emission reductions, up to an overall limit of £1 billion, and to pay during or after that period the grants that are undertaken to be paid.”
Full debate: UK Automotive Sector: DRIVE35
We know how important carbon capture, usage and storage is—the Climate Change Committee said there is no route to net zero that does not include carbon capture—with, of course, up to 50,000 good, well-paid jobs across the UK. The Government have already shown their commitment to carbon capture with a £21.7 billion investment. I am afraid that the hon. Member will have to wait until the spending review for the final decisions, but I hope he agrees that we are putting in place ambitious, substantial carbon capture plans that will drive growth across the country.
Full debate: Track-2 Acorn Cluster
Yesterday, 19 May, as part of the substantial package agreed at the EU summit, we also agreed to work towards linking the UK and EU emissions trading systems, creating the conditions to exempt UK exporters from the EU carbon border adjustment mechanism, or CBAM—something the steel industry has been seeking, to lower the cost of decarbonisation, avoid competitive distortions and boost market confidence. The European Commission has also confirmed that, in a specific product category subject to the EU steel safeguard measure, it will restore the UK’s country-specific steel quota to historic levels and that this will be reflected in a post-2026 regime. This will ensure that UK producers, including British Steel—the UK’s largest producer of these goods—will continue to be able to export tariff free at historic trading levels.
Full debate: British Steel: Special Measures Update
It is a pleasure to serve under your chairmanship, Dr Murrison. The draft regulations were laid before the House on 23 April. Before outlining the provisions, I will briefly provide some context. The Department for Energy Security and Net Zero’s Offshore Petroleum Regulator for Environment and Decommissioning—OPRED—minimises the offshore sector’s impact on the environment by controlling air emissions and discharges to sea, and by reducing disturbance over the life cycle of operations, from seismic surveys through to post-decommissioning monitoring.
Full debate: Draft Pollution Prevention and Control (Fees) (Miscellaneous Amendments) Regulations 2025
Where manufacturers are telling us that there are policy hurdles, we are listening, responding and helping industry to overcome them. That is why we launched the zero emission vehicle mandate consultation back in December, and in April we announced significant changes to the mandate, which I think everyone in this place welcomes, to ease the path for the automotive sector’s transition to electric vehicles. We have increased the flexibilities within the mandate for manufacturers up to 2030, smoothing the transition towards zero emission vehicles. We are allowing hybrid cars, such as the Toyota Corolla and the Nissan e-POWER, to be sold until 2035 to ease the transition and give industry more time to prepare. British supercar brands, such as McLaren and Aston Martin, have been exempted altogether from the 2030 phase-out date.
In addition to trying to achieve a reduction of tariffs, we are really investing in the automotive industry. In the Budget last year, we committed over £2 billion of capital in research and development funding until 2030, as has been mentioned, for zero emission vehicle manufacturing and the supply chains, and a further £300 million to drive the uptake of electric vehicles.
This new funding will support cutting-edge research and the scale-up of innovative zero emission vehicle technologies. It will also unlock capital investment in ZEVs, batteries and the wider supply chain. And that comes on top of the great work being supported by our Automotive Transformation Fund, which enables British brands and car manufacturers to benefit from a globally competitive supply chain for electric vehicles and their batteries. That has given much confidence to the sector and helped to secure major investment in the UK —including, of course, the £4 billion investment by Tata in its new gigafactory in Somerset. We also want future initiatives to work alongside the National Wealth Fund as part of a comprehensive offer to other big-hitting international investors.
Full debate: Automotive Manufacturing: Employment
For energy-intensive industries overall, our clean power 2030 target is the key to long-term sustainable price reductions. Clean home-grown energy is the best way to protect bill payers and boost Britain’s energy independence. We are already bringing energy costs for UK industries closer into line with other major economies through the British industry supercharger. That will fully exempt eligible firms, including some but by no means all of those in the ceramics sector, from certain costs linked to renewable energy policies, particularly those exposed to the high cost of electricity.
Using more electricity and less fossil fuel is the future for UK businesses. The latest advice from the Climate Change Committee expects electricity to meet 61% of industrial energy demand by 2040, so we are developing options to enable businesses to do that.
Full debate: Energy Prices: Energy-intensive Industries
The Conservative party is hiding behind this new-found scepticism of net zero to conceal its complete failure to support and grow our foundational and manufacturing industries on its watch. On its watch, we lost 70,000 jobs in the North sea and 1,250 jobs in the ceramics sector, chemicals manufacturing fell by 30%, and we produced only 30% of the steel that we use in this country. The Conservative party’s record on this issue is shameful.
This Government have a completely different approach. We are developing the industrial strategy, which will support those foundational industries. We are looking to make sure we can reach net zero by 2030, in order to provide the economic and energy security we need. The last cost of living crisis was caused by our reliance on global gas prices, as the hon. Member for West Aberdeenshire and Kincardine (Andrew Bowie) knows, and as he occasionally says in some meetings when he flips and flops on his position on net zero. We will support manufacturing; we are developing our industrial strategy, which will be published in a few weeks’ time, and we are already providing more support to the energy-intensive industries through the energy supercharger than the previous Government did. We will act where the previous Government failed to act.
Full debate: Energy Prices: Energy-intensive Industries
I thank my hon. Friend for her championing of her constituency. I am still to visit, and I must do that, because I know she has many exciting places for me to see. Electrifying industry is crucial. The Climate Change Committee has said that that is the route and that 61% of industry will need to be electrified. We need to make sure we do that. We are looking through the spending review process, as I am sure she would expect, at how we can support industries to make that change to electric and how we can help with some of the capital costs, which will lead to lower costs in the longer term. Making that leap can be difficult, and that is what we are looking at through the spending review.
Full debate: Energy Prices: Energy-intensive Industries
I welcome the hon. Gentleman’s support for Government policy and for our investment in CCUS. As he knows, Acorn is a matter for the spending review. I talk to many industries in Scotland, and everyone is supportive of the scheme. We support the scheme and are working closely with industry, but it is a matter for the spending review.
Full debate: Clean Energy Transition
The Office for Clean Energy Jobs is focused on developing a skilled workforce in core energy and net zero sectors that are critical to meeting our mission to make the UK a clean energy superpower. My right hon. Friend the Secretary of State and I are working with Skills England to assess skill needs and engaging with the Department for Education on apprenticeships and the wider growth and skills offer.
Full debate: Topical Questions
I thank the Chair of the Energy Security and Net Zero Committee for his important question. He makes the point that we need steel for green energy—wind turbines, carbon capture and so on—and our energy security. There is an important wider point, which is that since the election, £43.7 billion has been committed by the private sector to invest in clean energy in this country. Those on the Opposition Benches who are questioning net zero are putting at risk thousands of jobs that we will see delivered through clean energy. We have to be very careful what we wish for, because that investment is incredibly important for our country. The green energy sector is growing 10% faster than the rest of the economy. These are important things and important jobs.
My hon. Friend makes a really sensible point about grid connection. We have not just seen this at Scunthorpe; we have seen it with many different companies, where grid connections being 15 or even 20 years away makes investment completely unviable. My right hon. Friend the Secretary of State for Energy Security and Net Zero announced last week how we are reforming the grid queue, getting rid of zombie projects and ensuring that we prioritise what is important. We will ensure we are doing everything we can to improve that connection at Scunthorpe.
Full debate: British Steel
Some 70,000 jobs have been lost in North sea oil and gas since the Conservatives were in power, because it is a declining basin and it is getting harder to drill for oil and gas—we know that. The transition is happening; the issue is how we support that. This Government are putting in place a huge amount of support to try to ensure that those very skilled workers can transition into the green energy sector. I repeat this statistic: £43.7 billion of private sector investment in clean energy has been promised since this Government came to power. Is it really the Conservatives’ opinion that we should throw away all that investment and not protect all those jobs for the future?
Full debate: British Steel
I just do not agree with the right hon. Gentleman’s position on this issue. He is right to say that we have seen the offshoring of manufacturing over a period of years. We have not entirely lost the aluminium sector—there is one smelter left, but that is all. Indeed, I meet representatives of the aluminium sector regularly, because it has had 25% tariffs put on it, just as the steel industry has. The trade body, UK Steel, was really clear that the UK’s reliance on natural gas power generation leaves us with higher prices. The steel sector does not pay the green levies because of reductions that it is given. It is not net zero causing this problem; the challenge is how we get the clean energy that we need to stop our reliance on the overseas oil and gas market. He is right to say that we have seen offshoring, and we are working to stop that.
Full debate: British Steel
In the first 10 weeks after coming to power, this Government negotiated a better deal on Port Talbot and delivered a £200 million commitment to secure the future of Grangemouth. We acted last week on the zero emission vehicle mandate to secure our automotive industry. We are acting today to save the workers of Scunthorpe. The Government believe in direct action—in an active state securing the future of our industry across the UK.
Full debate: Steel Industry (Special Measures) Bill
I thank the hon. Gentleman for his contribution and for welcoming the Prime Minister’s announcements today on the zero emission vehicle mandate and the changes we have made to support the automotive industry, which is incredibly important.
Full debate: Scunthorpe Steelworks
When we pull together the industrial strategy, the defence spending, our reforms to apprenticeships and our prioritisation of funding, including the Cromarty Firth example, the National Wealth Fund—with £5.3 billion for clean, green energy in five groupings, one of which is ports—and the clean industry bonus, which is another opportunity to support growth in this sector, it is clear that the Government have a plan. That has been lacking in previous years, but we are not afraid to roll up our sleeves and get things done. We are all invested in the shipbuilding industry for reasons relating to the past and, more importantly, the future.
Full debate: Shipyards: Economic Growth
My hon. Friend asks a very good question. I am very pleased that the Department for Transport today launched the new UK bus manufacturing expert panel. We need to support our bus manufacturing, both for the transition to net zero and for building our businesses in the UK. I am very happy to work with him on that.
Full debate: Topical Questions
We are getting on with a plan for the future. First, we will invest in clean power. It is ludicrous that at this time when our bills depend on what Putin chooses to do and we have to respond, the shadow Minister is suggesting that we should do more of that. Even if there were no climate change, even if there were no push to clean power, if we drilled as much oil and gas from the North sea as we possibly could, it would amount to less than 1% of the global market and would have no impact on bills whatsoever.
Full debate: North Sea Energy
I thank the hon. Lady for her remarks. On upskilling and redeploying workers, as I said previously, we are introducing the passporting scheme and making sure that we can break down the barriers that exist in different industries, because the skills and talents of people working in oil and gas can be transferred to renewable energy. We want to make sure that we do that.
Full debate: North Sea Energy
I can reassure the hon. Gentleman that I am on planet Earth and that we are well aware of what we are doing. We look at the world around us and see the enormous hike in energy prices, which is linked to our being attached to the global market for oil and gas. The previous Government spent tens of billions of pounds of taxpayers’ money in order to protect people against the price hike, and we cannot allow that to happen again. It is absolutely right that we push for cheaper renewable energy, and I remind the hon. Gentleman that I sit in two Departments: the Business Secretary is my boss, and the Energy Secretary is my boss. They both agree with this policy, as does the Chancellor, because it is the right thing to do.
Full debate: North Sea Energy
I am not sure how many times I will have to go through this, but we are not cutting energy jobs. The North sea is declining because there is less and less oil and gas there. The work the previous Government did on renewable energies secured no supply chains for this country, so we were reliant on other countries, as the hon. Member points out. We are putting in place incentives for supply chains to be in this country, so that we make more. I am delivering a steel strategy to make sure that we use steel from this country for our clean energy future. These are the policies we are putting in place to make sure we have a managed transition, clean energy, lower bills and energy security.
Full debate: North Sea Energy
My hon. Friend is completely right to expose Reform’s arguments for the nonsense they are. The CBI brought out a report a week or so ago showing that the net zero economy grew by 10%, which is much faster than the wider economy. This is delivering jobs already, as well as investment from around the world, in part because we are the second most attractive country in the world in which to invest, as PwC has told us. The reality is that we can bring down bills, secure good jobs and make ourselves more energy secure, and Reform is living in the past.
Full debate: North Sea Energy
My hon. Friend also highlighted how electricity costs so much more than gas and the challenges that will bring as we decarbonise. He mentioned the emissions trading scheme and the ongoing consultation on free allowances. I also heard his well-made points about the low carbon transition and the challenges for sectors such as ceramics, where its up-front cost is potentially prohibitive.
Full debate: North Staffordshire Ceramics Industry: Energy Costs
I thank my hon. Friend for those points, which he has previously raised with me. I can certainly take away the point about the public sector decarbonisation scheme. Bizarrely, as he knows, it is not part of my brief, but that does not matter. This Government work across Departments and across barriers, and I will endeavour to look into it. The point is well made that it can be challenging when a company has small margins and big up-front costs, especially in these industries where there has not been infrastructure investment for a long time. A lot of places need general infrastructure investment, and we are looking actively at this issue through the spending review process.
We are looking at subsidies on energy costs. My hon. Friend said that the Department for Business and Trade and the Department for Energy Security and Net Zero should work together. I sit in both Departments, so I have conversations with myself about these issues. There are competing vantage points that we need to grapple with, but the advantage of my sitting in both Departments is that officials from the two Departments meet to find solutions before speaking to me, which is helpful. They are working well together.
My hon. Friend talked about hydrogen, which is very important and is part of my brief in the Department for Energy Security and Net Zero. We are developing a kind of hydrogen network. We have had what we call HAR1, or hydrogen allocation round 1, which was the initial agreement to fund 11 hydrogen projects—electrolyser projects—around the country. There is hydrogen in the carbon capture and storage clusters that we are developing, and we are currently looking at what the next phase of the hydrogen roll-out will be.
My hon. Friend knows that hydrogen is currently very expensive. We need to work out a path to reduce costs, which is what we are grappling with at the moment, in a climate where it is difficult to bid for money in the spending review. How can we unleash the hydrogen industry and give certainty to businesses that want to invest but need the right signals? How can we do that and use money wisely? And who pays for it? People are very interested in hydrogen, whether in steel, in transport or in the green energy space—it has a lot of uses. We need to make sure we are making the right decisions. I will speak to the hydrogen team about ceramics, and I will ask what we are looking at in that space.
Full debate: North Staffordshire Ceramics Industry: Energy Costs
I do not know if the right hon. Gentleman saw that the CBI brought out figures over the weekend showing that the net zero economy grew by 10% last year, which is significantly more than the economy as a whole. We are absolutely right to transition to electric vehicles, so that we can stick to our commitments on climate change. We are being pragmatic in how we do that. We are not following the same policy as the previous Government, because we are talking to industry and consulting. We will publish the results of the consultation on how the flexibilities within the transition are working, and whether we need to change them in any way.
Full debate: Plant Oxford Site
Here we go with the same old lines. The hon. Gentleman tells us that net zero is a massive con, yet he owns a company that is investing in electric car charging ports. I rest my case.
Full debate: Plant Oxford Site
Secondly, the Government set the structure, through the industrial strategy, and a direction of travel that industry can understand. The hon. Gentleman will know that we are developing the industrial strategy. There are eight growth sectors where we think there is the biggest capacity for growth. We are working on honing down what the sub-sectors are within that. Advanced manufacturing, defence and green energy are all key areas that we have identified as opportunities for growth and Northern Ireland has such a role to play in that space. That architecture, which will provide the long-term stability over the next five to 10 years, will be really important and helpful.
Full debate: Manufacturing and Engineering (Northern Ireland)
The Government came into office six months ago and are determined to ensure that clean energy jobs are high quality, well paid and secure, with strong trade unions. I want to take this opportunity to commend EDF Renewables for its recent recognition agreements with three trade unions. Through the Office for Clean Energy Jobs, we are working with industry and trades unions to support fair pay and workers’ rights, and ensuring that workers across the country can benefit from the economic opportunities of the net zero transition.
Full debate: Renewable Energy: Workers’ Rights
I thank my hon. Friend for her question, for her defence of her constituency and for her ambitions, which we share. I believe the report she refers to came out before this Labour Government came to power. With our new policies and the new drive and ambition from our Secretaries of State for Business and Trade and for Energy Security and Net Zero, we are powering forward with our renewable agenda, and we will make sure that all of our growth driving sectors speak to my hon. Friend’s area and everyone’s area of the country and drive growth across the board.
Full debate: Industrial Strategy
I am disappointed by the hon. Lady’s approach to this matter, and I am disappointed by the Conservative party’s overall abandonment of previously strongly held views about the need to balance climate change with our economy. It is a fact that we are moving faster towards renewable energy. Last year, 50% of our energy came from renewables for the first time. We are growing them at pace because they are cheaper. Onshore wind is the cheapest form of energy we have, solar is very cheap and floating offshore wind brings us huge opportunities. Renewables will bring our costs down and make sure we are energy secure, and they go hand in glove with growth, as the Chancellor set out in her speech yesterday.
Full debate: Industrial Strategy
I sit jointly in the Department for Business and Trade and the Department for Energy Security and Net Zero, so the hon. Lady can be reassured that I talk to my colleagues and am working with them. Indeed, I am leading on hydrogen and carbon capture, which is an important part of the mix. We are clear that nuclear is an important part of our future and that the strongest approach to deliver energy security and bring prices down is to have all the opportunities available to us and to build at pace. That is why we are trebling our solar, doubling our wind and supporting big nuclear as well as small modular reactors. She can be reassured that we are putting a strategy in place, which the previous Government failed to do.
Full debate: Industrial Strategy
As we have already discussed, the automotive sector is absolutely vital to the Government’s plans for green economic growth, and for growing the economy more widely. That is why, at the Budget, my right hon. Friend the Chancellor committed to ensuring over £2 billion of capital and research and development funding before 2030 for zero emission vehicle manufacturing and its supply chains. We are also consulting the industry to make sure that the zero emissions transition works for the UK’s car industry, and working with the automotive transformation fund and the Advanced Propulsion Centre to make sure that we carry on innovating and seeing the growth of the automotive sector in the UK.
Full debate: Support for the Automotive Industry
My hon. Friend makes a good point, and I would be happy to meet a group of MPs from her area. The ambition on airport expansion was very clear in the Chancellor’s speech yesterday. We are hungry for growth; we set that need alongside the need to decarbonise our airspace. Yesterday, I chaired a meeting of industry experts looking at how we can turbocharge our decarbonisation of aviation.
Full debate: Topical Questions
I will set out the Government’s overall approach to our clean power mission, which might help to put the debate in context. We, like the hon. Member for South Cotswolds, have been clear from the start that the only way to tackle climate change, secure our energy supply, bring down bills and drive economic growth is through clean energy. The rapid deployment of clean energy infrastructure is essential for our future security and economy.
Full debate: Solar Farms: Agricultural Land
Sustainable power generated here in Britain will reduce our contribution to the damaging effects of climate change and our dependence on the volatile global fossil fuel market. It is already creating thousands of highly skilled jobs and will continue to do so. Instead of delaying the inevitable, we have set ourselves a target to push to clean power by 2030. The clean power action plan, published last month, sets out how we will get there, including the likely technology mix required. It is clear that solar will play a major role.
Full debate: Solar Farms: Agricultural Land
I want to tackle the issue that a number of Members mentioned—the rooftop versus ground-mount issue. The hon. Member for South Cotswolds is right to talk about how we need to be going further to make sure we are putting solar panels on our roofs, and to ask what Government can do to encourage that. We are bringing in new building standards to ensure that all newly built houses and commercial buildings are fit for a net zero future. We expect those standards to encourage the installation of solar panels on new developments. We are issuing later this year a call for evidence on the construction of solar on outdoor car parks. The reconvened solar taskforce is focusing on rooftop solar, and further actions to increase deployment will be set out in the road map this spring.
Full debate: Solar Farms: Agricultural Land
The reality is that we have not kept up to speed with infrastructure developments in this country over the past couple of decades, and we need to move faster. Whether it is our grid system, renewable energy or our transport systems, we need to build these things for our children and grandchildren to have the future that we want to see. Of course we need to be mindful of the impact and how local people feel. That is why, for the nationally significant infrastructure projects, there is still consultation and strong engagement with communities. That needs to get better, and we are looking at that through our clean power action plan.
Full debate: Solar Farms: Agricultural Land
I will finish my point, because it is connected to the point made by the hon. Member for South Cotswolds. The biggest threat to British farmers in the countryside is not solar farms; it is the impact of climate change, and we are already seeing the effects in the floods and droughts that are threatening their livelihoods. We have to be mindful of that when we are trying to tackle climate change and increase the use of solar.
Full debate: Solar Farms: Agricultural Land
I want to touch again on the community benefits, which hon. Members have raised. I cannot stress enough that communities hosting clean energy infrastructure are doing a service to our country, and they need to benefit from that. It could be argued that we will all benefit in the long term as energy prices come down and we have more energy security, but there are many ways that communities can directly benefit, including through community funds, direct payments and community ownership. We are exploring all the options, and we will have more to say about that soon. In the meantime, Great British Energy will support community energy schemes, helping communities to unlock opportunities through the local power plan, which will support local authorities, community energy groups and others to deliver small and medium-scale renewable energy projects. It could develop up to 8 GW of clean power by 2030.
I thank the hon. Member for South Cotswolds for securing the debate, and other hon. Members for their very thoughtful interventions. The Government remain committed to balancing the urgent need for renewable electricity with considerations of land use, food production and community benefit. We want to take people with us on this journey, which will see us going into the future with a mix of renewable energy that delivers the lower prices that we all want to see.
Full debate: Solar Farms: Agricultural Land
Today the Department for Energy Security and Net Zero is publishing a consultation on the design of a gas shipper obligation. The Government intend for the gas shipper obligation to be the long-term funding mechanism for hydrogen production business model payments to initial hydrogen production projects and related costs. Decisions on funding for future hydrogen production business model projects will consider consumer affordability, value for money and fairness.
Full debate: Gas Shipper Obligation Consultation
My hon. Friend is absolutely right. Green hydrogen is vital, not just for the decarbonisation of heavy industry but for aviation and maritime. It has the potential to create thousands of very highly skilled jobs in every region of the country. We have already confirmed support for 11 green hydrogen projects from Cumbria to Cornwall, and from Scotland to Kent. I look forward to saying more on our hydrogen journey soon.
Full debate: Great British Energy: Job Creation
I would be absolutely delighted to meet my hon. Friend; we can talk about data centres at the same time. Carbon capture is an incredibly important part of our future. We know that we have to have it in order to decarbonise some of our very hard-to-decarbonise industries, and I would be delighted to talk about the possible jobs that it could bring as well.
Full debate: Topical Questions
The national wealth fund is delivering a key manifesto commitment to set up a Government-backed investor—in some ways like the sovereign wealth funds we see in other countries—that will support the UK’s industrial strategy and economic growth. It will play a central role in our clean power mission by creating jobs in rapidly growing green industries. My role sits across the Department for Business and Trade, where I work on industrial strategy, and this Department, where I work on industrial decarbonisation, so I have a unique vantage point to see the benefits of the national wealth fund and all the opportunities it will bring.
Full debate: National Wealth Fund: Opportunities for Industry
I would love to hear more, as I am sure would the Minister for Energy, my hon. Friend the Member for Rutherglen (Michael Shanks). We are committed to all forms of renewable energy if they are economical, which is why we ringfenced tidal in the latest contracts for difference auction, which resulted in six tidal projects being successful, securing up to 28 MW. We continue to look at what more we can do to support this more nascent technology, including the role that GB Energy can play in the future.
Full debate: National Wealth Fund: Opportunities for Industry
The draft regulations were laid before the House on 30 October 2024. The Government believe that the answers to the challenges of energy security, affordability and sustainability point not in different directions but in the same direction: towards clean power. Investing in clean power at speed and scale can help to tackle the climate crisis and create good jobs. It is the only route to protect bill payers and ensure energy security. That is why making Britain a clean energy superpower by 2030 is one of this Government’s five central missions.
Although renewable energy is at the heart of our plan to deliver clean power, we also know that we must bring forward low-carbon generation sources, providing added security for when the sun does not shine and the wind does not blow. This includes flexible supply sources that can scale up or down instantaneously to meet peak demand. Some flexibility can be provided by short-duration technologies such as batteries, which can help to balance the system within each day, but we will also need long-duration technologies, which can run for extended periods of low renewable production.
Gas is expected to be used less in our future energy system, taking a backseat, and only to maintain security of supply. Although gas will continue to play an important role in the system, it is only right that we should expect any new or substantially refurbished combustion plants to be built net zero-ready. This is why we are updating the existing regime and introducing the new decarbonisation readiness requirements.
Before I turn in detail to the decarbonisation requirements, let me set out the current regime. Since 2009, all new-build combustion power plants in Great Britain with capacity over 300 MW have been subject to the carbon capture readiness requirements. Those regulations require plant operators to demonstrate that it is technically and economically feasible to retrofit carbon capture and storage technology. Due to the 300 MW threshold, the policy has seen limited application since 2009. It has also contributed to a costly market distortion by incentivising the building of smaller, less efficient plants, and inadvertently creating an unacceptable loophole that has resulted in a significant number being built at 299 MW to avoid the carbon capture readiness requirements.
The policy landscape has changed significantly since the carbon capture readiness requirements were introduced. Plant operators now have an alternative pathway to decarbonise through hydrogen-fired generation, and there has been the introduction of the UK’s legal obligation to meet carbon budgets and to reach net zero by 2050.
In March 2023, the previous Government published a final consultation on the decarbonisation readiness proposals, alongside the publication of two technical studies for hydrogen and for carbon capture and storage. The consultation received positive feedback from industry and we published a response in mid-October, giving the go-ahead to proposals set out in the consultation.
Let me turn to the detail of the regulations. This statutory instrument will amend the Environmental Permitting (England and Wales) Regulations 2016 by inserting new schedule 25C. This will remove the 300 MW minimum capacity threshold, removing any existing market distortion and supporting rapid decarbonisation by setting out that nearly all new and substantially refurbished combustion power plants must have a credible plan to decarbonise.
The regulations will also move the requirements from the planning consent process, where they currently sit for carbon capture readiness, to environmental permitting. This will ensure that the responsibility for regulating the requirements falls to the Environment Agency rather than to local planning authorities and the Department for Energy Security and Net Zero. Unlike local planning authorities, the Environment Agency is already involved in the assessment of carbon capture readiness and has the technical expertise to assess the requirements. As I mentioned a moment ago, this will also include hydrogen readiness.
The new requirements will now enable combustion plants to demonstrate decarbonisation readiness through conversion to hydrogen firing as well as carbon capture. In doing so, the instrument introduces hydrogen conversion readiness and carbon capture readiness assessments, which are proportionate to the developing nature of hydrogen to power and of carbon capture and storage. It will also expand the generation technologies in scope of the requirements to include biomass, energy from waste, and combined heat and power plants, ensuring that a higher number of carbon-intensive plants are now captured.
The updated requirements are intended to strike a balance, ensuring that new-build plants are ready to take full advantage of future decarbonisation opportunities —and that the refurbishment of old sites is conducted to take advantage of those opportunities too—while acknowledging the emerging state of hydrogen and carbon capture technologies and their enabling infrastructure. We expect that the requirements will be strengthened over time as the generation technology improves and clarity on enabling infrastructure availability increases.
In summary, the regulations will ensure that the gas capacity that we need for the security of supply is future-proofed and that there is a credible plan to transition to low-carbon operation. In doing so, they will help towards our aim to become a clean energy superpower and deliver net zero by 2050. I commend the draft regulations to the Committee.
Full debate: Draft Environmental Permitting (Electricity Generating Stations) (Amendment) Regulations 2024
Making Britain a clean energy superpower by 2030 is one of the Prime Minister’s five missions. Unabated gas currently provides the majority of flexibility in Great Britain and so the deployment of hydrogen to power—the conversion of low-carbon hydrogen to produce low-carbon electricity—will play an important part in displacing unabated gas generation from the power system, to support the clean power mission, and the Government’s legally binding target to reduce greenhouse gas emissions to net zero by 2050.
Low-carbon hydrogen can make our energy system more flexible, resilient, and independent. When connected with large-scale storage, hydrogen to power can provide electricity to cover longer periods of lower renewable output, while also creating a decarbonisation pathway for unabated gas power plants. The hydrogen to power business model will de-risk investment in hydrogen to power by mitigating the deployment barriers we identified, through a dispatchable power agreement-style business model, helping to support the unlocking of investment in hydrogen to power and improving the pipeline of projects.
Full debate: Hydrogen to Power Business Model: Consultation Response
Today, I am pleased to have laid a departmental minute setting out the details of a series of contingent liabilities associated with the carbon capture usage and storage track-1 clusters. Carbon capture usage and storage is a critical component of the UK meeting its 2050 net zero commitment particularly via ensuring energy and supply chain security and enabling hard-to-abate sectors to decarbonise.
Carbon capture usage and storage is the only feasible method for decarbonising many hard-to-abate sectors such as cement production, and is currently the most cost-effective method of decarbonising others, such as dispatchable power. While there is growing interest worldwide, a programme of this nature is first of a kind and consequently there are multiple market barriers which inhibit the development of a carbon capture usage and storage market in the UK.
The table below sets out the HMG’s maximum exposure for each of the programme-associated contingent liabilities. These concern the five projects that were part of the October announcement: two transport and storage networks, Net Zero Teesside, Protos, and EET Hydrogen. We will notify Parliament of additional contingent liabilities when other projects reach financial close. It is important to note that while the table represents the maximum possible exposure, the probabilised exposures and likely crystallisations are far lower. There are robust risk management frameworks in place. Our assessments indicate that there no liabilities that are likely to be realised and the vast majority are very remote.
The contingent liabilities are necessary as it provides confidence in this first of a kind sector. Carbon capture, usage and storage will enable us to accelerate to net zero while maintaining energy security and delivering growth to our industrial heartlands.
Full debate: Carbon Capture, Usage and Storage
On 4 October, the Government announced £21.7 billion over the next 25 years to launch the UK’s carbon capture, utilisation and storage industry. We will provide further details on the next steps for CCUS, including track 2 projects such as Acorn, in the coming months.
Full debate: Carbon Capture and Storage
We are committed to track 2, and I recognise the huge advantages of Acorn that the hon. Gentleman has highlighted. Our record £21.7 billion investment demonstrates our long-term commitment and gives industry the certainty it needs. The ups and downs of CCUS under the previous Government did not provide the certainty that people required, and certainty is what we are looking to deliver. We understand that people want clarity, and we will be making further announcements in the coming months.
Full debate: Carbon Capture and Storage
We realise that CCUS is an emerging industry, but it is also one that we can lead on internationally, thanks to the unique geography of the North sea. We will do all we can to help industry scale up in this technology, which we believe will play a crucial role in our mission towards clean power.
Full debate: Carbon Capture and Storage
I completely agree with my hon. Friend’s sentiment and commend the work that he is doing in his constituency. Low carbon technology will of course play a critical role in our future, from hydrogen to carbon capture and to renewable energy. I am pleased that, in the Budget, we saw the funding of 11 hydrogen projects, which will drive jobs and growth. I am really keen to talk to him about his plans for Peterborough becoming the King’s Cross for a hydrogen network and applaud the work that is going on in his constituency around green jobs.
Full debate: Renewable Energy: Job Creation
We are ambitious to create all the jobs that we want to see in the green technologies of the future. I would be very interested to hear more about what the hon. Gentleman has to say. The Climate Change Committee estimates that up to 750,000 net jobs could be created by 2030. Opposition Members have decided that they do not support that path. The question is: why are they objecting to all these new jobs that we will be creating across our country?
Full debate: Renewable Energy: Job Creation
I am glad that the hon. Gentleman asks what we are doing to engage with the Department for Energy Security and Net Zero, because I sit across that Department and the Department for Business and Trade. The entire point of my role is to make sure that we join up the two Departments, so that we can crack some of these problems. The grid is No. 1 on our list.
Full debate: Topical Questions
However, in just 100 days this Government have already laid down the blueprint for 10 years of growth through our biggest and most innovative sectors; secured £63 billion in new investments that underline our potential as a world leader in renewable energy, life sciences, technology and clean growth; and brought forward a raft of reforms to create a happier, more secure and more productive workforce.
Full debate: International Investment Summit
As always, Sir Edward, it is a pleasure to serve under your chairship. This statutory instrument, which was laid before the House in draft on 30 July 2024, forms an important part of the Government’s commitment to accelerate the deployment of carbon capture, usage and storage. CCUS is critical to deliver clean energy and accelerate our net zero journey. As the Government recently announced, CCUS is vital as we enter into a new era of clean energy investment and jobs. By boosting this tried-and-tested technology, the UK has the potential to become a global leader in CCUS, delivering good jobs and economic growth for decades to come.
A critical element of the CCUS mix is the successful deployment of power CCUS—gas-powered electricity generators fitted with carbon capture technology. [ Interruption. ] It is a bit more complicated than I just tried to indicate, but that is the gist. Power CCUS will complement the roll-out of renewable energy, providing the secure, flexible, non-weather-dependent, low-carbon electricity that is critical for a reliable energy system and for achieving our mission of clean power by 2030.
The Government are committed to incentivising the deployment of power CCUS, and this statutory instrument will enable future payments to power CCUS plants under a business model called the dispatchable power agreement. The DPA is the contract framework to support power CCUS. It has been designed especially to incentivise investment in and the deployment of power CCUS in the UK.
In addition to the existing renewable CfD contract design, the DPA business model will provide an alternative payment based on a power CCUS generator’s availability. This availability payment is based on a generator’s availability in respect of electricity generation and carbon capture, and associated carbon dioxide transport and storage network costs. Under the DPA terms, payments will reduce proportionately to reflect any reduction in a generator’s CO 2 capture availability—in other words, its capture rate—or generation.
A payment is made whether a generator dispatches power or not. This ensures that a CCUS power plant will run in response to market signals, ahead of unabated gas plants, but will not surpass cheaper renewables. This arrangement will strengthen our security of supply and ensure that a source of reliable low-carbon energy is available, but only when the wind does not blow and the sun does not shine.
First, regulation 4 relates to the way that an electricity supplier’s daily contributions paid to the CfD counter-party are calculated. The statutory instrument amends regulation 4 to change the definition of “generation payments” so that the supplier obligation can be charged for payments relating to the activities of a dispatchable power plant fitted with CCUS technology—I hope everyone is still with me.
Together, the changes allow a CfD counterparty to estimate and raise funds, and ultimately to pay a DPA-supported CCUS-enabled power plant. The existing payment calculation, based on the amount of electricity generated by renewable CfD-supported generating stations, is retained and unaffected.
In summary, the statutory instrument represents a positive step forward in the delivery of the Government’s ambitious CCUS programme and 2030 clean power mission. It will lay the regulatory groundwork to encourage the deployment of power CCUS and begin to unlock the great economic and jobs opportunities. I commend the draft regulations to the House.
Full debate: Draft Contracts for Difference (Electricity Supplier Obligations) (Amendment) Regulations 2024
I thank the shadow Minister for his comments and hon. Friends and other Members for being here. The statutory instrument before us will incentivise the deployment of power CCUS and make a significant contribution to our CCUS programme and 2030 clean power mission. I commend the draft regulations to the Committee.
Full debate: Draft Contracts for Difference (Electricity Supplier Obligations) (Amendment) Regulations 2024
We need to lay out long-term policies and plans to ensure that the UK steel industry is not left behind as the world decarbonises, so last month the Government announced that we will bring forward a new steel strategy next spring. I hear the House’s impatience for that strategy and I understand it: there has been a long period of decline, and we need to turn that around. Given the £2.5-billion investment that we have committed to the strategy, however, it is right that we talk to experts and to politicians around the country, particularly those who have steel in their areas.
Full debate: Steel Industry
At the moment, we do not have a factory that makes turbines on the scale that we need for floating offshore wind, but SeAH is building that factory because it has an agreement with RWE, which will be running the turbines that it builds in future. That green job development into wind and renewable energy is driving our ability to build a factory in Teesside to create hundreds of jobs to build those monopiles, and we are using British steel. That is the kind of future that we want to see through the steel strategy; we are looking at those opportunities to bring new steel companies into this country and to find ways to drive up production in this country.
The British industry supercharger that the previous Government developed, which the hon. Member for Brigg and Immingham (Martin Vickers) mentioned, will bring down electricity costs for the UK’s most energy intensive industries, but we know that we need to go further. It brings down only 60% of costs and there is still a disparity. We believe that, in an unstable world, cheap home-grown green energy is the future. That is what will drive down prices, reduce our exposure to the volatile fossil fuel market, protect bill payers and strengthen our energy independence. Fundamentally, that is what will bring down costs in the long term.
Members also mentioned the challenges of decarbonisation. Tata and British Steel’s plans to invest in electric arc furnaces are driven by market conditions and the desire to reduce their carbon footprint—customers want greener steel. The UK is going to have a CBAM. If we were producing steel in the UK with blast furnaces, we would be massively inhibited because the EU is bringing in a CBAM, so the cost of exporting to the EU would be much higher. We have to deal with the world as we find it, which again is where we disagree with the hon. Member for Boston and Skegness. We cannot look back and try to re-create the past; we have to deal with the world as we find it, which means that we have to move towards those more efficient and greener energies.
The EU, where 78% of our steel exports went in 2023—that is worth pointing out—will bring in its carbon border adjustment mechanism in 2027. We rely on exporting a lot of the steel we produce to the EU, and we would be at a massive disadvantage were we to carry on producing steel from blast furnaces. We have committed to a UK carbon border adjustment mechanism, which will give UK businesses the confidence that, when they invest in decarbonisation and electrification, they will not be at a disadvantage. That is important.
Full debate: Steel Industry
To close my remarks, in steel, not to mention the wider economy, the inheritance of this Government from the previous Government was nothing short of a travesty. We had more than a decade of lurching from crisis to crisis, with no clear plan to safeguard the future of a competitive domestic steel industry. This Government are determined to change that, making the steel industry in this country fit for the future so that it is not left behind in a decarbonised world.
Full debate: Steel Industry
The regulations were laid before the House on 30 July under the affirmative process. These are technical but important regulations that form part of the implementation of the economic regulation framework for carbon dioxide transport and storage established in the Energy Act 2023. Carbon capture, usage and storage—CCUS, as we call it—is critical to delivering this Government’s mission to make Britain a clean energy superpower and to accelerating our journey to net zero.
To conclude, these are technical but important regulations, which provide clarity on what is meant by turnover when determining the amount of a financial penalty not exceeding the cap. The regulations represent an essential part of the economic regulation framework for carbon dioxide transport and storage—a regulatory framework that has been designed to overcome market barriers to deploying CCUS infrastructure in the UK and delivering our mission to accelerate our journey to net zero, while at the same time protecting the interests of users and consumers of this infrastructure. I commend the regulations to the Committee.
Full debate: Draft Carbon Dioxide Transport and Storage (Determination of Turnover for Penalties) Regulations 2024
The Government have two key missions: to become an energy superpower, and to grow the economy. Great British Energy will help us deliver on both those missions. The Under-Secretary of State for Energy Security and Net Zero, my hon. Friend the Member for Rutherglen (Michael Shanks), will be taking the Great British Energy Bill through Committee today, and I am excited for the job creation potential in our industrial communities. From engineers to welders, and from electricians to project managers, Great British Energy will be powered by people across all the nations and regions of this great country.
Full debate: Job Creation: Industrial Communities
I agree with my hon. Friend, and I thank him for his support. I doubt anybody would disagree with him on the benefits of our announcements on carbon capture and storage, which will create 4,000 jobs in the short term, with carbon capture more broadly creating up to 50,000 jobs over the next decade or so. [Interruption.] The Opposition Front Benchers chuckle, but I wonder whether, instead of dismissing that number of jobs, they might welcome them alongside Government Members. Alongside carbon capture, Great British Energy, our national wealth fund and our British jobs bonus, we are putting in place the levers to encourage growth across our country, and the Climate Change Committee estimates that up to 725,000 net new jobs could be created in low-carbon sectors by 2030.
Full debate: Job Creation: Industrial Communities
We are committed to accelerating the just transition for workers in Britain to boost our energy security and ensure good, long-term jobs, especially in North sea communities. We will work with them and other industrial regions to develop a plan, ensuring those workers are the people who decarbonise our country.
Full debate: Workers in High-Carbon Sectors
Last week was the historic week when 142 years of coal-fired electricity generation came to an end, and this week we have announced the new era of carbon capture and storage. We will work in a different way from the last Government, adopting a proactive approach to ensure that the transition works for people and that we create new jobs as well. At Grangemouth we provided a package of support for workers, and at Port Talbot we managed to negotiate a better deal than the last Government. We will use all the levers that we have—Great British Energy, the national wealth fund, the British jobs bonus and the office of green energy jobs that we have set up—to ensure that we get the transition right.
Full debate: Workers in High-Carbon Sectors
Steel has been one of my Department’s priorities since our first day in office. We are standing by our commitment to spend £2.5 billion to rebuild the steel industry. That is in addition to the £500 million for Tata Steel. The funding will harness public and private investment to secure jobs and boost growth. We will take action to improve the wider business environment for the sector, including reducing energy bills and enabling more green UK-made steel to be used in our infrastructure projects. The Government are clear, as the Secretary of State for Business and Trade, my right hon. Friend the Member for Stalybridge and Hyde (Jonathan Reynolds) has made very clear, that decarbonisation must not mean de-industrialisation.
Full debate: UK Steel Manufacturing
I thank the hon. Lady for a very sensible and thoughtful list of questions. We will be putting the Industrial Strategy Council on a statutory footing, which is important. The points she makes about decarbonisation and support for the industry are really important. The previous Government supported the aims of dealing with the climate crisis and the need for decarbonisation, but they did not put in place any strategy to help anybody do anything on that front. We need a proper industrial strategy and, alongside that, a proper industrial decarbonisation strategy. How will our heavy industries decarbonise in a way that does not de-industrialise and does not mean that they shut up shop and go elsewhere? How will we make sure that we enable all these industries to thrive? The hon. Lady is right to say that it is not just about the steel industry. We are looking at a much broader range of industries by sector and by geography, to work out the best way to get this done in a way that protects jobs and protects our industry.
Full debate: UK Steel Manufacturing
I thank the right hon. Gentleman for his question. Of course, if we do not take measures to decarbonise and tackle the climate crisis, the costs to this country will be infinitely higher. This is not a choice. [ Interruption. ] The hon. Member for Orpington (Gareth Bacon) disagrees, but we need to make sure we can decarbonise in a way that supports our industry to make that transition, which is exactly what we are doing.
The point of an industrial strategy is to lay out a plan so that the industry gets the support it needs, so that investors understand the plan and so that, by working together, we can make sure we decarbonise. The Government are supporting that where we can and pulling the levers we can. We are supporting the industry to do the opposite of what happened under the previous Government, which is grow.
Full debate: UK Steel Manufacturing
The hon. Gentleman talks about our obsession with decarbonisation and producing green steel, but we also have to go with the market. The market and big companies are now saying to us, “We want to buy green steel”. That is what they are demanding and what we will produce. If we do not, we will not be selling it on the same basis. We will use the money we are investing through the national wealth fund to develop a steel strategy that will enable us to bring new entrants into the UK, which the previous Government did not try to do, so that we can have a vibrant, competitive steel economy in the UK and create good, highly paid jobs in the green industries of the future. If we fall behind, others will come before us and take our jobs.
Full debate: UK Steel Manufacturing
My hon. Friend is absolutely right. We need to ensure we are producing cheap, clean energy in this country. As he rightly says, that means nuclear, as well as solar, wind, offshore wind and everything else in our armoury. This Government have been unbelievably proactive, with the Secretary of State for Energy Security and Net Zero ending the ban on onshore wind and agreeing to some of the solar panel installations we need. We had an enormously successful contracts for difference round that will allow floating offshore wind and other types of energy, and we are talking in detail about where we will take nuclear. Together, all those things mean that the country will have lower energy costs, that we can be more competitive and that our industry can thrive.
Full debate: UK Steel Manufacturing
As Members will be well aware, Northern Ireland has a long and impressive history in the aerospace industry. This Government are in lockstep with the sector’s ambitions to grow, compete on the world stage, and ease the transition to net zero flight. Today, the aerospace sector supports nearly 240,000 jobs, with almost half of those employees directly employed by aerospace companies. Some 5,000 of them are in Northern Ireland. The sector as a whole is worth some £30 billion. Despite all the achievements, we recognise that the past years have been challenging for the sector, with the chaos and uncertainty of the previous Government, and the global shocks of covid, the war in Ukraine and the disruption in the Red sea. We know that the impact of those issues persists.
Full debate: Aerospace Industry: Northern Ireland
In summary, the UK has a vibrant and hugely pioneering aerospace sector. It is a central cog in our manufacturing economy and will play a hugely important global role in decarbonisation and net zero, nurturing some of the highest-skilled jobs and most advanced technologies in the world. UK aerospace companies and their supply chains will be at the heart of our transformative industrial strategy, and I know the Northern Ireland aerospace sector will play a pivotal role in the success of the UK sector as a whole, and in the growth and success of UK manufacturing and industry.
Full debate: Aerospace Industry: Northern Ireland
The National Infrastructure Commission said that the Government have reversed some progress on net zero. The right hon. Member for Maidenhead (Mrs May) said that the Government’s roll-back on net zero has put off investors. A member of the Climate Change Committee has said that we are “not ready at all” for the impact of extreme weather on our national security. Mad, bad and dangerous. Will the Secretary of State finally back Great British Energy and the national wealth fund instead of lurching from crisis to crisis, not having a plan and selling out Britain?
Full debate: Topical Questions
As has been said, the move to net zero is key. The International Energy Agency has predicted that demand for critical minerals could more than double by 2030. There are different figures—the hon. Member for Truro and Falmouth said that it would quadruple—but we know that the need for critical minerals will increase significantly. It is therefore vital that we secure the supply of lithium and other critical minerals to this country.
Full debate: Lithium: Critical Minerals Supply
As the shadow Secretary of State, my hon. Friend the Member for Stalybridge and Hyde (Jonathan Reynolds), said in his opening speech, we also risk something much wider: that net zero becomes a zero-sum game for working people and we lose the public consent that we need for the transition. There is no getting away from the facts. The Government have pushed a plan that uses hundreds of millions of pounds to make thousands of people redundant. If Scunthorpe ends up going the same way—the hon. Member for Scunthorpe (Holly Mumby-Croft) made a powerful speech to the contrary—we will be unable to produce primary steel in the UK.
Full debate: Protecting Steel in the UK
We must think about manufacturing differently. I have lost track of the number of times businesses have said to me, “We would invest in renewables, but the Government make it too hard.” Our manufacturers say, “We want to decarbonise, but we are living hand to mouth because our energy bills are so much higher than in other countries, and Government won’t help us.” This steel debacle speaks to a much wider issue. We do not just need a steel industry: we need glass, ceramics, cement, compost, critical minerals, batteries, composites and cheap energy. We need supply chains that work, an upgraded national grid, planning reform and a job plan to create jobs across every part of this country—a transition from the old to a much cheaper renewable future. In short, we need an industrial strategy. We need a Government who believe in working in partnership with industry, not just telling them to “F off”, and we need a plan that looks to the future of our own country and does not just rely on cheap imports from China.
We are asking the Government to think again, to look at the multi-union plan again and to think about how to defend primary steel capacity in our country. We know that steelworkers are watching this debate, and they must feel wretched. I ask Government Members in all sincerity: are they concerned about our defence capabilities if we lose the capacity to make primary steel? Do they really think the Government’s plan is money well spent? Should decarbonisation really be about cutting jobs? Is manufacturing really a Victorian pursuit best left to the Chinese, as a former Tory Prime Minister is reported as saying?
Full debate: Protecting Steel in the UK
Instead of properly responding to America’s Inflation Reduction Act, the Government held a meeting with businesses yesterday—you might not have seen it, Mr Speaker, as it did not make any of the front pages. Was the global investment summit not just a distraction from the same old fundamentals—business confidence is down, exports are down, and growth forecasts are down after 13 years of instability and uncertainty? Does the Secretary of State think that lack of business confidence is because her Government trashed the economy last year, because her Government told business to eff off, or because, as Mark Carney said, the Government have “juvenilised” the climate debate instead of using it as a driver of good jobs? Does she not agree with those from a global pension fund I spoke to this morning who said it is time we got some adults in the room?
Full debate: Inflation Reduction Act and Low Carbon Industries
For years people have been calling on the Government to have a proper plan to help our steel industry decarbonise. Instead, the industry has lurched from crisis to crisis, and now the Government are spending £500 million in a deal that will make thousands of Port Talbot steelworkers redundant. Is it not the simple truth that jobs and wealth will be lost because there is no comprehensive plan for steel, automotive or any industry that needs to decarbonise?
Full debate: Energy-intensive Industries: Decarbonisation
The Minister talked about some of the bright spots amid the clouds, and of course there are some. We were pleased to see the Government adopt Labour’s approach of using public investment to leverage in much more private investment to prevent the relocation of an iconic British institution to China. The loss of the BMW Mini production plant in Oxford would have been an historic loss for the automotive industry in Britain. Labour will always welcome investment in Britain—we have not had enough of it under this Government—but we need a proper industrial strategy, giving certainty that investments of this kind can support British jobs and industry for the long term. Instead, industry faces that 1 January cliff edge on rules of origin, and another on the zero-emission vehicle mandate; the Department for Transport has still not clarified how that will be implemented.
Industry is facing Government Back Benchers who are miring the UK’s commitment to electric vehicles in uncertainty by talking from the Back Benches about how we should scrap these targets. That is adding to the uncertainty that the industry feels. If Japan or the USA were considering investing in the UK and they heard what the former Prime Minister, the right hon. Member for South West Norfolk, said today about delaying our net zero commitments and what Back Benchers have said about getting rid of some of these targets, it would be hard for them to invest, given that backdrop. The Government need to get a grip and make a decision on which way they are going. Are they fixed on those dates and on giving industry the certainty it needs, or are they going to carry on heeding the calls from their Back Benches for delay?
Thirdly, we know that transitioning to electric vehicles is vital to the UK hitting our net zero targets, but so far this year more public electric vehicle chargers have been installed in Westminster than in the entire north of England. Labour would give confidence to motorists to make that switch to electric by accelerating the roll-out of charging points with binding targets on Government. Today’s press release from the Society of Motor Manufacturers and Traders talks about this very point. We have to do all we can to encourage people to make that switch, but we cannot do that without the chargers. We have all heard stories of people travelling from Scotland in electric cars and just not being able to charge them because the charging stations are not working or do not take the right payment type. That has to be fixed, otherwise people will quite understandably not be confident enough to make the switch.
Full debate: UK Automotive Industry
I do not think anybody in this House was not deeply irritated by the sight of an ambulance having to turn around and go a different route because of protesters glued to the road, and I do not think there are many people in this House, when they saw protesters throwing soup at a van Gogh painting, who did not at least question whether that action had helped or hindered the cause of climate change. We all passionately believe in the right to protest, do we not? But we all understand that our fundamental freedoms are always balanced with the need to ensure business can carry on in its usual way.
Full debate: Public Order Bill
The Bill was the Government’s flagship legislation in the Queen’s Speech. Despite the fact that crime has increased significantly in the last two years, prosecutions are down significantly. There is a cost of living crisis, a climate crisis and many other things with which the Government could concern themselves. There was no victims Bill in the Queen’s Speech, and nothing to tackle violence against women and girls. The Government have focused on this Bill, which is full of broadly drafted and unworkable clauses that would apply the same kinds of restrictions to peaceful protesters who have been convicted of no crime as could be applied to violent criminals and terrorists.
Full debate: Public Order Bill (Sixth sitting)
“Time and again, it’s activism that has dragged a reluctant UK government into confronting vital issues, whether it’s the climate crisis or women’s rights. Ministers who…talk about freedoms at every turn should rethink this attack on one of the most fundamental freedoms we have.”
Full debate: Public Order Bill (Fourth sitting)
As you know, Madam Deputy Speaker, and as many of my hon. Friends have said, we were disappointed with this Queen’s Speech. It was a missed opportunity to tackle the cost of living crisis, to tackle climate change and to attack the very real problems of crime. The long-awaited victims Bill has yet to make its way to the Chamber but, if the Government were serious about governing in the interests of the people, that Bill might have been at the top of their agenda. There was nothing in the Queen’s Speech to turn around the collapse in prosecutions or the rise in crime, nothing to tackle violence against women and girls, and nothing to prevent neighbourhood crime.
Full debate: Public Order Bill
The point of protest is to capture attention. Protests are noisy and sometimes annoying—I find them annoying; we all find it annoying to have to listen to some of the ongoing singing that we hear in this place—but they are fundamental to our democracy. If the public order provisions on noise in the Bill had been in place earlier, they would have stopped the suffragettes who marched for the right to vote, the children shouting loudly for action on climate change, or the Whitehall protesters against the Russian invasion. That is why Labour will keep pushing to limit the harmful provisions in this Bill.
Full debate: Police, Crime, Sentencing and Courts Bill
The hon. Member for Brighton, Pavilion made a very powerful case when she said that our fundamental rights are not multiple choice. As she says, we cannot pick and choose which ones we like and which we do not. I have not been arrested, and I am not much of a protester, but I absolutely and fundamentally believe that we must protect the right to protest. Every six weeks, I meet a group in my constituency—they are largely women in their 50s, 60s and 70s—who are active campaigners on climate change. The last time I met them, they were absolutely adamant that the changes would be very damaging to them and their rights to make their case, which they want to do powerfully and peacefully, for more action on climate change.
Full debate: Rights to Protest
The green shares Bill would bring about key legislative changes, which I believe would enhance the contribution of co-operative and community benefit societies, to using investment to generate sustainable and inclusive economic development. We must all do our bit to tackle climate change. Every Member in this place will have visited schools, where our young people push us every day to do more and to be more ambitious on tackling climate change. To achieve that change, there must be provision for green investment and finance, as my hon. Friend says, from the bottom up in our communities.
“The government’s warm words on climate change desperately need to be matched by deeds worthy of the scale of the challenge we’re facing. We urgently need to transform how we power our homes, move around, and use our land. We also need to ensure that it is a just transition, in which no community is left behind, and we all enjoy the benefits of changing our economy and society for the better.”
The Committee on Climate Change has underlined the importance of creating the conditions for an attractive environment for green investment to achieve net zero greenhouse gas emissions. Its 2019 report stated:
“Government success in providing clear and stable mechanisms that attract sufficient volumes of low-cost capital will be key to the overall success in reaching a net-zero”
greenhouse gas target. The committee found that the UK was “well-placed to lead” internationally
Such businesses are the cornerstones of the UK’s social economy and have huge potential to deliver sustainable and inclusive economic development. Across south London, organisations such as South East London Community Energy and Repowering are playing a key role. We can go further and look to other parts of the country. For example, Plymouth has more than 30 energy co-ops, which are providing sustainable energy and local employment and using their surplus to generate community good.
Full debate: Co-operative and Community Benefit Societies (Environmentally Sustainable Investment) Bill
It is vital that we unlock green finance for our co-ops to invest in long-term sustainable projects, and this Bill would be an important step to help communities and investors to create a more sustainable living environment. Primary legislation is much needed to provide societies with the legal tools that would enable co-operatives to thrive. As my hon. Friend the Member for Cardiff North said in her excellent speech, covid is a significant fork in the road when it comes to tackling climate change. I urge Members across the House to support the Bill, so that it can be discussed further and amended in Committee, and to empower our local communities to take action and save our climate.
Full debate: Co-operative and Community Benefit Societies (Environmentally Sustainable Investment) Bill
Turning to the matter of Extinction Rebellion, I trust that the Minister will agree with me, rather than with some members of his own party, in recognising that tackling climate change is the challenge of our generation. However, we also know that the free press is the cornerstone of democracy, and we must do all we can to protect it. Actions that stop people being able to read what they choose are therefore wrong. They will do nothing to tackle climate change. Those who break the law should be held to account. As the Leader of the Opposition said over the weekend, the actions of those who deliberately set out to break the law and stifle freedom of the press are completely unacceptable. Stopping people being able to buy the newspapers they choose and hitting small businesses in the process is hugely counterproductive. It does nothing to tackle the vital cause of tackling climate change. In fact, it sets it back.
On the policing response to the incidents, can the Minister confirm whether the authorities had any intelligence that these incidents might occur? Today in the media, new laws have been mentioned by the Home Secretary. Can the Minister confirm what aspects of our current public order laws he believes are inadequate? Will he also confirm which aspects of the Coronavirus Act 2020 dealing with gatherings he believes leave gaps? Does he agree that we should not forget the many people who are concerned about climate change who wish to peacefully and lawfully protest, and that that right should be protected?
Climate change is one of the biggest challenges that this generation faces, and I am sure that many colleagues across the House have had the same experience as me. Whenever I go into a school, it is the children who want to talk about climate change and who cannot understand why we have not done more to tackle this existential crisis. The Government must do all they can to drive climate change up the agenda, and on this we will hold them to account.
Full debate: Birmingham Attacks and Extinction Rebellion Protests
This has been a short but good debate—quality not quantity. We have heard from Members across the country from the hon. Member for Truro and Falmouth (Sarah Newton) to the hon. Member for Glasgow Central (Alison Thewliss). To pick out a few, my hon. Friend the Member for Sheffield South East (Mr Betts) spoke with great authority, as always, about the need for real revenue funding and for a substantial change in the private rented sector. The hon. Member for Thirsk and Malton (Kevin Hollinrake) was absolutely right that we should look at locked-in discounts for first-time buyers. He will be pleased to hear that this is indeed a Labour policy, and if he votes Labour at the next election, his idea may well come to fruition. My hon. Friend the Member for Kingston upon Hull West and Hessle (Emma Hardy) talked about the need to tackle climate change through housing and how important the role of modular housing is.
Full debate: Housing
To sum up, the challenges we face, from artificial intelligence to an ageing population, from climate change to Brexit, are serious, but unless we get the foundations in place to improve our productivity, we will not stand a chance.
Full debate: Budget Resolutions