Exchequer Secretary (): On Friday 17
November, the Government announced £4.5 billion in funding for
manufacturing to support private sector investment in eight
strategic sectors across the UK. Together with our existing
manufacturing support and plans for the net zero transition, the
funding will level up communities across the country with
higher-paid jobs and improve our energy security.
The funding will be available for high quality proposals from
2025 for five years and therefore help unlock private investment
by providing longer term certainty. It is targeted at the UK’s
strongest, world-leading sectors, and where the industry is
undergoing fundamental changes as the world transitions to net
zero.
Over £2 billion has been earmarked for the automotive industry,
supporting the manufacturing and development of zero emission
vehicles, their batteries and supply chain.
£975 million has been earmarked for aerospace, supporting
investment in energy efficient and zero-carbon aircraft
equipment.
Further, we have committed to £960 million for a Green Industries
Growth Accelerator to support clean energy manufacturing, and
£520 million for life sciences manufacturing to build resilience
for future health emergencies and capitalise on the UK’s research
and development strengths.
The Green Industries Growth Accelerator investment will support
the expansion of strong, home-grown, clean energy supply chains
across the UK, including carbon capture, utilisation and storage,
electricity networks, hydrogen, nuclear and offshore wind. This
will enable the UK to seize growth opportunities through the
transition to net zero, building on our world-leading
decarbonisation track record and strong deployment offer.
More information, including on the application processes, will be
made available by the Government in due course.
The funding forms part of the Prime Minister’s pledge to grow the
economy, and his focus on making decisions for the long-term,
ensuring this funding doesn’t just focus on the most successful
sectors today but looks ahead to how we keep pace internationally
and build the UK’s expertise for the industries of the future.
The funding will also help ensure that the UK remains at the
forefront of the global transition to net zero and can seize
growth opportunities in the new green economy.
This approach is part of the UK’s wider offer for advanced
manufacturing. The government has also published Professor Dame
Angela McLean’s Pro-Innovation Regulation of Technologies Review
on advanced manufacturing and the Government’s response[1] and
announced commitments to extend the Connected and Automated
Mobility Research and Development programme and expand the Made
Smarter Adoption programme for manufacturing SMEs. The Government
will shortly set out more on its actions to support investment
and growth in the manufacturing sector with the publication of
the Advanced Manufacturing Plan and UK Battery Strategy.
[1] https://www.gov.uk/government/publications/pro-innovation-regulation-of-technologies-review-advanced-manufacturing
