09:26 Jack Dromey (Birmingham, Erdington) (Lab)

Manufacturing matters to the success of the UK. Manufacturing, the genius of science and the national health service have seen more than 30 million people vaccinated against covid. Manufacturing will be key to recovery. Manufacturing—green manufacturing—is key to combating climate change. Manufacturing getting it right is key to the recovery of Brexit Britain. And manufacturing is key to levelling up.

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09:47 Mick Whitley (Birkenhead) (Lab) [V]

When it comes to protecting a critical part of the supply chain at GKN, no option should be off the table, including part or whole state intervention or nationalisation, or any legislative measures that safeguard the plants from asset-stripping venture capitalists. If the Business Secretary fails to act now and make the crucial investment needed to allow the transition of plants like GKN and Vauxhall towards the production of electric vehicles and parts, it will not only condemn hundreds of jobs to the scrapheap, but fatally undermine the Government’s commitments to phasing out diesel and petrol vehicles, and achieving net zero emissions.

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10:19 The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Amanda Solloway)

The Government are supporting manufacturing. “Build Back Better: our plan for growth” sets out the Government’s plans to drive growth and build on our competitive advantage through significant investment in infrastructure, skills and innovation. We will pursue growth levels in every part of the UK, enabling the transition to net zero and supporting our vision of a truly global Britain.

The global automotive sector is undergoing significant change, as production shifts to zero-emission vehicles and supply chains are restructured to produce new technology. Modern developments in production plants are being accelerated and creating a once-in-a-lifetime investment opportunity for the United Kingdom. To be clear, this is not just about protecting the status quo and retaining the manufacturers that we have in the UK, including JLR, Nissan and Vauxhall, but about stimulating a high-tech market that cements our global position at the forefront of mobility.

The Government have announced £500 million of funding as part of a commitment of up to £1 billion over the next four years through the automotive transformation fund. That will help build, at pace and scale, an internationally competitive zero-emission vehicle supply chain in the United Kingdom, including in key regions where levelling up is crucial, such as the north-east, Wales and the west midlands, as highlighted so well by the hon. Member for Manchester Central.

The UK-EU trade and co-operation agreement provides a phased introduction of the rules of origin requirements for zero-emission vehicles. That was welcomed by the UK automotive sector as it allows manufacturers time to increase local content—an issue raised by the hon. Member for Birkenhead (Mick Whitley). GKN will be an important part of that future supply chain. It is developing cutting-edge vehicle technologies at its innovation centre in Abingdon. Securing investment in gigafactories is a priority to meet demands from UK-based vehicle makers. The Government are in advanced negotiations with several potential investors.

The Government are committed to ensuring that the UK continues to be one of the best locations in the world to research and develop the next generation of vehicle technologies and to manufacture zero-emission vehicles. GKN is at the forefront of these technological developments through its innovation centre in Abingdon. Our aim is that the Birmingham plant also continues to be at the heart of GKN’s manufacturing operations.

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