Automotive Industry Debate

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Department: Cabinet Office

Automotive Industry

Sarah Owen Excerpts
Wednesday 12th July 2023

(10 months, 3 weeks ago)

Commons Chamber
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Nusrat Ghani Portrait The Minister for Industry and Economic Security (Ms Nusrat Ghani)
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What a disappointing opening speech. There was an opportunity to praise, promote and protect the automotive sector—and to talk about all the positive news stories—but all we have heard for the last 10 or 15 minutes was the automotive sector being talked down. I appreciate that the timing of this debate has not gone well for the Opposition: as my hon. Friend the Member for Bosworth (Dr Evans) mentioned, today we have heard about the Renault Group and Geely having chosen the UK as the headquarters of a new company developing ultra low emission engines and potentially investing billions of pounds in the UK—up to €7 billion. That shows not only the confidence of the automotive sector, but its commitment to the UK, and these are the opportunities or the stories we should be talking about.

The hon. Member for Stalybridge and Hyde (Jonathan Reynolds) constantly referenced the SMMT statistics, but he forgot to mention the ones he should have reported at the Dispatch Box so that we could once again promote how healthy and dynamic the automotive sector is. Car production in Britain rose for a fourth straight month in May. The SMMT has confirmed that a total of 79,046 cars rolled out of the factory gates a few months ago, which is an increase of more than 26%. Passenger car numbers are boosted by a greater appetite for hybrid electric motors built in Britain. The bosses at the SMMT have said that, while there have of course been challenges around the world, manufacturers have

“defied the challenging economic backdrop to fulfil customer demand for the latest British-built models, at home and overseas,”

so that manufacturing and production are indeed up.

This is a positive news story, and any opportunity we have to speak about the automotive sector should be positive, not negative or all about political point scoring. This is a serious topic and a serious industry. I know the hon. Gentleman is keen to be very ideological within the Westminster bubble, but I would suggest he steps a little outside it. I know my hon. Friend the Member for South Derbyshire (Mrs Wheeler), who is a champion for Toyota, which has the largest manufacturing plant in her constituency, would welcome a visit by Labour Members so they can see how the sector is booming just in her constituency. There are over 2,000 people working at the plant in South Derbyshire and involved in the supply chains, and 80% of the cars manufactured are exported to Europe. Exports are up, by the way, which I will get on to. Toyota continues to innovate and it is at the forefront of producing hybrid cars. It has been cutting emissions for over a decade and takes net zero seriously, having energy from solar panels all around the plant. The point she would want to make is, “Get out of the Westminster bubble, visit South Derbyshire, see what is happening at Toyota”—and at many other firms, as I will go on to say—“and you will see the work is going well.” Our job is to protect, promote and praise, not to talk the sector down.

Sarah Owen Portrait Sarah Owen (Luton North) (Lab)
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It is all very well and good talking about optimism, but does the Minister accept the reality facing the automotive industry in the UK today, and the stark warnings given by Stellantis about future job losses if the Government do not sort out the rules of origin problems?

Nusrat Ghani Portrait Ms Ghani
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I want to state for the record—and for the hon. Lady, who was obviously sitting there while I was speaking—that that was not optimism. Those were the facts and figures promoted not by Government, but by industry representatives. I had a meeting with Stellantis recently. We know that a number of challenges are reflected globally, not just in the UK, such as being able to recruit into the sector. The hon. Member for Stalybridge and Hyde missed another opportunity to talk about the fantastic jobs that are available. Of course, on rules of origin, that is an issue not just in the UK; it is an issue for lots of other countries that want to export and import, too.

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Sarah Owen Portrait Sarah Owen (Luton North) (Lab)
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It is a privilege to follow my hon. Friend the Member for Llanelli (Dame Nia Griffith), who is right to talk about the importance of innovation and enterprise in this sector.

This is an important debate, which is why it is disappointing that there are now more Government Parliamentary Private Secretaries in the Chamber than there have been Conservative speakers in this debate. The public and workers will question why the Tories think so little of the automotive sector and will draw their own conclusions.

I am pleased that parliamentary time has been given today to focus on the automotive industry, which has a long and proud history in the UK. As we have already heard, from Sunderland to Coventry, Ellesmere Port and Luton, industrial cities and towns across the country have been hallmarks of manufacturing and quality production in our automotive sector for decades.

My constituents in Luton North have a particular interest in this debate. In a moment I will address the recent events at the SKF plant at Sundon Park in my constituency, but first I would like to discuss another automotive crisis facing the Luton community. Luton’s Vauxhall plant is based in the constituency of my hon. Friend the Member for Luton South (Rachel Hopkins). She is a champion for the automotive sector, and I wish the hon. Member for Bosworth (Dr Evans) had looked up how many times she has mentioned the automotive sector and industry, as he would have reached double digits for sure.

Vauxhall has been a proud industrial landmark of our town since 1905. The plant played a major part in the war effort during the 1940s, producing the Churchill tank and becoming a centre for repairing battle-damaged tanks. Thousands of Bedford lorries were turned out at Kimpton Road, including the QL, which was the company’s first four-wheel drive vehicle and a key feature of our country’s military fleet.

If we fast forward to the present day, we see that the Luton Vauxhall plant employs around 1,500 people from across our town and has been essential to creating skilled, unionised local jobs, running apprenticeship schemes for young people and fostering local talent, including across supply chains and other local businesses. The plant now specialises in producing vans, around 70% of which are exported to mainland Europe. I am so pleased to have had the pleasure of visiting the plant with my hon. Friend the Member for Luton South to meet the workers, and we saw how proud they are of what they turn out. Long may it continue, in the face of the challenge from this Tory Government.

Businesses such as Vauxhall not only provide jobs to people in Luton North, they are also intrinsic to our identity as a town. Generations have worked there, known each other and grown together. Automation changed the face and size of Britain’s automotive sector but, as quickly as we saw it rise, we are now sadly seeing it decline.

Thirteen years of Tory chaos have turbo-charged the closure of factories and the destruction of workers’ livelihoods. The Conservatives’ disastrous handling of Brexit negotiations, the explosion of the economy by the previous Conservative Prime Minister and the long abandonment of any semblance of an industrial strategy are just a few of many contributing factors.

Locally, even in the face of the Government’s evolving mess, we have seen a committed, quality automotive sector and supply chain in Luton, but it is now hanging by a thread. The Minister talked about optimism, but this is the reality facing thousands of workers across the country. Other jobs linked to manufacturing, the automotive industry and the supply chain are similarly under threat.

SKF is a major employer in my constituency. SKF is a ball bearing manufacturing plant, formerly closely tied to Volvo. SKF, like Vauxhall, has been a proud feature of Luton for more than 100 years, and it is another prime example of how this Government are sitting on their hands while they oversee the slow, managed decline of manufacturing in this country.

Last month, SKF announced its plan to close the Luton plant and move production to Poznan in Poland by the end of 2024. This is a devastating blow to our town and our local economy, and it could see the loss of up to 300 jobs. I went to meet workers and Unite union reps at SKF, and they are all deeply concerned about the sudden closure. They told me that, throughout covid, they were considered key workers. They operated and worked throughout, putting their safety behind production, for the good of the company and for the good of the economy.

Generations have worked at SKF in Sundon Park, and thousands have given their best working days to that business, only for SKF’s board members to turn their back on them and for this Government to turn their back on manufacturing workers again. Seriously, what do the Government want? A land of Amazons? A blanket of windowless storage warehouses, where people compete and break themselves to meet unrealistic and ever-increasing pick rates? That is what they are turning our country into.

I am pleased the Minister was keen to take up invites to visit Members’ constituencies, so will she please commit to meeting me and workers at SKF who face losing their jobs to see how we can save SKF’s future in Luton?

Nusrat Ghani Portrait Ms Ghani
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I recently had a meeting with the hon. Member for Luton South (Rachel Hopkins) and Stellantis, and I am always open to meeting colleagues on both sides of the Chamber. Of course I will meet the hon. Member for Luton North (Sarah Owen), those employees and Unite the union.

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Sarah Owen Portrait Sarah Owen
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I thank the Minister for giving that commitment. It will mean a lot to the workers of SKF and to the constituency and the wider economy.

Long-standing businesses with ties to our constituencies and our constituents are being forced to shut up shop and relocate elsewhere because the lack of Government support has left them with little choice. The lack of an industrial strategy has been a major factor in the lack of certainty over not just the last few years but, sadly, over the last 13 years.

There are positive examples of companies in the industry refusing to give up their UK-based factories and the workers who work in them. Next door to SKF in my constituency sits Comline, an auto parts business. When I visited Comline in Sundon Park, I was impressed by its innovation in dealing with the challenges thrown at it from all angles. It has a flourishing business that values its staff, and it has established strong trade links with offices abroad, which has perhaps guaranteed its continued success. Although I am glad that that has given the company security, it is deplorable that the Government have made international trade so complex that Comline has found it easier to trade with countries thousands of miles away than to trade with its offices in Northern Ireland.

Despite our proud history, I remain deeply concerned that our automotive industry has been consistently let down, with the industry’s concerns ignored by this Government. The Government have been warned by representative bodies and businesses for months, even years, of the cliff edge facing the UK automotive industry due to the combination of changes to the rules of origin and a lack of battery-making capacity in the UK.

The collapse of Britishvolt in January 2023, having planned to build a £3.8 billion gigafactory in Blyth, Northumberland, is a stark reminder of these failures and is undoubtedly a disaster for the UK car industry. Even more worrying is the wider picture. Even if Britishvolt were going ahead, we would be far short of where we need to be to continue making cars in this country. The Faraday Institution says we need 10 gigafactories by 2040 to sustain our automotive sector. Without domestic batteries, we will have no domestic automotive industry at all.

While this Government dither on their investment strategy, a Labour Government would commit to rapidly scaling up UK battery-making capacity by part-financing eight additional gigafactories to create 80,000 jobs and power 2 million electric vehicles. New gigafactories will also allow the UK’s automotive sector to source components locally and avoid tariffs from rules of origin agreements.

The Stellantis three—my hon. Friends the Members for Luton South and for Ellesmere Port and Neston (Justin Madders) and me—are sitting together, In May 2023, the car maker Stellantis, which owns Vauxhall, Peugeot, Citroën and Fiat, issued warnings that it may have to close UK factories if the Government do not renegotiate their Brexit deal. Under the current deal, UK car makers could face 10% tariffs on exports to the EU from next year due to rules of origin on where parts are sourced. Unfortunately, it is not us but business—companies such as Stellantis—that must be convinced that the Government will sort this out. Other car manufacturing giants and competitors, including Ford and Jaguar Land Rover, have joined Stellantis to warn that the transition to electric vehicles will be affected unless the UK and the EU delay the strict rules of origin that are due to start next year and could add tariffs on car exports.

This is not a new argument that I have had. Before entering this House in 2019, I was a trade union officer with GMB. I declare now that I am also a proud member of it, which will not surprise anybody. Alongside the late Jack Dromey, who was a champion for the automotive industry—I hope everybody from across the House could agree on that—we took workers from Toyota, AstraZeneca, the whisky-making industry in Scotland and the Stoke potteries to meet the then Cabinet Secretary, now the Secretary of State for Levelling Up, Housing and Communities. I can see you looking at me, Madam Deputy Speaker, so let me say that I have informed him that I was going to mention him in the Chamber. When we went to speak to him with this delegation of manufacturing workers, every single one of us questioned what was going to happen when the rules of origin changes kicked in. He shrugged his shoulders, arrogantly saying, “This is going to be worked out.” Yet here we are, in 2023, many years later, and all those industries and workers are still left without a proper answer.

While the EU is pumping billions into manufacturing as part of its green industrial revolution plan, and the US is investing with the Inflation Reduction Act, our automotive industry is still being left behind. The UK lags behind the rest of the world in terms of global automotive manufacturing relative to GDP, ranking sixth in Europe and 17th in the world last year. The Minister talks about optimism, which is of course welcome, but that is the reality facing workers and the sector. I ask the Government to get real on this, because blind optimism does not pay the bills. It does not create certainty for an industry and it certainly does not make car manufacturers such as Stellantis think that this Government are serious about the automotive sector.

That means my constituency is missing out on potential businesses starting and growing in Luton North, and local people who are keen to work in those industries are being failed. This Government are not only preventing new British jobs from materialising, but diminishing existing jobs before our eyes. As I said, we are facing a possible 270-plus job losses at the SKF factory. That is coming at the same time as there are threats to close ticket offices, including at Leagrave station. We cannot take more job losses in Luton North. My constituents are having the jobs they have done diligently for generations stripped from them, in the automotive sector, in rail and in all manner of business breakdowns.

It is clear that this Government’s sticking-plaster approach cannot continue. Labour has stated time and again that securing an agreement with the European Union to make Brexit work for the automotive industry is critical to ensuring its survival. The knock-on effects of the Government’s approach are being felt across the manufacturing industry more widely. Staggering energy costs, a lack of an industrial strategy and investment, and a more competitive European market mean that manufacturing across our country could soon cease to exist in its entirety. Clearly, our automotive industry needs a Government that will fight to support it to be competitive in the global market. Labour will deliver a modern industrial strategy to bring investment and jobs to industrial heartlands. That will create an employment revival where there has been years of Conservative depression, because on these Benches we are about creating strong jobs with a secure future, not stripping them away.

Under Labour leadership, battery-making capacity in the UK would boom. We would support the creation of eight new gigafactories, with this all laid out and costed in our green prosperity plan. The new factories would allow for our home-grown automotive businesses to source their auto parts within the UK. That would be huge for businesses such as Comline in Sundon Park. Crucially, with these new gigafactories, we would introduce about 80,000 new British jobs. I know how much that would mean to my constituents, from youngsters getting apprenticeships to older people knowing they do not need to worry about redundancy before retirement. With eight new gigafactories, we would also power 2 million electric vehicles, which is so crucial for working towards our commitment to net zero. All of that would bring in an additional £30 billion to our economy. It sounds like a good deal to me.

We are committed to building strong economic foundations that businesses need to succeed, including through reforms to the apprenticeship levy and business rates to give firms flexibility where they need it, and making the UK a clean energy superpower by 2030 with net zero carbon electricity, lowering electricity costs for the car industry. That is the leadership and the strategy that the automotive industry has been crying out for, and that is what a Labour Government would provide.

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Ian Lavery Portrait Ian Lavery
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I thank the hon. Gentleman, but he should come and have a look. He can drive his electric vehicle up the road and call in to see the obvious difference between my constituency and his.

Sarah Owen Portrait Sarah Owen
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This is indeed a UK-wide issue in that if one of us succeeds in the sector, then we all succeed. However, we are talking about not just the jobs of the future that need to be created and maintained, but, unfortunately, the jobs now that need to be saved. There are just not the equivalent jobs for people to go to. Is this not a serious problem for the sector? It is not just about future jobs, but about saving the jobs now.

Ian Lavery Portrait Ian Lavery
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That is an excellent point. The reality is that we have lost 37% of production in 13 years. If there is not a halt to that and if there is not the investment that is required to maintain and then increase employment, we will see a total loss of the automotive industry in this country. It is as simple as that. Members have mentioned the different new rules coming into place, the state of origin rules and issues such as that. It is getting more and more difficult to maintain and increase what we have, on top of a 37% decline. The reality is that we do not have anything in place to make that transformation from where we are now to where we need to be. We need to have, I think, nine new gigafactories. We have one. In fact, it is half a gigafactory. That is just not good enough. We keep being told by the Conservatives that they are on the case, that the development is coming, and that they will be developing it—whether it be in Coventry, in the midlands or wherever; hopefully, the next one will be in my constituency—but it is not right to continue saying that we are on track. We are not on track. There needs to be some investment. We need the readies. We will not get people rolling up to different areas saying that they will build a gigafactory unless they have support from the Government.

We should look at the support that other countries have given to their businesses in grants and loans: CATL in Germany received a loan of €750 million, 22.8% of the total build cost; Northvolt in Sweden got €505 million, 17.1% of the build cost; GM in North America got $2.5 billion; Stellantis $1 billion; Tesla $1.3 billion; and Ford $884 million. Britishvolt, which had so much promise, were promised £100 million, 2.3% of the build cost. That was heavily caveated to the point where the company never had a penny of Government support.

We should take a look at the stats. What Labour is suggesting would provide a fantastic opportunity. It needs to be grasped. Regions up and down the country will benefit greatly as a result of what has already been described as turbocharging electric vehicle manufacturing. There could be £30 billion-worth of investment in the regions. We cannot turn that down, but we have to get on with it, which is why I hope that once the election comes and we get elected as the next Government this can be introduced without delay. It will make a huge difference to areas such as the north-east, which will have 13,000 jobs in vehicle manufacturing. Its share of the £30 billion in economic benefits from the Labour plans will be £2.45 billion. Areas such as the west midlands will have 57,000 such jobs, and it will receive £10.76 billion in its share of the investment. The list goes on. The north-west will have 22,000 jobs in vehicle manufacturing and £4.13 billion-worth of investment.

That Labour party turbocharging of electric vehicles is so important and so exciting, but my constituency has been absolutely battered. It has been bruised by the deindustrialisation programme of past Conservative Governments. The lack of an industrial strategy from the Government is still holding my area back significantly. Levelling up means an active state willing actively to protect and invest in the interests of people in held-back areas such as my constituency of Wansbeck. The area where the site would have been developed lies in Cambois, a coastal area in the parish of East Bedlington. Bedlington and Wansbeck—not in Blyth. Britishvolt was never in Blyth. A number of people have mentioned that today, and I have already mentioned it to the Minister a few times. Britishvolt was not in Blyth; that is a Conservative seat next door. Britishvolt is in Wansbeck—my patch. I thought that I would make that point once again, because it appears that very few people listen to what has been said.

We have a proud history in the industrial revolution. It is a coal area. My patch was coal town. We were built on coal. We were part of the great industrial revolution, not only extracting the coal that powered it, but being the birthplace of wrought iron rails in the Bedlington Ironworks, which triggered the railway age. Why should that industrial heritage not be continued at the site of what could be the heart of the green industrial revolution—the transport industrial revolution—simply because once again the Government have failed to deliver for the people of Wansbeck and south-east Northumberland? We need to do a lot better for my constituents.

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Jesse Norman Portrait The Minister of State, Department for Transport (Jesse Norman)
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It has been an interesting and absorbing debate, and I thank all those who have taken part in it. I must say that I take my hat off to the hon. Member for Stalybridge and Hyde (Jonathan Reynolds). It is interesting to know that he grew up in Sunderland, and I notice his great affection for the Black Cats—an affection I greatly share—Niall Quinn and the glory days of Peter Reid. Who but the hon. Gentleman could better hark back to the 1990s, and how much does he do so in politics as he does in football? It is a little unnerving to see him newly hirsute—at least in terms of the past year or three. He is getting an unnervingly close resemblance to His late Majesty King George V, which creates a somewhat unnerving impression across the Dispatch Box when one is trying to respond to the important points he makes.

The hon. Gentleman came, as did the hon. Member for Sheffield, Heeley (Louise Haigh), with a clear agenda for this debate, which was to tell a desperate story of a struggling industry and a country labouring in its automotive manufacturing. Unfortunately, they have both had desperately bad luck in their choice of debate, because those gloomy speeches are made, and the desire for optimism is expressed, and then it turns out that Geely and Renault have today announced a pioneering new investment to become a global leader in new engine technologies. Not only that: it turns out that we just laid the new charge point regulations, which will make it easier than ever to own an EV. Those were widely welcomed, I might add, by Mike Hawes of the SMMT, who was richly quoted today by Opposition Members, and with reason. Fascinatingly, only today, Tesla has announced its intention to become an electricity supplier, which will itself become an enormously important part of that wider systems infrastructure that has been rightly mentioned. What a day to choose to be gloomy on. What a day of good news, and how much that reinforces the picture of an industry that is dealing brilliantly with the challenges and changes to its own circumstances.

Sarah Owen Portrait Sarah Owen
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Will the Minister give way?

Jesse Norman Portrait Jesse Norman
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I would give way, but I want to respond to the many other points from Members who actually made speeches.

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Sarah Owen Portrait Sarah Owen
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I made a speech.

Jesse Norman Portrait Jesse Norman
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I hope the hon. Lady will let me get to those points first. [Interruption.] We can go on, or Opposition Members can listen to what the Government are trying to say.

The hon. Member for Stalybridge and Hyde talked about low business investment, and he is absolutely right that one should not pick and choose statistics but try to give a full picture. I was, therefore, slightly surprised that he ignored the fact that business investment has grown steadily since 2010. The Institute for Government published a report that tracks the crashing of business investment in this country to the Labour Administration and dates its recovery from 2008 to 2010. That is the picture of business investment that the hon. Gentleman asks us to get to.

My hon. Friend the Member for Bosworth (Dr Evans) rightly highlighted MIRA. What a great facility that is and what a great testing opportunity it will create for this country over the next few years. He is right to talk about grid connectivity and to mention Triumph Motorcycles, a business that I met only the other day, but he would have wanted to mention the strategic framework, which was announced last year, for electricity provision. If there is a report coming soon—he can speak from his knowledge of that in a Parliamentary Private Secretary context—I can only applaud that.

The hon. Member for Worsley and Eccles South (Barbara Keeley) worried about the roll-out of charge points. I hope she will be reassured by the new regs on charge points, which we have only just laid and which were welcomed by the SMMT and many other players across that industry. I also hope she will be pleased that ChargeUK, representing the charge point operators, has announced that £6 billion will be invested in charge points across the country over the next few years. That is a direct result of the ZEV mandate, which ties the creation of charge point infrastructure to the support for EVs in the systemic way that parties across the House, including the Opposition, recognise. It is those two things that will grow together. It is the ability to aim against that target of specific EV numbers coming into and being sold in this country that creates the priming for private investment, and rightly so.

I was pleased to hear the contribution of the hon. Member for Birmingham, Perry Barr (Mr Mahmood), who was absolutely right to raise the topic of apprenticeships. As an apprentice in this House, I salute him; he echoed the “Education, education, education” policy of a former Member of this House with “Skills, skills, skills”, which I completely agree are very important. Let me remind him that in my constituency we are pioneering a specialist STEM technology university—the New Model Institute for Technology and Engineering—which is just the thing that can be used to build skills and to prime levelling up across the country.

What a wonderfully fresh and enthusiastic speech from the hon. Member for Gordon (Richard Thomson). I was excited to hear it, but tragically it turned out to be a tag-team “curse on both your houses” misery exercise, relitigating Brexit long after that horse has left the stable. That was rightly picked up by the hon. Member for Stalybridge and Hyde, who did not want to be drawn on Brexit. I understand why: the country took a decision and we are working with the consequences.

The hon. Member for Gordon said that the speech by my hon. Friend the Minister for Industry and Economic Security—a brilliant speech it was, too—was the length of time it would take to charge an EV. At 35 minutes, that is not quite true, but that is absolutely the ambition that we want to get to for all EV operators across the country. We want people to be able to charge very rapidly while they go and pick up a cup of coffee in the usual way.

I thank the hon. Member for Llanelli (Dame Nia Griffith) for her comment. She asked for a renewable energy focus and was right to do so. I hope that I can reassure her by reminding her that National Grid reported that in 2010 less than 20% of our energy was renewable, while in 2022—last year—more than 50% was renewable in five months of the year. That is tremendous progress. She may also be pleased to know that coal, which was used for 43% of electricity generation in 2012, is now at 1.5%. That is tremendous progress on both those fronts.

Sarah Owen Portrait Sarah Owen
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On a point of order, Mr Deputy Speaker. Listening to the Minister’s response, I want to give him the opportunity to correct the record. Not only does he seem not to be living on the same planet as us, but he is clearly not in the same Chamber. He implied that I had not spoken in the debate, but I gave a lengthy speech on the issues we are facing in Luton right now. I invite him to correct the record at the Dispatch Box.

Jesse Norman Portrait Jesse Norman
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I would be happy to respond to the hon. Lady. That is not actually what I said. I said that I wanted to respond to the speeches and therefore I would not take interventions at that time. I will of course—[Interruption.] If she would prefer me to respond not to her speech but to an intervention, I will let her make an intervention.

Sarah Owen Portrait Sarah Owen
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I thank the Minister for finally allowing an intervention. He talked about optimism. Does he feel optimistic that the manufacturing industry now faces a 10% tariff on passenger cars and a 22% tariff on vans? Does he believe that we should all be optimistic about that future, or does he believe the reality—that the manufacturing industry faces a cliff edge?

Jesse Norman Portrait Jesse Norman
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If that is the best the hon. Lady can do, she would have been better to wait for my response to her speech. No, the truth of the matter is that this country is engaged in discussions and negotiations with European partners about the circumstances—we export an enormous number of cars, which is an important fact from their point of view as it is from ours—and it would be futile to discuss those matters in public. We all know that none of these negotiations is ever done in public, and that includes commercial negotiations, which Labour appears to wish to be done in public as well.

Let me proceed a little more. The hon. Members for Luton South (Rachel Hopkins), for Wansbeck (Ian Lavery) and for Sheffield, Heeley (Louise Haigh) touched on new gigafactories. I invite Opposition Front- Bench Members to comment further if they wish, because this is a much-heralded part of the Labour strategy, and if the Labour party seeks to subsidise eight new gigafactories, perhaps they would like to put on record how much public money—taxpayer’s money—they propose to spend on that and how it would be funded. We very much look forward to seeing their plans. I will be interested to see whether they bear any resemblance to market conditions or show any signs of doing anything other than immiserating and impoverishing the British taxpayer.

Question put and agreed to.

Resolved,

That this House recognises that the automotive industry is the jewel in the crown of British manufacturing and believes it can have a bright future creating good jobs for people across the UK; regrets that after 13 years of Conservative neglect the UK risks losing this world-class industry, putting thousands of jobs under threat; condemns the Government for its lack of an industrial strategy and the negative impact this has had on investment in the UK’s automotive sector; calls on the Government to urgently resolve the rules of origin changes which are due to take effect in 2024, working with partners across Europe to negotiate a deal that works for manufacturers; and further calls on the Government to adopt an active industrial strategy to build the battery factory capacity needed to secure the automotive sector for decades to come.