Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what steps the Treasury is taking to support capital investment by manufacturing businesses.

This government wants the UK to be one of the best places in the world to invest, build and grow a business – and that starts with a tax system that is competitive, predictable and stable. This government has maintained the lowest rate of corporate tax in the G7, topped the rankings for OECD countries in terms of capital allowances for plant and machinery due to our generous full expensing offer, and led a flexible and competitive regime for intangible assets.

Through delivery of our 10-year Advanced Manufacturing sector plan, this government also aims to nearly double annual business investment in the advanced manufacturing sector to £39bn by 2035.

That’s why we backed our Advanced Manufacturing sector with up to £4.3 billion in funding out to 2030, including up to £2.8 billion in R&D. Alongside this, we have provided a further £2 billion of R&D and capital funding available for automotive from 2030 to 2035 and up to £2.3bn for the UK’s aerospace industry over the 10 year period.