Government's industrial strategy described as 'missed opportunity' to support ceramics manufacturers
The government's new industrial strategy has been described as a 'missed opportunity' to support ceramics manufacturers.
Ministers say the new strategy will slash electricity costs for thousands of businesses, unlock billions of pounds of investment and kick-off a new era of collaboration between government and high-growth industries.
But Ceramics UK, which represents dozens of manufacturers in Stoke-on-Trent and across the country, says that the government has failed to recognise the importance of the ceramics industry.
The sector has been hit by rocketing energy prices in recent years, which was a major factor behind the recent collapse of Stoke-on-Trent-based pottery firms Royal Stafford and Moorcroft.
Ministers say that more than 7,000 businesses will see their electricity bills cut by up to 25 per cent by 2027 through a new British Industrial Competitiveness Scheme.
And a small number of ceramics manufacturers will be among 500 energy-intensive firms that will see increased discounts on their electricity charges under the British Industry Supercharger.
The strategy also commits the government to supporting eight high-growth sectors, including advanced manufacturing and clean energy. But ceramics leaders were hoping the strategy would acknowledge their industry's wider importance to the UK and include specific policies to support it.
The 160-page document includes just one mention of ceramics – recognising Stoke-on-Trent's status as the industry's historic British home – compared to 70 mentions of AI.
A spokesperson for Ceramics UK said: "Following the release of the Government's UK Modern Industrial Strategy, Ceramics UK is disappointed that the Government have fundamentally neglected the essential importance of the UK ceramics industry.
"While we need time to review in detail, we believe this strategy represents a missed opportunity to truly underpin and champion a cornerstone of British manufacturing.
"The UK ceramics industry is not a local or niche endeavour; it is a nationwide and foundational industry, which encompasses a diverse range of products and applications, and is critical for everything from housebuilding to manufacturing steel.
"It is an error on the Government's part not to support the UK ceramics sector in the Industrial Strategy and Ceramics UK is calling for this to be addressed as a matter of urgency.
"We need dedicated policies that recognise both the vital role of ceramics in the UK, and the unique challenges faced by the sector, to ensure it can continue to contribute to the economy, the nation's security, and to maintain our global standing."
Rachel Laver, CEO of Staffordshire Chambers of Commerce, also expressed disappointment at the strategy.
She said: "While we welcome the ambition to create a competitive and future-facing UK economy, today's strategy is a missed opportunity for Stoke-on-Trent's world-renowned ceramics industry.
"There is no immediate support for energy-intensive manufacturers like those in our local ceramics sector, which continue to face unsustainable energy costs and mounting global pressures. Delayed action simply isn't enough for a sector in urgent need of intervention."
Stoke-on-Trent MP Gareth Snell told the House of Commons that he shared UK Ceramics' disappointment with the strategy, and asked Business Secretary Jonathan Reynolds what message he could bring back to the Potteries.
Mr Snell said: "The one reference to ceramics in there is historic and geographic, and nothing about industry. For months with my colleagues from Stoke-on-Trent North and South we have been pointing out the immediate needs of a sector that employ thousands of people in our city.
"And yet today – nothing on gas pricing, nothing on electricity pricing, no access to the Supercharger scheme, and we've just been given an IOU for 2027."
But Mr Reynolds insisted that the cheaper electricity bills from 2027 would be a 'game changer' for the ceramics industry.
He said: "I think Ceramics UK are misplaced in that criticism. First of all, ceramics is recognised as a foundational sector, as part of the materials sector in the strategy. Their principle request is about energy prices.
"There are some ceramics businesses – I accept not many – that are on the Supercharger and will get the more generous rate. But because a lot of those businesses don't match the Supercharger's intensity test, that is exactly why the British Industrial Competitiveness Scheme has been designed in such a way that they will benefit from it, and that will be a game changer for them.
"There aren't the same policy tools around gas prices, but we can see that gas prices are projected to fall from the very significant level they've been at."
Stoke-on-Trent North MP David Williams welcomed the 'incredibly positive' industrial strategy, and noted that it recognised Stoke-on-Trent's position 'at the heart of the ceramics industry for centuries'.
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