Invest 2035

Industry leaders were critical when the previous government released its industrial strategy in 2021.

It is no surprise that the new government’s promise of not just a new industrial strategy, but a new statutory body to oversee it, has been met with cautious optimism. On 14 October 2024, the Invest 2035 ‘Green Paper’ a consultative document intended to provoke discussion on policy, was released by Jonathan Reynolds and Rachel Reeves. Consultation responses can contribute to a future ‘White Paper’, a more definitive statement of government policy due in the spring.

The impact of the pandemic lingers in both the private and the public sector, as well as in individuals’ and the nation’s finances. Geopolitical uncertainty, with wars and political instability across the globe, coupled with the UK’s post-Brexit status, will continue undoubtably continue to impact us all. An industrial strategy should offer a vision for how we want the UK to operate in the future, both economically and societally. . Key sub-sectors could  be nurtured and supported along  their supply chains, to support the needs of the identified economic and societal drivers and deliver sustainability and growth.

These are the challenges that the new Industrial Strategy Advisory Council (ISAC) will face. To help guide their approach, the government has published an open survey with 35 questions that anyone can respond to. The paper recognises that these sectors are broad, and that there will be - as yet undefined subsectors within them. There is a real opportunity for businesses and individuals to have their say.

Crowe UK has responded to the Green Paper. In conclusion, our response highlights the following key points:

• The make-up of the ISAC should be fully representative and carefully chosen. For example, UK SMEs are crucial to the UK supply chain and should be well represented.
• Connections with other national, regional and civic bodies must be clear, and the hierarchy arranged to prevent undue blockages, localised duplication or parochialism.
• The subsector definition is very important, and due regard should be paid to how we establish/restore, protect, maintain, incentivise, and stimulate a robust UK-based supply chain. We must also make sure that this supply chain is properly supported with affordable and competitively priced raw materials, components, transport connections and energy supplies.

Crowe UK have invested time in responding to the paper, and we urge everyone else to react as the government have asked for feedback, so it is clearly important.