Chris McDonald MP: speeches

Speeches

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  This issue, which my hon. Friend has raised with me before, relates primarily to category 4 products. We heard from my hon. Friend the Member for Newport East (Jessica Morden) earlier about the importance of that in Llanwern. I am very concerned about category 4, and it is one of the issues that I am looking at.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  I am afraid that I am the ultimate pragmatist. I would not have wanted to start here, but starting here, I am determined that we will do the best we can.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  The hon. Gentleman and I have engaged significantly on the industrial base in Yeovil, and I know how important it is to his local community. This takes us back to the point about steels that are or could be made in the UK. The issue raised by the hon. Gentleman and by many other people primarily involves the Speciality Steels plant. When we designed the trade measures, we were expecting a very quick move into new ownership, but it has taken about seven months longer than expected, and I am aware of the concern that that is causing businesses. I am, however, unapologetic about our determination to create the right market conditions, so that the production of speciality steels in the UK is a viable business proposition.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  There are issues with category 1, and I am looking at that. As I mentioned before, the uncertainty is unfortunate, but my hon. Friend will understand why it is there. I am aware that some businesses have been told by their stock holders that all their steels will be subject to a tariff, but that is not always the case. I can be generous and say that stock holders are perhaps also suffering some uncertainty and want to protect their own businesses, but I ask them to look very carefully at the codes. If they need some help with that, my officials stand ready to support them.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  If it was simple, we would do it. Of course, it is not that simple, because, as I have described, the category groupings for steels are much broader than individual grids. There are 20-odd categories, covering a whole range of grids, and that is why the quota size is particularly important. If there are issues with the quotas, we must deal with them. The hon. Gentleman says that he has not had a reply to his letter, for which I apologise on behalf of the Secretary of State. I can assure him that I will get my officials to look into that immediately.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  I thank the Chair of the Select Committee for both his work and that of his Committee on this issue. I recognise the concerns that were raised in his Committee earlier this week. On the point about timing, though, while I recognise the uncertainty this causes for business, it is impossible for the Government to announce the final arrangements until our discussions with the EU have concluded. I am reliably informed by those people with knowledge of negotiations with the EU that these things tend to run to the wire, so while I appreciate that it creates uncertainty, we need to wait until that point. However, the feedback from industry about quota levels has been heard by Government, and we are looking at those quota levels. That was the point of publishing the draft measures in the first place.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  Yes, I am concerned about that. As I have said, these measures are primarily about supporting the production of steel in the UK. I do not know if this is specific to the business mentioned by the hon. Gentleman, but many of the businesses we have heard about rely on supply from the EU, and that is where our discussions with the EU—linking discussions, essentially—are so critical.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  I can give a specific example, if that would be helpful. A number of Members have mentioned the specific situation in Canada, for instance, and I have looked carefully at the situation there. Fundamentally, it has a completely different tariff regime, which would not necessarily be straightforward or legal to apply in the UK. However, I continue to look at that. I reiterate the point that this measure is designed to support the steel industry. If other concerns fall outwith that, they need to be raised and dealt with appropriately.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  I shall be happy to meet businesses in Northern Ireland, as I have met businesses throughout the United Kingdom.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  In line with your guidance about constructive debate, Mr Speaker, I am sure we will have some constructive debate now. The shadow Minister has raised some legitimate questions, and I am very happy to provide the answers. I think we all recognise the importance of the steel industry and the downstream sector—there is definitely a point of agreement there. The point about timing is a critical one, and on the face of it, the request for a delay is not unreasonable. The important thing to recognise is that our steel safeguard measure expires on 30 July. It is not possible for us to extend that measure; it has lasted for eight years, and under World Trade Organisation rules we cannot extend it, so new measures are required. Of course, the EU is introducing a new measure on 1 July, and the US and Canada have also introduced new measures. If we were not to introduce a measure, the UK would become the global dumping ground for subsidised steel. That would be the end of our primary steel industry, so something needs to be done. In designing the measures, we have been very careful to ensure that they are targeted at those steels that are made, or could be made, in the UK. However, the categories are quite broad, and we acknowledge that some steels that are not, and could not be, made in the UK could be swept up in them. That is the point of the quotas. Since our draft measures were published, we have consulted extensively with industry—I have known Steve Morley for a very long time, and I listen very carefully to what he says, but more than that, we have carried out extensive consultation. The Minister for Trade and I have met the downstream group on three occasions, and I have met the Aerospace Growth Partnership, the Construction Leadership Council and many other businesses. We will be publishing our final measures in line with our EU negotiations when they are completed, in time for 1 July.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  The design of the steel measures, because of the different steel grades, means that the combined nomenclature codes fall into large buckets, so although the Government have targeted the measures at steels that are or could be made in the UK, some that are not or could not be made in the UK end up being caught up in the measures. That is the point of the quotas. It is important that we ensure that those quotas are in the right place, including for businesses such as Walsall Wheelbarrows. I have slightly lost count of the number of wheelbarrows that I have, but I will be sure that the next one I buy is from Walsall.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  The right hon. Member is quite right that there is a 12-month review. I thank him for his engagement, particularly with Stannah Stairlifts, but also for his further suggestions to me privately about how we might manage the transition. I want to reassure him that I am looking very carefully at the ideas he has raised. To be clear about this, I think everyone in this House believes in free and fair trade, and we all wish we lived in a world where there were no tariffs. UK Steel has welcomed these measures, but has also said it would prefer it if there were not any tariffs. Unfortunately, this is the product of the world we are in. I do not think this is “mucking about with tariffs.” Essentially, we are responding to the global trading situation, and trying to ensure we have a strategy for a viable UK industry.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  The hon. Member talks of tool steels. As I have said, this is about steels that are made or could be made in the UK. Clearly, for the steel businesses to be profitable, we need to— [ Interruption. ] Well, the phrase “could be made” is actually quite important, because the Speciality Steel business was unable to compete with subsidised steel coming in from China. If the Opposition say they want our steel strategy set by the Chinese Government, that would be why our steel industry is in the position it is. I am sympathetic to the calls from UK businesses to manage the transition, and I am trying to do that. Understandably, however, I do not believe that our steel strategy should be set by the Chinese Government.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  As my hon. Friend knows, I very much have an emotional attachment to that plant, having worked there myself, and what he says is right. We can contrast the situation in 2015 with the Steel Industry (Nationalisation) Bill that we are passing—opposed every step of the way by the Opposition—and the action we are taking on Speciality Steels. When the plant he refers to closed, I was in the business of looking for a buyer, and I was told by the Conservative Government that I had just 10 days; we have given months of support to Speciality Steels, and we are determined to see that process through.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  There are two things there. Our steel strategy said that we had an ambition to increase domestic steel production from 30% to 50% of market share. I have mentioned that the Speciality Steel sale has been delayed by a few months, but that component of the UK steel market is not the largest part. There are about 1 million tonnes of capacity there, whereas British Steel and Tata Steel each produce about 3 million tonnes. I realise that we are talking about different grades, but to answer the hon. Lady’s specific question: the overall capacity issue is very much about those two larger companies.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  As I mentioned to my right hon. Friend the Member for Birmingham Hodge Hill and Solihull North (Liam Byrne), the Chair of the Select Committee, I am sympathetic about the uncertainty. It is a difficult position for businesses to be in. To be clear, the reason for the uncertainty is that the publication of the final measures is dependent on market access negotiations with the European Union. It is to be expected that the negotiations with the European Union will go very close to the deadline.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  My hon. Friend puts her finger on a particular problem: the grouping together of various steels in the measures, which I recognise is an issue. As I have mentioned before, the quota is designed to solve the problem. I would appreciate it if she could share the issue with my officials; tonnage grade product specification is particularly helpful. It would be very helpful if she could share those details.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  I can indeed give a straight answer. Welsh steel sites will see money from the steel fund when the businesses that own them make a successful application for the money. Some £1 billion of the fund currently sits in the National Wealth Fund, awaiting such proposals. Tata Steel is particularly relevant to Trostre. I cannot say whether there is a project under consideration for Trostre, but I do know that Tata is bringing forward ideas. If the hon. Lady would like to talk to colleagues at Trostre and Tata Steel, they may well be able to share any ideas with her.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  I should be happy to meet the hon. Lady and representatives of businesses in her area. As the Minister for Industry, I am responsible for ensuring that we have adequate productive capacity to defend the nation, and in that respect these steel measures will provide the steel that we need for defence.

• 17 Jun 2026 · Steel Tariffs · Hansard source

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  The hon. Gentleman has put his finger on exactly the issue with which the Government are dealing at the moment, which is the interaction between our own measures and our own market and the EU measures and the EU market, and the market access that we can negotiate between the two. Unfortunately, that is the issue that is causing uncertainty for businesses such as those that he mentioned.

• 17 Jun 2026 · Private Sector Investment: Lancashire · Hansard source

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  I am incredibly grateful for the opportunity to close this debate on behalf of the Government. I thank my hon. Friend the Member for Ribble Valley (Maya Ellis) for securing this debate on investment in Lancashire’s economy; there can be no doubt about her commitment to and passion for Lancashire. I also thank my hon. Friends the Members for South Ribble (Mr Foster), for Stafford (Leigh Ingham) and for Redditch (Chris Bloore), who contributed so well to the debate. As my hon. Friend the Member for Ribble Valley said in her concluding remarks, she is a red rose, and I think that applies to all those who call the red rose county home. I want to address as many of the specific issues raised as possible, but I will talk about some of the positive investments in Lancashire that the Government are supporting and that have been enabled by Government policy. I am sure that by this stage, everyone in the House will know that I grew up in the north-east of England, on the other side of the Pennines—I hope that will not be held against me in this debate. We share something very much in common with Lancashire: our recent history, at a time of deindustrialisation in both our regions, which undermined the culture of the proud people of the north. I saw the effects of successive Governments who stepped back and allowed the slow and supposedly inexorable outsourcing of our industrial base to cheaper overseas markets. My hon. Friend talked about sectors such as advanced manufacturing and defence, and I know she will agree that that decline destroyed the landmarks, identity and culture of many industrial heartlands. What we have seen is that, as important as thriving services are, they work best when they are on top of a powerful industrial base of good, local jobs in manufacturing, engineering and key industries spread across the country.

• 17 Jun 2026 · Private Sector Investment: Lancashire · Hansard source

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  I do agree with my hon. Friend. More than that, in the towns I have described and, in fact, in the places across the country where there is manufacturing, it is usually the most productive employment—the most productive economic activity. Of course that is good for the economy, but it is also good for jobs, because the most productive employers offer the higher wages, certainly higher than would be available if those factories were not there. My hon. Friend is quite right; aspects of industrial policy that can centre more manufacturing in towns will provide better employment and improve the standard of living of people who live in those areas. Boosting economies in those areas also needs to be linked to investment in infrastructure, which is why the northern growth strategy is important—it will ensure that the right transport and infrastructure is in place to attract that business investment. We are making upgrades to the west coast main line, equipping Lancashire combined county authority with £215 million of investment via the local transport grant to help councils deliver transport improvements, including bus lanes, cycleways and congestion-reducing measures for motorists. The Pride in Place programme, which has been mentioned, is providing £5.8 billion over 10 years to rejuvenate many places around the country, including six in Lancashire. We are targeting that investment in the places where it is most needed, breathing new life into high streets, parks and the public realm. Pride in Place funding is also supporting youth clubs, libraries, community grocers, cultural venues, health and wellbeing services, and other local initiatives that make a big difference to local areas, making them both better places to live and more attractive for private investment and the creation of jobs. Significant work is under way to attract greater private sector investment in Lancashire. After years of Governments under-investing in and, frankly, overlooking industrial communities such as those in the north-west, we have acted decisively to drive growth and regeneration across the county. The reforms we have set out in our industrial strategy are making it easier for Lancashire’s key industries to invest, grow, and succeed in what is a fiercely competitive global market. Our Office for Investment is working hard to bring in more private domestic and international investors to support our high-export, high-productivity firms and back the places where people live. We are ensuring that Lancashire is placed at the forefront of the Government’s growth mission, while ensuring that growth is seen and felt by local people in local communities. We are an active, interventionist Government, working to drive growth and investment in Lancashire, in the north-west and throughout the country. I am grateful for my hon Friend’s support in that effort, and I am committed to working with her and other Lancashire MPs to ensure we build on that momentum in the weeks and months to come. She said that she could wax lyrical about how wonderful Lancashire is, and indeed it is wonderful. She also said that she wanted to coax more people to Lancashire, and I am sure that with this debate, she has done just that. Question put and agreed to.

• 17 Jun 2026 · Private Sector Investment: Lancashire · Hansard source

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  I thank my hon. Friend for raising Leyland Trucks. He will be aware of some of the procurement advice changes this Government have made, because we are keen to support British industry particularly in areas relating to national security. Thanks to Government support, Leyland Trucks has invested in its assembly lines and is now capable of producing 30 electric trucks per shift for sale both here in the UK and on international markets. It is also building a fully integrated zero-emission battery electric road sweeper. That is funded in part by our DRIVE35 programme, which represents the biggest investment in our car industry since the second world war. Leyland Trucks is vital to our automative sector and the Government’s industrial strategy. I could highlight some other great investments in Lancashire, including in aerospace, which we heard about from my hon. Friend the Member for Ribble Valley in opening the debate. There are 6,000 jobs being supported at BAE Warton and Samlesbury, thanks to the Typhoon deal that the Government secured with Turkey last year and our wider Typhoon programme. Production and final assembly of each Turkish Typhoon fighter jet will take place at either Warton or Samlesbury as part of that deal. My hon. Friend the Minister for Trade is in Turkey as we speak, securing more trade opportunities for British industry. In energy, Lancashire is also playing a critical role in making the UK a clean energy superpower, thanks in no small part to the strength of the nuclear sector in the county. Lancashire is already home to world-leading expertise located at the Springfields and Heysham power stations and we are building on these strengths. This Government are investing in nuclear power, working with the private sector with partners such as LS Electric, to progress an energy storage project at Widow hill. This is helping to balance the grid and keep energy supply stable as more renewable power comes online. I know that there is appetite to do even more in Lancashire, especially with the RedCAT low carbon technology commercialisation accelerator. It has been raised with me by Members previously and I know it is doing good work in bringing cutting-edge low carbon products to market. I am meeting members of the East Lancashire chamber of commerce and my hon. Friend the Member for Hyndburn (Sarah Smith) soon to discuss this initiative further. Defence has of course been mentioned strongly, and we are all eagerly anticipating the publication of the defence investment plan, but in addition to the BAE sites I have mentioned, my hon. Friend the Member for Ribble Valley will be aware that Lancashire is part of the north-west cyber cluster. She mentioned that specifically in her requests for further information and I undertake to write back to her in relation to the six or seven points she raised in detail at the start of the debate. The Ministry of Defence has made Blackpool and the Fylde College one of just five new defence technical colleges to bring employers across the defence sector together with young people from the area to ensure they can secure roles in engineering, in nuclear and in cyber-security. I know my hon. Friend shares my enthusiasm for creating opportunities for young people in defence, in energy and of course in advanced manufacturing. In addition to this support, the Department is working with the Office for Investment and local partners to deliver the “Lancashire Growth Plan”, which I would certainly recommend Members from the area become familiar with and carry around Parliament and push under the noses of Ministers, because, as we have heard, growth does not just happen in cities, and not all the places that are classed as not urban are also not rural. That is a strong feature not only of Lancashire but many places in the north-east, including the place that I call home. These are industrial areas centred around towns and it is good to see a strong pipeline of private sector investment coming forward across Lancashire. We have GVS Filter Technology’s recent £14 million low carbon manufacturing headquarters in Lancaster; a £100-million Eden Project in Morecambe, where Vinci has been appointed as the main contractor; and the Department for Business and Trade has thrown its support behind the recent investment announced by Budweiser, the official sponsor of the FIFA world cup 2026. I do not know whether I am allowed to point that out, but there we are. I believe my hon. Friend joined my ministerial colleague, the Under-Secretary of State for Business and Trade, my hon. Friend the Member for Halifax (Kate Dearden), who is responsible for employment rights and consumer protection, in celebrating Budweiser’s £7.8 million investment. There is another investment that I must mention. Mr Speaker is not here and is of course not able to speak on behalf of his own constituency, but Chorley is also benefiting from TVS Supply Chain Solutions, part of India’s TVS Group and a major UK employer. The group is planning to invest hundreds of millions of pounds in the UK, creating thousands more jobs, including in Chorley. I am aware that senior leaders met my right hon. and learned Friend the Prime Minister during his recent India visit, which will help us secure nearly 7,000 new jobs from Indian investment in the UK.

• 9 Jun 2026 · Steel Industry (Nationalisation) Bill · Hansard source

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  Okay. I am happy to give way and we will see what the Members have to say.

• 9 Jun 2026 · Steel Industry (Nationalisation) Bill · Hansard source

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  Just like yesterday, this second day of debate has been incredibly considered and collaborative. I very much thank everyone for contributing, just as they did yesterday. Having listened very carefully to the debate, I think many of the proposed amendments and new clauses fall into categories to do with the good use of public money in relation to valuations and liabilities, and to the role of this Parliament in scrutiny and reporting. I say at the outset, and I think this was put quite well by my hon. Friends the Members for Doncaster East and the Isle of Axholme (Lee Pitcher) and for Motherwell, Wishaw and Carluke (Pamela Nash)—she did so in an intervention I had slightly forgotten about—that the Government are trying to strike a balance. We must strike a balance between the essential nature of government, with our public accountability and also the obvious bureaucracy, and the commercial demands of business. I think we have found the balance in the right place, and as I address some of the amendments, I hope to convince hon. Members that we have given due consideration to that. Many Members, quite understandably, have highlighted specific cases in the steel industry that they believe the Government should consider. We have heard very powerfully about the plate mill at Dalzell and we have also heard about British Steel. However, this Bill is not targeted at any particular steel company; it provides powers to the Secretary of State to act in the national interest.