Jonathan Reynolds MP: speeches

Speeches

• 23 Jun 2025 · UK Modern Industrial Strategy · Hansard source

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  I thoroughly agree. It is an exciting day and the challenge is long-term consistency and reliability—which, frankly, this Parliament and previous Governments have not supplied. There is a key voice from business to us that we need to address. Digital and tech skills are one of the prominent features of the skills interventions in the industrial strategy in order to do what the hon. Lady says. It is a significant funding package and a significant partnership with businesses, who are telling us they want to work with Government and with young people and that they want to reskill people. I think there is more we can do, but this is the start. I am keen to work with the hon. Lady and any colleague who sees the urgency of this work and the benefits it could bring.

• 23 Jun 2025 · UK Modern Industrial Strategy · Hansard source

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  I thoroughly agree with my hon. Friend. It is brilliant to see her in Parliament as she has been a trailblazer on these issues, and I recognise the case that she has put forward extremely well. I recognise that this is a core economic priority for the United Kingdom, and it is great to see her as an advocate for that on the Government Benches.

• 23 Jun 2025 · UK Modern Industrial Strategy · Hansard source

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  I thank the hon. Member very much for his work. I think the whole House knows of my personal interest in steel and the measures we have taken, including the recall of Parliament and the passing of the Steel Industry (Special Measures) Act 2025 that was required to save his constituents’ jobs. He is right that the investment required in some of the most electricity-intensive opportunities of the future—electric arc furnaces, for instance, were we to go down that route at Scunthorpe —requires the kind of programme that the enhanced supercharger level will get to because of the measures outlined in the strategy. There is not yet a plan for transition at Scunthorpe. As the hon. Member knows, we have taken control, but we need to resolve the issue of ownership. We continue to run the plant in a way that minimises losses to the taxpayer. That has meant putting more money in up front to run it at full capacity, which I think he will very much support. We will continue to work with anyone in the local area, including him and my hon. Friend the Member for Scunthorpe (Sir Nicholas Dakin), to ensure that there is a bright future for the steel sector. I believe that will be possible based on the policy environment we are putting in place.

• 23 Jun 2025 · UK Modern Industrial Strategy · Hansard source

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  I thoroughly thank my hon. Friend for her question and for all her work in her role in Parliament advocating for these issues. There is a huge amount in this strategy for the sectors that she outlines. I was very proud of the work that we did with Hitachi. On cars, it is about the tariffs, the Drive 35 programme, energy costs and the ZEV mandate, and we will make any changes that we need for a competitive position. This is fundamentally about what business needs, but it is also about better-paying jobs in every part of the UK. My hon. Friend’s part of the world in particular will stand to benefit considerably from this programme.

• 23 Jun 2025 · UK Modern Industrial Strategy · Hansard source

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  Well, I think there is no comment I can make on that. I would say, first, that I imagine that that business has been doing very well in the last few days—anyone selling ice creams has probably seen a pretty solid demand for their products. The hon. Member makes a really good point, though; there is a lot of support for exporting, and businesses do not always know where to find it. The business growth service, which will be part of the small business plan, is an attempt by Government to bring together a single portal of information—to digitise, with a single digital login ideally, all the interactions that businesses have with the UK state. I want to bring together our considerable export offer, along with the export academy and the expertise that we have in markets, to make things very clear, so that a Member of Parliament like her visiting a business can simply say, “This is where you need to go. This is all the resource available, and I can raise any other issues with the Secretary of State.”

• 23 Jun 2025 · UK Modern Industrial Strategy · Hansard source

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  I welcome my hon. Friend’s question, which speaks directly to the challenges we are facing. As well as the action on energy bills, we will make sure there is a priority service for businesses to get the grid connections they need—one of the biggest barriers to investment—along with investment in skills. Something that I am particularly excited about is that we are going to spend £41 million to make sure that there is decent wi-fi on every mainline train service by using the latest satellite technology. If I was coming to Parliament just to announce that, I would be quite happy, if I am being honest.

• 23 Jun 2025 · UK Modern Industrial Strategy · Hansard source

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  The birthplace of the industrial revolution is somewhat contested by several of us Labour MPs, but we do not need a vote on that. My hon. Friend’s constituency certainly has a rich history and a great future for her constituents, who have been well represented by her since the election. On energy prices, we all want action sooner rather than later. There are some parts of the programme that I can implement more quickly than others, and I have to do this in the proper way and let people consult on the threshold. In my Department, we are often dealing with big inward investment decisions or existing domestic business investment decisions, and if they can have certainty as to where they will get to in a short space of time—many of these are investments that pay back over not just years but decades—that will make the difference. I believe that the benefits can be felt even sooner than the programme can be put in place, but I promise I will stretch every sinew to get it in place as soon as we can.

• 12 May 2025 · US-UK Trade Deal: Northern Ireland · Hansard source

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  We have discussed this issue across the Chamber on several occasions. We as a Government are not proposing any changes in how the UK and Parliament ratify treaties. I have never given the promises that the hon. Gentleman has mentioned; I have not changed my position. The position is as it always has been—that Parliament has a key role in scrutinising treaties, and any changes that require legislation or alterations in our domestic laws go through Parliament in the usual way. I think the hon. Gentleman will recognise that this week there could have been announcements of job losses and restructuring that would have been very difficult for a range of important sectors in our economy, and I do not think any Member of Parliament would have wanted to see that happen because of a parliamentary process. I understand that the Liberal Democrats want us to rejoin the customs union, and that therefore trade deals with the United States or India would not be possible. That is consistent and fair, but it would have been very painful if that had been the UK Government’s position going into negotiations. The hon. Gentleman asks about the impact of any potential issues in the global trading system on small businesses and the wider economy. They are significant for our bilateral relationship, but he will also know that the UK is very exposed to wider relationships because we are an outward-facing economy. That is why we have to be on the pitch with our sleeves rolled up, trying to find solutions for ourselves that other countries can follow. The hon. Gentleman asks a very pertinent question about the film industry. Again, for any area where there has been the suggestion of sectoral tariffs but they are not yet in place—to be honest, it is not entirely clear what would be the subject of a tariff in the case of a film—we have language in the agreement that reflects that. We would cite that as an existing area where there is a really strong and mutually beneficial bilateral trading relationship between ourselves and the United States.

• 12 May 2025 · US-UK Trade Deal: Northern Ireland · Hansard source

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  Mr Speaker, I would have been more than happy to make it a statement, and I was hoping to be able to do so. We have negotiated a quota of 100,000 vehicles where tariffs will be reduced from 27.5% to 10%, and secured an agreement for associated car parts, recognising the vital role that this sector plays in our economy. For steel and aluminium, this deal will remove the 25% additional tariffs that were put in place earlier this year, reducing US tariffs on core steel products to zero. This will provide a critical lift for the steel industry, which has been brought back from the brink of collapse, allowing UK steelmakers to continue exporting to the US. This follows our intervention last month to take control of British Steel and save thousands of jobs in Scunthorpe. For pharmaceuticals and life sciences, this deal provides assurances that we will receive significantly preferential access in case of any new US tariffs, something that, so far, only the UK has secured. As the pharmaceutical manufacturing sector contributes £20 billion to the UK economy a year and employs around 50,000 people, this was a priority for us. On aerospace, we agreed that UK aerospace exports, such as Rolls-Royce engines and plane parts, will have a specific guarantee of zero tariffs as a result of this deal. This will be a huge boost to the sector, which supports 450,000 jobs in the UK. To secure this deal, we have made agreements with the US on beef, ethanol and economic security. On beef, we have agreed a new quota of 13,000 metric tonnes, and have reduced the UK tariff on existing US imports coming through a World Trade Organisation quota limited to 1,000 metric tonnes. Crucially, I can confirm this will comply with sanitary and phytosanitary standards, in accordance with the commitments that we have always made. The increase in the quota of 13,000 tonnes compares with the 110,000 tonnes in the Australia deal negotiated by the last Conservative Government. Even more importantly, the deal is reciprocal, meaning our UK beef farmers will have unprecedented market access to the US. Our farmers will be able to export their high-quality beef through an exclusive UK quota to a market of over 300 million people, providing unparalleled access to the world’s largest consumer market. On ethanol, we already import a significant amount of ethanol from the US and have agreed a duty-free quota capped at 1.4 billion litres. We are working closely with our domestic sector to understand its concerns and any potential impacts to businesses, including what more Government can do to support the sector. Finally, the UK and US will strengthen our co-operation on economic security and work together to combat duty evasion. We will continue to use investment screening measures already in place, and we will work together to protect our existing supply chains from any third-country investment that concerns either one of us. This Government will take a consistent, long-term and pragmatic approach to managing the UK’s relationships with third countries, rooted in our UK and global interests. As we have made clear, the aspiration on both sides is that this is just the beginning, with the US agreeing to deepen transatlantic trade and investment further, and to progress discussions towards a transformative UK-US technology partnership. This deal has seen jobs saved and jobs won, but it is by no means job done. The siren voices of the extremes can claim to be the voice of working people all they want, but we know that on matters of action on wages, security and opportunity, it is this Government who will make the difference. The deal comes on the back of our India trade deal earlier last week and on the promises that many Governments have made to secure trade agreements with the US. Although many people have talked about those deals, it is this Government that have got them across the line for every bit of the UK, including Northern Ireland.

• 12 May 2025 · US-UK Trade Deal: Northern Ireland · Hansard source

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  Last week was a good week all told, on footballing and trade matters. You may be noting, Mr Speaker, that my voice is a little hoarse as a result. We on the Government Benches were elected on our manifesto commitment not to alter our sanitary and phytosanitary regime and our food standards. Some people said that a deal with the United States would not be possible if we stuck to that, but we did, and we have an agreement. That proves everything we said about why that issue is so important to us.

• 12 May 2025 · US-UK Trade Deal: Northern Ireland · Hansard source

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  The hon. Member will have heard my earlier answers. I believe that Parliament should play a role in scrutinising trade legislation, and indeed any international agreement, but it is not the case in the United Kingdom that we have formal “up or down” votes on any treaty. We vote on the implementation of those agreements, and the responsibility for negotiating and agreeing those is with the Government, rather than Parliament. I am not aware of any substantive proposal to change that system. It is certainly not something that the UK Government today are committed to doing. The hon. Member talks about the impact of leaving our existing trade relationships in the customs union. That was part of that referendum. I understand how people feel intensely about that. [ Interruption. ] People have different interpretations of why they voted. We can relive the argument forever or we can focus on the future, on reducing barriers to trade and on the kinds of agreements delivering advantages for every part of the UK, and that is exactly what we are doing. Had we in this case still been part of the customs union, there would be no breakthrough with the US or the India trade deal. All colleagues need to balance up the two things alongside each other. In relation to the automotive sector, that lack of a breakthrough would have meant significant job losses this week in the United Kingdom, and that would have been very painful for all of us.

• 1 May 2025 · Topical Questions · Hansard source

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  The shadow Secretary of State points to the statement in which I said that in the previous budget there was a £2.5 billion allocation for the green steel fund. Of course, that came in addition to the £500 million for the Port Talbot transformation, which was agreed under the previous Government but was not in the Departmental accounts—as he knows, it was in a heavily oversubscribed Treasury reserve. Yes, the green steel fund will be there to support what we have had to do at Scunthorpe. Again, as I said when Parliament was recalled, the question there was whether we would pay a significant amount of money for the total loss of the business; give a large amount of money to Jingye, but without the certainty that it would be able to deliver on that plan; or step in and take the action that we did, which I am confident was the right option for value for money and for Scunthorpe.

• 1 May 2025 · Topical Questions · Hansard source

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  I am grateful to finally get an invitation to somewhere. We understand that there are significant pressures for many businesses, and the global situation certainly will not provide reassurance in the short term. The measures in the Employment Rights Bill are not in effect yet and will take some time to come in. Since the election, nearly 200,000 jobs have been created, so the labour market is holding up particularly strongly. There are particular issues such as making sure we get probationary periods right and that zero-hours contracts are monitored in the right way, and we are working with business on that.

• 1 May 2025 · US Trade Negotiations: Farming · Hansard source

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  I regularly engage with my Cabinet colleagues on a wide range of issues, and in particular the UK’s ongoing trade discussions with partner countries, given the cross-cutting nature of those matters. The Secretary of State for Environment, Food and Rural Affairs is a key partner in that process, including with the US. As colleagues know, we have had constructive discussions with the US on an economic deal, and we remain committed to those talks, but we have made it clear that we will only ever sign trade agreements that align with the UK’s national interests. Our manifesto was also clear that we will always uphold our high food standards.

• 1 May 2025 · Trade Agreements · Hansard source

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  The answer, as the hon. Gentleman knows, is no; we are not, in this Government, seeking to change the ratification process for any treaty. He knows the process and how it works. The Constitutional Reform and Governance Act 2010 sets out that process. It allows MPs to scrutinise any treaty agreed with a country and presented to the House. The implementation of any aspect of any treaty still has to come to Parliament, of course; it is not the case that any agreement on any kind of international treaty can supersede what we agree in this place. In that process, all Members of Parliament get the same rights and privileges, quite rightly, but no—we are not proposing changes to the process by which we agree treaties with other countries.

• 12 Apr 2025 · Steel Industry (Special Measures) Bill · Hansard source

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  The hon. Member puts it extremely well, if I may say so. The people who have upheld steel as the backbone of construction in the UK for decades deserve better treatment than they would have had if Parliament had not been recalled today to take this action, and we should all bear that in mind. Whether it is at Port Talbot, via our upcoming steel strategy, via our work to improve public procurement, or in the introduction of our industrial strategy to tackle the most thorny issues of industrial competitiveness, where others have shied away, this Government have stepped up. Let me conclude by saying that steel is fundamental to Britain’s industrial strength, our security and our identity as a primary global power. Today’s legislation will help ensure that we can retain that steelmaking capability here in the UK both now and for years to come. For British workers’ security, for British industries’ future and—without hesitation—in our national interest, and for the workers of British Steel and their families, this action is essential, and I commend this Bill to the House.

• 12 Apr 2025 · Steel Industry (Special Measures) Bill · Hansard source

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  I am incredibly pleased to have the chance to answer the point my hon. Friend raises. The Port Talbot deal was originally negotiated by the previous Government. I did try to reopen it; I went to see Chandra in Davos and flew to Mumbai to talk to him about it. To be frank, I kept Port Talbot open on polling day, because it would have closed due to the industrial action that almost took place. The previous Government were nowhere to be seen, even before the result of the election was in. We were not able to reopen the deal, but we did negotiate a better deal. As a result, Port Talbot is in a stronger position than British Steel, because it has a long-term future in place. [ Interruption. ] This is because we improved on the deal that the Leader of the Opposition botched at the time. To be clear, the £2.5 billion green steel fund the Chancellor has put in place is in addition to the £500 million already going to Port Talbot. That is an incredibly important point.

• 12 Apr 2025 · Steel Industry (Special Measures) Bill · Hansard source

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  I beg to move, That the Bill be now read a Second time. We meet in exceptional circumstances to take exceptional action in what are exceptional times. Our request to recall Parliament was not one we made lightly. I am genuinely grateful to hon. Members in all parts of the House for their co-operation, and for being here today as we seek to pass emergency legislation that is unequivocally in our national interest. I thank in particular the staff in Parliament for facilitating today’s sitting, and the Prime Minister, the Chancellor and the Home Secretary for their support. Indeed, we can take this action today only because of the restoration of economic stability and the dedicated resources for steel in the last Budget. I acknowledge my hon. Friend the Member for Scunthorpe (Sir Nicholas Dakin), the hon. Member for Brigg and Immingham (Martin Vickers) and all my hon. Friends from Teesside for their advocacy and engagement on this matter, throughout, on behalf of their constituents. As hon, Members will know, since taking office, the Government have been negotiating in good faith with British Steel’s owner, Jingye. We have worked tirelessly to find a way forward, making a generous offer of support to British Steel that included sensible, common-sense conditions to protect the workforce, protect taxpayers’ money, and create a commercially viable company for the future. Despite our offer to Jingye being substantial, it wanted much more—an excessive amount, frankly. However, we remained committed to negotiation, but over the past few days, it has become clear that the intention of Jingye was to refuse to purchase sufficient raw materials to keep the blast furnaces running. In fact, its intention was to cancel and refuse to pay for existing orders. The company would therefore have irrevocably and unilaterally closed down primary steelmaking at British Steel. I want to make it absolutely clear that, separately from any conversation about a possible deal to co-invest in new infrastructure, the British Government offered to purchase the raw materials in a way that would have ensured no losses whatsoever for Jingye in maintaining the blast furnaces for a period of time. A counter-offer was instead made by Jingye: that we transfer hundreds of millions of pounds to it, without any conditions to prevent that money, and potentially other assets, being immediately transferred to China. Jingye also refused the condition of keeping the blast furnaces maintained and in good working order. Even if I had agreed to those terms, I could not guarantee that further requests for money would not then be made. In that situation, with the clock being run down, doing nothing was not an option. We could not, will not and never will stand idly by while the heat seeps from the UK’s remaining blast furnaces, without any planning, due process or respect for the consequences. That is why I needed colleagues here today.

• 3 Apr 2025 · UK-US Trade and Tariffs · Hansard source

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  As a former Treasury Minister, the right hon. Gentleman will know the kind of work that goes on to make sure that such assessments are made. The announcement came late last night; it is only last night and this morning that we have had the chance to respond to it. He will also appreciate that the impact on the UK is about not just the direct relationship between the US and the UK, but what happens in the wider global trading system. How other countries choose to react to the US announcements will be the determining factor for the impact on the UK, and we do not know that at this stage. I promise to keep the House updated, and to update the right hon. Gentleman personally, if he wishes, at any stage on our work to assess the impact on the UK. For all Members of Parliament, this should be a time for reassurance, for calm heads and for giving clear information to British business on how we will navigate these difficult times. That is the correct message to send out from Parliament.

• 3 Apr 2025 · UK-US Trade and Tariffs · Hansard source

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  I warmly welcome my hon. Friend’s question. He is right that this is a substantial change in US policy. It is important that, even if we do not agree with some of the decisions made and the thinking that underpins them, we recognise where they come from. Indeed, they were part of the US presidential campaign, so we have been able to prepare the ground for our conversations. My hon. Friend asked about international co-operation. We are strongly involved with the WTO, and particularly supported the re-election of Dr Ngozi as its director-general. It is important to remember that despite the problems the multilateral system faces, it is still the basis on which the vast majority of trade around the world takes place. We will continue to play a constructive role in relation to the WTO, and any multilateral organisation, where that serves our interests.

• 3 Apr 2025 · UK-US Trade and Tariffs · Hansard source

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  I thank the shadow Secretary of State for his response and his tone in responding. I recognise his commitment to free trade and the case he has made for it. I believe it is something we broadly share. He asks for honesty—that is always good in Parliament—but he is a little bit flippant about the position we find ourselves in today. He mentions a series of countries—Christmas Island, Kosovo—that do not have the kind of complex trading relationship that we have with the United States. The shadow Secretary of State can see from my tone, presentation and words that I am disappointed that we are in this position, but I look at the EU, facing a tariff of 20%; at Japan with 24%; at India with 26%; and at Canada and Mexico with 25% tariffs already in place. Yes, we are in a more favourable position compared with those key friends and allies, but we must go further, especially in relation to the tariffs on the automotive sector, which is a particular concern for me. The shadow Secretary of State again brings up Brexit, which was perhaps not the Conservative party’s finest hour in preparing the state for large trade shocks, but let us pass over that. As the President of the Board of Trade, I am of the view that it is good that we can set our own trade policy, but I say to him and to all colleagues: is it not time that we try to unite the country for the future, rather than keep on harking back to the past? Is that not how we will find our way through this? Half the country voted one way, and half voted the other way, but let us build together and look to the future. It is the right way forward. My next point is very important: it is false to see this as a choice between working with the US and working with the EU. We can work in a way that is consistent with both, and we should all be committed to that. The shadow Secretary of State also asked about the implications for the United Kingdom. Broadly, he asked me to reverse a series of policy choices made in the last 14 years; I will go through all of those. In relation to the spring statement, the Chancellor had already rebuilt the headroom substantially higher, due to the global turbulence, than that bequeathed her by the Conservative party. On the Conservatives’ spending plans, they left no business rates relief whatever: it was a one-year relief, rolled over, that never had any longevity. I have not yet received any credible proposals on how their spending plans would be paid for, but I am always available to receive those in writing. The shadow Secretary of State asks for reassurance, which we are always happy to provide on domestic policy changes. On things like the ZEV mandate for the automative sector, we are more pragmatic than the Conservative party was when in office. As he knows, the Department for Transport leads on that policy, but our response to the consultation on potential changes will be published soon. As colleagues would expect, I will not comment on the details of any negotiations with the US. In our manifesto, we committed to the UK’s sanitary, phytosanitary and food safety standards system. Of course the Government will adhere to that. The shadow Secretary of State also knows that we are imminently preparing to publish our trade strategy, which covers a lot of these issues, particularly around support for exporters that we want to proceed with. Northern Ireland is an incredibly important issue for all colleagues. The potential for a differential response from the European Union could lead to a difficult situation in Northern Ireland. As the Secretary of State highlights, the key policy is the duty reimbursement scheme, because goods entering Northern Ireland from the US that will not go into the wider single market are subject to the reimbursement programme. We must make sure that that works well. I recognise the points that he has made on it, and I will continue to update the House and all colleagues on our work in this area. I recognise how important and relevant it is to all our constituents, so we will endeavour to keep all colleagues updated on progress.

• 3 Apr 2025 · UK-US Trade and Tariffs · Hansard source

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  That is the right approach to take. I welcome my hon. Friend’s support and that of the businesses in her constituency that she mentioned. Of course we are trying to find a way through this, but given the situation we inherited after the election, our domestic competitiveness is not what it could be and what it needs to be. Even Conservative Members recognise the impact of aspects of regulation, energy prices and the direction of travel. The output of foundation industries last year and this year is at levels that should concern us all. We have to get that right, which is why this Government are committed to an industrial strategy and a trade strategy that works in partnership with it. As well as endorsing our approach, the feedback from businesses is that that is exactly what they want. West Bromwich is a powerhouse, but I want it to be an even bigger powerhouse in the future, and the same applies to the constituencies of many Members across the House.

• 3 Apr 2025 · UK-US Trade and Tariffs · Hansard source

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  I am grateful to my hon. Friend for her question. Let me be clear again: no one is celebrating the position that the country found itself in this morning. We recognise the differential for the UK, but all of us in the House—Members from all parties—are disappointed by the announcement from the United States, and are seeking to provide a way through. I know that my hon. Friend feels very strongly about this matter, but I reiterate to her that we do not have to make a choice between the US and the EU. They are two key, long-term and important trading partners, and security and defence partners as well. The EU summit next month is a key event. Our aspirations remain for an ambitious EU reset on trade, to rectify flaws in the agreement made by the previous Government. Our objectives are clear and were all in the manifesto on which Government Members stood for election and won. They remain a key priority. I assure my hon. Friend that the alignment in Government between the EU reset and the US negotiation is very strong.

• 3 Apr 2025 · UK-US Trade and Tariffs · Hansard source

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  The hon. Member will have heard me this morning on the media and here in Parliament being clear about how we feel about these decisions. We are deeply disappointed that no country has been able to secure an exemption from the tariffs, but we remain committed to working hard to deliver a potential way through this. The hon. Member asked how we will respond. Respectfully, the statement covered the fact that we will ask British businesses to work with us on the necessary formal steps. On the timeframe, I shadowed a lot of Conservative Business Secretaries in the last few years—there was fairly rapid turnover at one point—and some of them gave all kinds of timeframes and commitments on trade deals, but that is not in our interests because it puts pressure on us in the negotiations. The US side will have timescales that it wants to engage on, but I believe that no country in the world is further advanced in its talks with the United States, and hope and optimism comes from that.

• 3 Apr 2025 · UK-US Trade and Tariffs · Hansard source

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  My hon. Friend reminds me that I did not get a chance to respond to the shadow Secretary of State. If, following these announcements in the United States, we had come to Parliament and said, “You know, the answer to this is that low-paid people will not get the sick pay they would otherwise have got under this Labour Government,” that would have been the wrong response. Again, as ever, that would be scapegoating the wrong people for difficult things that have nothing to do with their position in the UK economy. My hon. Friend skilfully leveraged in a number of questions. There are real differences of opinion between us and the United States on VAT. We say that it applies, as it does, to domestically produced goods as much as to goods that come into the UK, and that it is not trade distorting; indeed, the balance of trade between the US and the UK is evidence of that. The argument from the US is slightly different. I will not go into the content of all the negotiations—she will appreciate that—but success in any negotiation is about being willing to be at the table and put forward our argument, while recognising the other side’s argument. That is the approach of this Government, and that is the way forward.