Business

The UK housing market lost momentum in July as concerns over potential tax rises in the autumn budget and uncertainty about the pace of interest rate cuts weighed on buyer sentiment, according to the Royal Institution of Chartered Surveyors (RICS).

The RICS index of new buyer inquiries fell to -6% from +4% in June, indicating weaker demand. A separate measure tracking agreed sales dropped to -16% from -4%, suggesting a slowdown in completed purchases.

Survey respondents expect conditions to remain subdued in the short term, with a recovery in activity not anticipated for at least 12 months. Analysts said speculation about Chancellor Rachel Reeves’s fiscal plans and doubts over further rate cuts from the Bank of England had prompted buyers to delay decisions.

The flow of new rental instructions also fell sharply, with a net balance of 31% of respondents reporting fewer landlords bringing properties to market — the steepest decline since April 2020. Tenant demand was stable over the three months to July, but with supply tightening, RICS expects rents to continue rising in the near term.

Simon Rubinsohn, chief economist at RICS, said: “Uncertainty about the potential contents of the chancellor’s autumn budget is raising some concerns. Respondents continue to report that the market remains particularly price-sensitive.”

The Bank of England cut the base rate to 4% in August — its lowest since early 2023 — but the 5–4 split vote has fuelled doubts about the scope for further reductions this year.

Alec Harragin of Savills said high-end buyers were awaiting clarity: “All eyes are now on the autumn budget in anticipation of any further tax initiatives aimed at high-net-worth individuals. Buyer caution persists despite the potential for domestic demand to benefit from further interest rate cuts and easing mortgage costs.”

RICS said the rebound in demand earlier this year, following the reduction of the first-time buyer stamp duty threshold from £425,000 to £300,000 in April, had faded in July. Nationwide reported average house prices rose 0.6% in the month to £272,664, while HMRC data showed home sales climbed 13% in June to 93,530.

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Housing market slows as buyers await autumn budget tax decisions

How a Richmond native turned early experience into real estate strategy

Ben Roper didn’t start in a boardroom. He started in a leasing office. Today, he’s a key figure in the real estate investment trust (REIT) space, helping grow portfolios through strategic 721 exchanges, also known as UPREITs.

“I didn’t skip steps,” Roper says. “I’ve done the hard, detailed work on the ground, and I use that now in conversations with developers who want to know I understand what they’re dealing with.”

At just under 30, Roper is already shaping conversations in a complex corner of real estate. His story isn’t about shortcuts. It’s about relationships, long-game thinking, and knowing how to explain value in a way that earns trust.

Early Life in Richmond: A Family Business Influence

Roper grew up in Richmond, Virginia. His family roots run deep in the area. His grandfather was once mayor of Petersburg and ran Roper Lumber, a successful lumber business. His father is a well-known apartment developer in Richmond.

“I saw my dad doing deals, solving problems, working with people. That stuck with me,” says Roper. “It made real estate feel familiar. But I wanted to earn it on my own.”

His path started early. He attended St. Christopher’s School through 8th grade, then Christchurch School for high school. After that, he went on to earn a degree in politics. During college, he completed internships with the Senate and The Heritage Foundation, even becoming a published contributor to The Daily Signal.

But instead of pursuing politics, he returned to his roots: real estate.

From Property Management to Innovation Leader

Roper’s first job in the industry was leasing apartments for RangeWater Real Estate (then Matrix Residential) at the American Tobacco Center in Richmond. He moved quickly.

“We kept occupancies up during COVID,” he recalls. “It was a tough time. But I leaned into it and earned trust. That’s when I got promoted.”

He became director of special projects for the Richmond market, then moved to Atlanta to lead the company’s innovation department. That role let him think beyond operations and start applying strategy.

“I was helping implement tech, new workflows, and ways to keep us ahead,” he says. “But I also started to see how fast a company could grow—and what happens when the wrong people are in the wrong seats.”

The rapid expansion at RangeWater, while exciting, also brought internal frustration. Roper began thinking about his next move.

Exploring the 721 Exchange at Bonaventure

That move was to Bonaventure, where Roper stepped into business development. His focus: 721 exchange deals, which allow developers to contribute their properties to a REIT in exchange for operating partnership units—essentially a tax-deferred way to move from real assets to shares in a larger fund.

“These deals are personal,” Roper explains. “You’re not just running numbers. You’re talking legacy, liquidity, and timing with people who’ve spent years building something.”

At Bonaventure, he built relationships with property owners, developers, and family offices. He also worked on other offerings like preferred equity and mezzanine debt. But his core strength was connecting with owners and explaining why the UPREIT model might work for them.

Leading Strategic Growth Efforts

Today, Roper focuses full-time on leading growth efforts for a major REIT. His role is both strategic and personal, he works directly with developers to structure 721 exchanges that contribute assets to the fund.

“It’s not just about closing deals,” he says. “It’s about solving puzzles. Every property and every owner is different.”

The complexity of the job is what keeps him engaged. Each opportunity requires a different set of tools, deep financial knowledge, strong relationships, and a creative approach to deal-making. “No two transactions are ever the same,” Roper explains. “That’s what makes this work so challenging and rewarding. You’re constantly adjusting, learning, and looking for the right fit.”

While the market can be unpredictable, Roper’s approach is grounded in consistency and preparation. He believes success comes from focusing on what’s in front of him, understanding the developer’s needs, structuring a compelling offer, and guiding each deal step by step.

“There’s always going to be noise and pressure in this space,” he says. “But my job is to stay focused on the process. Keep the conversation going. Move things forward.”

He’s also learned the value of staying steady, even when things don’t unfold as expected. “Some weeks feel like a sprint, and others feel like a standstill,” Roper says. “But the key is not to overreact either way. Just keep showing up with solutions.”

That mindset—one rooted in problem-solving, patience, and long-term thinking—is what sets him apart. “I believe in what we’re offering,” he says. “And I believe in earning every opportunity by doing the work.”

Key Takeaways from Ben Roper’s Career Path

Start at the ground level. Roper’s early work in leasing gave him insight that helps him today with developers and investors.
Focus on long-term relationships. Success in 721 exchanges isn’t about pressure—it’s about trust and timing.
Adapt to change. His move from operations to innovation taught him how to adjust in growing companies.
Family legacy matters. Learning from his father and grandfather helped shape his values and work ethic.
Don’t underestimate perception. A single article can shift millions in equity. Reputational awareness is critical.

Ben Roper’s story proves that influence in real estate doesn’t come from flash—it comes from understanding, persistence, and being willing to do the hard things first.

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Ben Roper’s Rise in REITs: From Leasing to Leading Deals

The GMB union has called on the government to commit to using UK-made pottery and tableware in all British embassies and High Commissions around the world, as part of a push to back the country’s struggling ceramics sector.

In a letter to Foreign Secretary David Lammy, GMB General Secretary Gary Smith said the move would send “a clear message that we put UK manufacturing at the heart of everything we do as a country” and help promote one of Britain’s best-known industries to international audiences.

Smith warned that the ceramics industry – which employs more than 20,000 workers across the UK – is “at a crossroads” after years of political neglect, spiralling energy bills for gas-fired kilns, and competition from counterfeit imports.

“UK ceramics are the envy of the world, but political failure has left our pottery firms battling against eye-watering costs to keep their kilns lit,” Smith wrote. “With a network of more than 300 embassies and High Commissions, the UK has a golden opportunity to showcase the best of UK pottery at embassies across the world.”

The GMB leader highlighted the collapse of three Staffordshire-based firms – Royal Stafford, Heraldic Pottery and Moorcroft – this year alone, warning that hundreds of jobs have been lost and more communities are under threat.

While praising the skill of British potters and the global reputation of UK ceramics, Smith called for “practical steps” from government to support the sector, which produces world-class tableware and industrial ceramic components. He urged the Foreign, Commonwealth & Development Office to lead by example by sourcing from unionised UK manufacturers listed on the union’s Potters’ Pledge website.

The GMB said it would welcome further talks with the government on the proposal, which it sees as both a symbolic and practical commitment to a “vital British industry” whose survival is increasingly under pressure.

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GMB urges government to showcase UK pottery in embassies worldwide to support ceramics industry

Chancellor Rachel Reeves has appointed three high-profile business figures to the Treasury’s Board of Directors – but the move has drawn criticism from SME leaders who say the government is failing to include voices with first-hand small business experience.

From September, Sir Charlie Mayfield, former chairman of John Lewis Partnership, will join the board alongside fintech entrepreneur Edward Twiddy and communications specialist Jenny Scott, each serving an initial three-year term.

The Treasury said the appointments are intended to bring fresh insight, strengthen operational efficiency, and help the department support its “number one mission” of economic growth.

“Between them, they bring a huge amount of experience and fresh thinking,” Reeves said. “Their insights will be invaluable as we focus on growing the economy to deliver for working people as part of our Plan for Change.”

The new appointees

Sir Charlie Mayfield – Former John Lewis Partnership chair, with over 20 years’ private sector experience and seven years as chair of the UK Commission for Employment and Skills. Known for leadership in talent development and technology-led transformation.
Edward Twiddy – Chair of Newcastle-based Northstar Ventures and co-founder of Atom Bank. Spent 13 years at the Treasury before moving into venture capital and fintech.
Jenny Scott – Co-founder of Apella Advisors and former senior communications lead at the Bank of England. Previously an economics correspondent and political programme presenter at the BBC.

SME leaders: “Missing a trick”

While the appointments were welcomed as a step towards closer engagement with business, SME leaders voiced frustration that no one from the small business community has been included.

Mary Maguire, managing director of Derby-based Astute Recruitment, said corporate leaders “don’t understand the cash flow nightmares” facing SMEs, start-ups and sole traders. “Let’s have some voices at the Treasury from SME Britain, who actually understand SMEs and can give them the voice they deserve.”

Michelle Lawson, director at Fareham-based Lawson Financial, questioned the timing: “Is this announcement the Chancellor finally realising that she, and many other senior cabinet members, have no experience with business? … It may be too little too late to repair the damage already caused.”

Some commentators saw the move as a positive step but stressed the need for follow-through. Samuel Mather-Holgate, independent financial adviser at Mather and Murray Financial, said: “Hopefully having some sound heads onboard will lead to more robust decisions … Reeves needs to stop talking about a plan for change, and actually start implementing it.”

Scott Gallacher, director at Rowley Turton, welcomed the experience of Mayfield and Twiddy but questioned Scott’s appointment: “Her background is mainly in communications for the BBC and the Bank of England, rather than running a business. Another external business leader might have added more balance and a stronger SME perspective.”

Richard Alvin, Group Managing Director of the CBM Group, formerly Capital Business Media, publishers of Business Matters, was a former advisor for SMEs to the David Cameron administration and he echoes the calls for SMEs to be represented saying: “The advice that Reeves will be hearing from Mayfield, Twiddy and Scott, whilst much needed is very different to what she needs to be hearing from those with detailed insight into businesses of a much smaller scale. Those companies with turnovers under £20million, and in fact £10million and also £2million, have very different needs to those larger companies. It is not a case of government needed to hear from ‘business’ as this really is not a one-size fits all need and if Reeves thinks that it is then that is also part of the problem with the current administration.”

Read more:
Reeves appoints senior business leaders to treasury board – but SME’s call for their own voice

The UK’s dairy industry has warned that chronic worker shortages – worsened by Brexit and the pandemic – are threatening the country’s food security and driving up the risk of reduced production and higher prices.

A survey by Arla, the UK’s largest dairy co-operative and owner of the Lurpak and Cravendale brands, found that five in six farmers looking to recruit had received very few or no applications from qualified candidates. The finding reflects a growing struggle to find staff with the right skills, with 84% of farmers now citing hiring difficulties, up from 79% in 2021.

Producers said the end of free movement for EU workers, coupled with the economic fallout from Covid, has compounded long-standing challenges in recruitment across agriculture. Nearly half (48.6%) of respondents said retaining staff had become harder since Brexit and the pandemic, while only 5% reported any improvement.

The shortages are already having tangible effects: 13% of those surveyed said they would leave farming altogether in the next year if the situation does not improve, and 6% said they had been forced to cut milk production.

Although Arla’s total milk output has remained stable, its membership has fallen by about 300 over the past three years – from 2,100 to 1,900 – as farmers retire or consolidate herds. Members now account for almost a third of all UK dairy farmers.

Industry data from the Agriculture and Horticulture Development Board (AHDB) shows that nearly 200 British dairy farmers quit in the 12 months to April 2025, bringing the total number of producers down to 7,040. The sector has repeatedly warned that continued losses could undermine the UK’s self-sufficiency in liquid milk.

“What we’re seeing is the real impact of these workforce shortages on our farming industry, whether that’s in higher costs or lower milk production,” said Bas Padberg, managing director of Arla Foods UK. “The effect of this is ultimately going to be seen in the price and availability of products on the supermarket shelves, affecting the millions of people that rely on dairy as a source of nutrition.”

Arla runs its own apprenticeship and industrial placement schemes and has welcomed government recognition of the problem in the upcoming food strategy. But Padberg said “practical steps” from industry, educators and government were needed to attract new entrants – particularly younger workers – into the sector.

Like much of agriculture, dairy farming has an ageing workforce, with nearly half (47%) of farmers aged 55 or over. Most young people entering the industry do so through family connections: two-thirds of respondents said their farms had been in the family for at least four generations, while only 3% were first-generation farmers.

Read more:
Dairy farmers warn worker shortages are putting UK food security at risk

The UK Government has set out a sweeping plan to make Britain “the best place in the world to start, grow and invest” in advanced manufacturing by 2035—aiming to near‑double annual business investment in the sector from £21 billion to £39 billion while sharpening the country’s edge in six frontier industries.

The plan couples cheaper energy for factories with fresh funding for R&D, automation and skills, alongside a place‑based push to scale regional clusters.

At stake is a sector that already employs around 760,000 people and generates £82 billion in gross value added each year. Advanced manufacturing accounted for £12.9 billion of business R&D in 2023 and £198 billion of goods exports in 2024, with productivity markedly above the economy‑wide average.

Four pillars to change the business environment

The strategy moves on four fronts:

Ease, speed and stability for doing business

From 2027, a new British Industrial Competitiveness Scheme will cut electricity costs for the UK’s most energy‑intensive manufacturers by an estimated £35–£40/MWh to 2030, backed by a 90% uplift in network charging compensation and continued support through the Energy Intensive Industries Compensation Scheme. Government also promises to accelerate grid connections through a new Connections Accelerator Service, consult on expanding corporate power purchase agreements and publish a revised Hydrogen Strategy in 2025.

Scaling innovation and automation

The paper points to up to £4.3 billion of funding for advanced manufacturing, including up to £2.8 billion in R&D programmes over five years. Policy levers range from full implementation of the Automated Vehicles Act to expanding Made Smarter Adoption with up to £99 million for SME tech take‑up, a new £40 million network of Robotics Adoption Hubs, and investment in data‑sharing infrastructure.

Skills

A new partnership with industry via Skills England will steer provision, with over £100 million earmarked for engineering skills in England, shorter‑duration apprenticeships and a sectoral Upskilling and Reskilling programme. An Equality Charter targets 35% female representation in manufacturing by 2035.

Place

The Government will back clusters across the country—84% of manufacturing jobs are outside London and the South East—including £160 million over 10 years for each Advanced Manufacturing‑focused Investment Zone, pilots to cluster the EV supply chain in the North East and West Midlands, and a Strategic Sites Accelerator to ready land for major projects. A map on page 55 highlights priority regions from the Central Belt to the North East, West Midlands and South Yorkshire.

Cheaper energy and sturdier supply chains

Energy remains the Achilles heel for many plants. The British Industrial Competitiveness Scheme is designed to narrow the UK‑EU gap in electricity prices for qualifying industries, while a beefed‑up British Industry Supercharger provides additional relief. A new Supply Chain Centre will analyse critical supply chains and track resilience outcomes, supported by a forthcoming Critical Minerals Strategy and a Steel Strategy.

The finance side is equally muscular: UK Export Finance has £80 billion of capacity, including a new loan guarantee for domestic suppliers selling critical minerals into UK export chains; the National Wealth Fund brings £27.8 billion to crowd in private capital; and the British Business Bank is committing £4 billion of Industrial Strategy Growth Capital to scale advanced manufacturing firms, including larger equity cheques of £40–£60 million for capital‑intensive businesses. Trade facilitation measures—from Digital Trade Corridors to tariff reliefs in recent deals—round out the package.

Six frontier industries: where the money and policy bite

The sector plan concentrates resources on six “frontier” areas where the UK sees the strongest comparative advantage.

Automotive

The goal is to lift UK production to over 1.3 million cars and commercial vehicles by 2035, backed by DRIVE35—£2 billion in capital and R&D funding to 2030 with a £500 million R&D boost—to accelerate electrification and software‑defined vehicles. The updated Zero Emission Vehicle Mandate gives manufacturers more flexibility and confirms sales of full and plug‑in hybrids until 2035; the Government also points to more than 80,000 public chargers already installed and £1.4 billion to support EV uptake. A £150 million extension of the CAM Pathfinder programme and full implementation of the Automated Vehicles Act by 2027 aim to make the UK the first European market for self‑driving services at scale. Targeted export support will focus on North America, Japan, China, India and Western Europe.

Batteries

The Battery Innovation Programme (formerly Faraday) is funded to £452 million to 2030, supporting next‑generation chemistries and safety, alongside £12 million via the High Value Manufacturing Catapult for novel active materials and solid‑state electrolytes scale‑up. The plan anticipates battery passports and higher recycled content requirements, and flags the role of 23–27 GW of grid‑scale storage by 2030 in delivering clean power. The sector’s regional centre of gravity remains the West Midlands and North East.

Aerospace

With a new generation of ultra‑efficient narrow‑body aircraft on the horizon, the Aerospace Technology Institute programme is extended with up to £2.3 billion to 2035. The Government will also underpin a domestic Sustainable Aviation Fuel industry through a mandate, revenue certainty mechanism and grants under the Advanced Fuels Fund, and support advanced air mobility (drones and eVTOL) via the Future of Flight programme and regulatory reforms.

Space

Expect a more focused push on five capabilities—satellite communications; PNT; in‑orbit servicing, assembly and manufacturing; space domain awareness; and space data architecture—with up to £80 million targeted over five years and up to £135 million across commercial programmes to crowd in private capital. The UK will lean on City of London strengths to become a global hub for space finance and expand its Space Regulatory Sandbox (Rendezvous and Proximity Operations moving to Stage 2).

Advanced materials

Phase 1 of a new National Materials Innovation Programme brings £50 million to coordinate industry‑academia networks, fund pilot lines, and accelerate Materials 4.0 (AI‑assisted discovery, design and verification). A Defence Materials Centre of Excellence in Manchester and open‑access carbon‑fibre development lines in Cheshire sit alongside moves to explore materials passports and lifecycle standards as part of a 2025 Circular Economy Strategy.

Agri‑tech

With the agri‑food chain contributing £147 billion GVA, the Farming Innovation Programme will allocate at least £200 million to 2030, backed by blended‑finance Investor Partnerships and an ADOPT fund to validate ROI for on‑farm automation. An Agri‑Tech Export Accelerator will help UK firms break into priority markets.

Clusters and places: spreading growth

If the strategy has a single highlight, it’s the ring of high‑potential clusters stretching from the Edinburgh–Glasgow Central Belt (space, aerospace and advanced materials) across the North East (automotive, batteries, space) and West Midlands (automotive, batteries, agri‑tech) to South Yorkshire (aerospace, materials) and Belfast City Region.

Investment Zones get £160 million each over 10 years; Freeports remain part of the toolkit; and Government will partner with mayoral authorities on pilot EV‑supply‑chain clusters in the North East and West Midlands to create a replicable blueprint.

Governance, metrics and what to watch

Delivery is always the test with the plan actually naming senior officials to each policy stream, while the Industrial Strategy Council will monitor progress against six core metrics (exports, business investment, GVA, productivity growth, labour market earnings, and the number of large home‑grown firms).

For advanced manufacturing specifically, success will be judged by lower energy costs, fewer supply‑chain disruptions and more major investments; faster R&D‑led productivity; and a stronger, more inclusive skills pipeline.

Business take: credible direction, execution risk

For boardrooms and SME owners alike, three points stand out. First, the energy‑cost relief looks material for eligible plants; if implemented cleanly, it narrows a chronic competitiveness gap.

Second, the funding architecture—NWF, BBB, UKEF, and targeted R&D pots—addresses the UK’s “valley of death” problem between lab and factory, though firms will watch how quickly cheques translate into purchase orders and capex.

Third, the regional dimension is unambiguous: supply chains and skills will be built where firms already cluster, and public money will pursue momentum.

The strategy’s breadth is also a risk. Prioritisation inside each frontier sector—and steady policy on charging, planning and skills—will determine whether the UK converts strong science into scaled manufacturing at pace. Still, by knitting together cheaper energy, patient capital, pro‑innovation regulation and local delivery, Whitehall is giving advanced manufacturers a clearer runway than they have had in years. Now industry has to land the planes.

Read more:
UK’s modern industrial strategy puts advanced manufacturing at the heart of 2035 growth

The Government has put electric vehicles and batteries at the sharp end of its Modern Industrial Strategy, targeting more than 1.3 million cars and commercial vehicles a year by 2035 and a home‑grown supply chain from raw materials to recycling.

A new £2.5 billion package for the auto sector, lower industrial power prices and a £452 million battery R&D drive headline the offer to investors weighing where to build next.

At the centre is DRIVE35, a fresh industry offer worth £2 billion in capital and R&D through to 2030, with an extra £500 million to extend R&D backing. Ministers want DRIVE35 to crowd in at least £6.6 billion of private investment across vehicle electrification, software‑defined platforms and vehicle‑to‑grid technology—part of a plan to lift output above the 1.3 million mark by 2035.

The strategy also confirms reforms to the Zero Emission Vehicle (ZEV) Mandate and that full and plug‑in hybrids can be sold until 2035, easing model‑cycle planning as plants retool.

Charging and incentives get attention too. The plan cites more than 80,000 public charge points installed by June 2025, alongside £400 million to accelerate rollout and £1.4 billion to support EV uptake, including vans and HGVs. Generous capital allowances and Benefit‑in‑Kind incentives are kept in the mix to sustain fleet momentum.

On autonomy, the Government will implement the Automated Vehicles Act in full by 2027, enable commercial pilots from spring 2026, and extend Connected and Automated Mobility support with £150 million to 2030—aiming to make the UK the first European market to run self‑driving services at scale.

Rebadged as the Battery Innovation Programme, the former Faraday Battery Challenge is funded at £452 million to 2030. The programme has already backed 118 projects, the majority SME‑led, and will push next‑generation chemistries, safety and industrial skills while linking labs to factory pilots. A separate £12 million allocation via the High Value Manufacturing Catapult is scaling novel active materials and solid‑state electrolytes—a nod to supply‑chain resilience as critical minerals markets tighten.

Regulatory tailwinds are coming. From February 2027, EV and large industrial batteries sold into the EU will need a unique “battery passport”; by 2031 they must hit recycled‑content targets for lithium, nickel, cobalt and lead. The UK plans to use these EU rules as a spur—expanding reuse, second‑life and recycling, and assessing whether to adopt UK battery passports to smooth trade and traceability. (The Government’s Circular Economy Strategy proposals are due autumn 2025.)

Factory energy costs—long a drag on UK competitiveness—are directly targeted. From 2027, a new British Industrial Competitiveness Scheme will cut electricity prices by around £35–£40/MWh to 2030 for eligible electricity‑intensive manufacturers, with exemptions from key levies.

The British Industry Supercharger lifts network‑charge compensation from 60% to 90% from 2026, and the Energy Intensive Industries Compensation Scheme will continue, with a review before the UK CBAM goes live in 2027.

To speed electrification projects, a Connections Accelerator Service will prioritise strategically important sites, while the Government explores ways to scale corporate PPAs for long‑term price certainty. A revised Hydrogen Strategy lands in 2025.

Public finance is being lined up to de‑risk large EV and battery investments. UK Export Finance has £80 billion of capacity and has launched a loan guarantee for UK suppliers of critical‑minerals products going into export chains; a recent deal will unlock up to £680 million in finance for the AESC gigafactory. The National Wealth Fund brings £27.8 billion, including an intent to deploy at least £5.8 billion across gigafactories, green steel, ports and hydrogen, while the British Business Bank will provide £4 billion of Industrial Strategy Growth Capital, with the ability to write £40–£60 million equity cheques into capital‑intensive scale‑ups.

Clusters—and where the growth lands

The plan is explicit about place with pilot programmes in the North East and West Midlands which will test a fully integrated EV supply‑chain cluster model, creating a blueprint to roll out elsewhere. Each Investment Zone gets £160 million over 10 years; Freeports remain part of the toolkit. The map on page 55 sets out high‑potential regions from the North East (vehicles and batteries) to South Yorkshire (aerospace and materials). A live example: Agratas’ multibillion‑pound gigafactory in Somerset, expected to deliver up to 4,000 jobs.

By the numbers (EVs & batteries)

>1.3m cars and commercial vehicles targeted per year by 2035.
£2.5bn for automotive: £2bn capital/R&D to 2030 + £500m extra R&D.
80,000+ public charge points installed by June 2025; £400m for rollout; £1.4bn to support EV uptake.
£452m battery R&D funding to 2030; 118 projects backed to date.
£35–£40/MWh cut to electricity prices for eligible manufacturers from 2027.
£80bn UKEF capacity; up to £680m finance guarantees for AESC gigafactory.
23–27 GW of grid‑scale storage needed by 2030.

Whitehall is offering long‑term money, cheaper power and a map of where to build. If industry brings investible projects with real supply‑chain depth, the UK has a plausible route from a handful of flagship plants to end‑to‑end EV and battery clusters with global pull. The numbers—and the timelines—now put the onus on delivery.

Read more:
UK’s EV and battery push: 1.3m vehicles a year by 2035 and cheaper power for factories

The Government has put electric vehicles and batteries at the heart of its Modern Industrial Strategy, with an explicit aim to lift UK output to more than 1.3 million cars and commercial vehicles by 2035 and to anchor gigafactories and their supply chains on British soil.

The Advanced Manufacturing Sector Plan, published as part of the strategy, couples long‑term funding and pro‑innovation regulation with cheaper energy and place‑based cluster building—an attempt to convert the UK’s strong R&D base into scaled production at pace.

At the core is DRIVE35, a new offer for automotive investors that pledges £2 billion in capital and R&D funding to 2030, plus an extra £500 million for R&D, to accelerate zero‑emission and software‑defined vehicles, battery integration and vehicle‑to‑grid tech. Ministers want the programme to leverage at least £6.6 billion of private investment, knitting together grants with the National Wealth Fund’s tools and other public finance institutions to crowd in larger cheques for capital‑intensive projects.

A bigger, clearer runway for carmakers

Alongside DRIVE35, the paper confirms reforms to the Zero Emission Vehicle (ZEV) Mandate designed to give manufacturers greater compliance flexibility. Government has also confirmed sales of full and plug‑in hybrids until 2035, which it argues will smooth the production shift for OEMs and the purchasing journey for consumers.

On infrastructure, the plan cites more than 80,000 public charge points installed by June 2025, a further £400 million to accelerate rollout, and £1.4 billion to support EV uptake, including for vans and HGVs. Generous capital allowances and Benefit‑in‑Kind incentives remain part of the toolkit.

For advanced driver assistance and self‑driving, the Automated Vehicles Act 2024 is the regulatory foundation. The Government will implement the Act in full by 2027, enable commercial pilots from spring 2026, and extend the Connected and Automated Mobility (CAM) Pathfinder with £150 million to 2030—framed as a route to make the UK the first European market for self‑driving services at scale. A targeted export support programme will help CAM companies win work in the Middle East, while a parallel automotive export push prioritises North America, Japan, China, India and Western Europe.

Gigafactories and the battery backbone

On batteries, the strategy is unambiguous: the UK must build a resilient, end‑to‑end industry spanning raw materials, cells, packs, reuse and recycling. The Battery Innovation Programme (the re‑branded Faraday Battery Challenge) is funded at £452 million to 2030 to push technologies from lab to factory and to fund safety research and industrial skills. The programme has already supported 118 high‑tech projects, the majority SME‑led, and has catalysed significant private co‑investment. Separately, £12 million via the High Value Manufacturing Catapult is enabling the synthesis and scale‑up of novel active materials and solid‑state electrolytes, a sign that policymakers see materials science as strategic to securing supply and differentiation.

The plan also looks downstream: from 2027, EV and large industrial batteries sold into the EU will require a unique “battery passport”, and from 2031 they must meet recycled‑content targets for lithium, nickel, cobalt and lead. While these are EU requirements, the UK intends to use them as a competitive spur—by growing domestic reuse, recycling and end‑of‑life capabilities (a 2024 baseline turnover of £560 million is the starting point) and by considering UK battery passports to smooth trade and enhance traceability. A Circular Economy Taskforce will shape the policy mix, with proposals for a national strategy due autumn 2025.

Battery storage is pulled explicitly into the clean power mission. The Clean Power 2030 Action Plan foresees 23–27 GW of grid‑scale batteries by 2030, positioning energy storage not just as an enabler of renewables but as a domestic manufacturing opportunity in its own right. For carmakers and cell producers, that signals a more bankable market for stationary storage alongside automotive demand.

Lower energy costs and faster connections

For both EV assembly plants and gigafactories, energy price competitiveness has been a long‑running sore. From 2027, the British Industrial Competitiveness Scheme will cut electricity costs by around £35–40/MWh to 2030 for electricity‑intensive industries, with exemptions from key levies.

The British Industry Supercharger raises network‑charge compensation from 60% to 90% for eligible firms from 2026, and the Energy Intensive Industries Compensation Scheme continues, with a policy review slated ahead of the UK CBAM’s arrival in 2027.

To speed power access, a Connections Accelerator Service will triage strategically important projects and help them to the front of the queue; ministers will also consult on expanding the Corporate PPA market to provide long‑term price certainty. A revised Hydrogen Strategy is due in 2025, signalling support for hydrogen’s role in industrial processes and, in time, heavy transport.

Finance that pulls through to production

The strategy leans hard on the UK’s public‑finance machinery. UK Export Finance now has £80 billion of capacity and has created a new loan guarantee for UK suppliers of critical‑minerals products into export chains. A recent example—up to £680 million in finance guarantees for the AESC gigafactory—is held up as a model for de‑risking large projects.

The National Wealth Fund sits behind the strategy with £27.8 billion, and—crucially for EVs—has committed to deploy significant capital across the vehicle supply chain, including an intent to put at least £5.8 billion into five areas such as gigafactories and green steel.

The British Business Bank will add £4 billion of Industrial Strategy Growth Capital, including the ability to write £40–£60 million equity tickets into capital‑intensive scale‑ups.

Internationally, the trade agenda is framed around resilience and market access. The UK‑US economic deal would cut tariffs from 27.5% to 10% on a quota of 100,000 UK vehicle exports, while the UK‑India FTA is expected to save around £400 million a year for producers across several sectors. The Government says it remains in dialogue with manufacturers on rules of origin under the UK‑EU Trade and Cooperation Agreement to ensure electrified vehicles and batteries can continue to trade smoothly with the EU.

Clusters: where the rubber meets the road

Place policy runs throughout. The plan spotlights a spine of automotive and battery capability from the North East to the West Midlands, with the West Midlands and North East named as pilot regions for a fully integrated EV supply‑chain cluster.

The intention is to create a blueprint that can be replicated in other regions. Each Investment Zone gets £160 million over 10 years, and Freeports remain in play—mechanisms that local leaders can bend towards paint shops, pack lines and cathode materials, not just final assembly. In the background are specific projects: the Agratas gigafactory in Somerset, expected to create up to 4,000 jobs, shows the scale of bets now landing.

The plan also nods to the wider ecosystem—semiconductors, glass, carbon fibre, chemicals and critical minerals—with a Critical Minerals Strategy due in 2025, a Steel Strategy in train, and support for composite and glass R&D (think Glass Futures and the National Composites Centre). For EVs and batteries, shoring up these inputs is a buffer against future shocks and a route to higher domestic content.

What this means for boards and founders

For OEMs, tier‑ones and fast‑growing scale‑ups, the signal is threefold:

First, energy cost relief is material. If delivered cleanly, the British Industrial Competitiveness Scheme and Supercharger narrow a structural gap that has hampered plant economics for years. That could be decisive for siting decisions on new cell lines, pack assembly and high‑energy processes such as cathode and anode production.

Second, the financing architecture is more muscular. Between DRIVE35, the Battery Innovation Programme, the National Wealth Fund, the British Business Bank and UKEF, there is a clearer pathway from prototype to pilot line to full commercial build‑out. The onus is now on firms to present investible projects that meet the strategy’s tests on resilience, productivity and regional impact. The accountability framework and timeline on page 66—marking, for example, DRIVE35 competition launches in 2025 and full AV Act implementation by 2027—gives a rhythm to plan against.

Third, compliance and circularity are moving from “nice‑to‑have” to market access. Battery passports and recycled content thresholds will increasingly shape upstream design, sourcing and end‑of‑life models. Companies that can close loops—through reuse, second‑life and advanced recycling—will be better placed to win tenders and de‑risk trade with the EU.

Execution risks—and the watch‑list

Delivery will decide whether these ambitions become metal on the line. Four risks stand out:

Grid and planning friction

The Connections Accelerator Service is a welcome fix, but the scale of BESS and gigafactory demand means grid reinforcement and planning capacity will be constant pinch points. Watch how quickly the new service unblocks priority sites in 2026–27.

Rules of origin and trade choreography

The export support and US/India progress are positives, but many UK suppliers live and die on EU flows. Any slippage on battery content thresholds could squeeze margin or shut doors just as output ramps. Government says it is working with industry; the proof will be in 2026–28 model cycles.

Skills throughput

The battery and EV transition needs technicians as much as PhDs. The plan promises shorter apprenticeships, sectoral upskilling and new Technical Excellence Colleges—firms should engage early with Skills England to shape curricula that match factory needs.

Pace of cheque‑to‑capex conversion

The UK’s historic weakness has been in turning grant letters into production equipment quickly. The measures are designed to close that “valley of death”; industry will want to see the Office for Investment and National Wealth Fund move at market speed.

Bottom line

This is the most coordinated push for UK EV and battery manufacturing in a decade: long‑term funding, clearer regulation, cheaper energy and a map of where to build. If industry meets government halfway—bringing projects with scale, export potential and real supply‑chain depth—the next ten years could see the UK shift from a handful of flagship plants to a network of EV and battery clusters with real gravitational pull. For now, the runway is clearer than it has been in years. Time to rotate.

Read more:
EVs and batteries move centre stage in the UK’s modern industrial strategy

The UK labour market continued to cool over the summer, with job vacancies falling 5.8% to 718,000 between May and July, according to the Office for National Statistics (ONS).

It marks the 37th consecutive monthly decline in vacancies, taking openings well below pre-pandemic levels. The ONS said almost every sector saw a drop, with some employers opting not to recruit or replace departing staff.

Annual pay growth, including bonuses, also slowed – falling from 5% to 4.6% over the period – as companies sought to rein in costs.

Liz McKeown, ONS director of economic statistics, said the figures “point to a continued cooling of the labour market.” The unemployment rate remained unchanged at 4.7% in the three months to June.

Sheila Flavell CBE, chief operating officer at FDM Group, said the downturn reinforced the need to invest in workforce skills to maintain competitiveness: “The pace of technological change means that demand for certain skills, particularly in artificial intelligence, remains strong. This is a moment for businesses and policymakers to prioritise skills development… By focusing on experiential learning, adaptability to tech evolution and inclusion at all levels, we can safeguard both economic growth and individual career prospects.”

The Chartered Institute of Personnel and Development (CIPD) has warned that young people are being hardest hit, with hiring intentions among businesses at record lows.

Meanwhile, the latest labour market survey from KPMG and the Recruitment and Employment Confederation (REC)found a sharp drop in both permanent and temporary roles in July – the steepest since April – coinciding with a rise in people returning to work and more graduates seeking employment.

Read more:
UK job vacancies fall 5.8% to 718,000 as labour market slowdown deepens

The Treasury is examining reforms to inheritance tax (IHT) and capital gains tax (CGT) as part of efforts to raise billions of pounds ahead of the autumn budget, with officials tasked with finding ways to address a deficit estimated at more than £40bn.

According to Whitehall sources, one focus is on tightening rules around lifetime gifting – a common method of reducing IHT liabilities. At present, gifts made more than seven years before death are exempt, while those given three to seven years before death are taxed on a sliding “taper relief” scale from 32% to 8%.

A Treasury source said: “With so much wealth stored in assets like houses that have shot up in value, we have to find ways to better tap into the inheritances of those who can afford to contribute more… IHT can raise more, and even if we do nothing, it will raise more as the threshold stays frozen. But we have to look at the levers for taxing wealth if we want to avoid hitting earnings from work as much as possible.”

IHT has long been politically charged. In the late 2000s, the Conservatives gained ground in the polls by pledging to raise the threshold, branding the levy a “death tax”. Today, only 4.6% of estates pay IHT, with an average effective rate of 13% after reliefs, compared with the 40% headline rate.

Chancellor Rachel Reeves has already faced protests over last year’s cut to IHT reliefs for farmers passing on businesses. She argued that those with estates worth more than £3m “should make a contribution” but would still pay a lower rate than others.

The Treasury is also considering raising CGT rates by a few percentage points, potentially paired with allowances for investors who back UK businesses. The aim is to boost revenue without deterring domestic investment.

In 2024, CGT rates were not raised to the levels some in the Labour Party wanted, with Reeves rejecting calls to fully align them with income tax. However, senior figures believe there may be a political path to narrowing that gap.

The government has ruled out a flat-rate wealth tax – like Switzerland’s 2% levy on assets over £10m – but Reeves pointed to IHT and CGT as existing UK tools for taxing the wealthy:

“We have inheritance tax. We have capital gains. We’ve just got rid of the non-dom tax status… I’m not keen to replace those with a wealth tax because I think there’s the risk of actually losing money by doing those things.”

The government’s pledge not to raise income tax, VAT or employee national insurance limits its options for revenue-raising. The deficit has been driven by slowing growth, higher inflation, a four-year high in unemployment, increased debt interest, and external shocks such as Donald Trump’s tariffs.

A Treasury spokesperson said: “We are committed to keeping taxes for working people as low as possible… Changes to tax and spend policy are not the only ways of doing this, as seen with our planning reforms, expected to grow the economy by £6.8bn and cut borrowing by £3.4bn.”

The budget is expected to set out concrete proposals on both IHT and CGT, with officials aware of the political risk of targeting wealth taxes but under mounting pressure to deliver fiscal stability.

Read more:
Treasury weighs inheritance and capital gains tax reforms to plug £40bn UK budget gap