Parliament returns this week following the summer recess.
After July’s election, which saw Labour return to government after 14 years in opposition, prime minister Sir Keir Starmer has set out a number of the new government’s priorities.
The Chartered Institute for Export & International Trade’s UK public affairs lead Grace Thompson sets out the five things she’s looking out for this parliamentary term.
Industrial and trade strategies
The new government has said it wants to create a trade strategy “which aligns with our industrial strategy, enhances our economic security and supports our net zero ambitions.”
Businesses will be awaiting further developments on these two strategies, including any consultations that will be announced.
Jonathan Reynolds, the business and trade secretary, has already started ‘soft’ consultations with the business community by asking for feedback on four specific questions to be sent to ‘TellJonathan@BusinessandTrade.gov.uk’.
These questions include how a trade strategy should be used to boost exports and sell more British goods and services to markets around the world.
Autumn budget
The Autumn Budget takes place on 30 October. Chancellor Rachel Reeves has promised to “lead the most pro-growth, pro-business Treasury in our history”.
However, both Starmer and Reeves have warned that it will be a “painful” budget, laying the ground for an increase in taxes.
So far, increases to the rates of income tax, national insurance and VAT have been ruled out.
Stakeholders are able to submit their views on the Autumn Budget and spending review to the Treasury via this link until 10 September, 23:59.
CPTPP ratification
As well as the continuation of wider trade negotiations, the UK has now secured the final ratification required to trigger accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) by 15 December 2024.
Benefits include more access to high-quality imported goods, the cutting of tariffs on key UK exports – such as cars and machinery – and new opportunities to diversify supply chains.
Bills, bills, bills
The King’s Speech, held 17 July, set out the new government’s priorities and included a number of bills that are of interest to the business and trade community.
These include:
- The Skills England Bill seeks to deal with supply issues in the workforce, acknowledging a requirement for a “highly skilled workforce to meet England’s needs”. This includes looking at the regional skills gap and systems that need to be put in place.
- The National Wealth Fund Bill is central to the government’s mission to deliver growth, and will facilitate the creation of investments across every party of the country.
- The Product Safety and Metrology Bill seeks to preserve the UK’s status as a global leader in product regulation. The bill also notes that improvements are needed to border compliance and enforcement, in order to reflect “the challenges of modern, digital borders”.
This is just a flavour of some key pieces of legislation which businesses may wish to engage with to secure the best policy outcomes for their sectors, communities and regions.
Accountability
Inside Parliament, the committees that scrutinise the government’s policy, administration and spending are seeking new chairs following the general election. These chairmen and women are elected by their fellow MPs.
Of note for importers and exporters is the Business and Trade Committee, which holds ministers from the Department for Business and Trade (DBT) to account.
Currently running for the chairmanship of the trade committee are three Labour candidates: incumbent chair Liam Byrne, Mark Hendrick and Matt Western.
Other committees, including energy, defence and foreign affairs, are also seeking new chairs.
The deadline for nominations is 9 September, with elections being held 11 September.