Next UK government must commit to a long-term industrial strategy or risk continued low economic growth, says UK engineering profession
The next government must commit to a long-term industrial strategy that draws on the UK’s strength in engineering, innovation, research and manufacturing, according to a new set of policy priorities unveiled by the National Engineering Policy Centre (NEPC) - a partnership of 42 professional engineering institutions, including the Institution of Engineering and Technology (IET), led by the Royal Academy of Engineering.
- Industrial Strategy must dovetail with a long-term plan to equip a skilled workforce to meet future demands in green & tech jobs
In Engineering a resilient and prosperous future: policy priorities for the next UK parliament,(1) the engineering profession is calling for the next government to be bold, to take a holistic, long-term approach to tackling complex challenges like climate change and slow growth, creating strong policies on which the UK can build sustainable economic growth, helping to improve people's lives.
Engineering experts from 42 professional engineering organisations – together representing more than 700,000 engineers across the UK – have joined forces to assess the UK’s needs, which engineering can help to address, and how these are interconnected with the wider economy.
Reversing persistently low economic growth is essential and involves fostering innovation, supporting small businesses, and investing in strategic sectors. This will enable the UK to tackle climate change, to upgrade our aging infrastructure and to build warm and healthy homes.
The NEPC document, directed to all political parties, outlines how engineers work to tackle complex challenges and how they can work with policy makers to best meet the UK’s needs. With engineering posts comprising nearly 20% of jobs nationally (3) and the engineering economy representing 32% of total economic output (4), it plays a vital role in UK economic growth.
In order to fully leverage the UK’s impressive engineering and technology talents, says the NEPC, it must become a more attractive business destination. The policy priorities form a package that together can help grow the economy, protect the environment, and invest in the workforce and infrastructure of the future.
As well as an ambitious approach to industrial strategy, the NEPC also calls on the new government to create a framework for sustainable economic growth by taking a systems approach to policy:
Redouble the commitment to net zero and accelerate the development and adoption of green technologies by driving action and instilling confidence through fixed targets to cut carbon emissions, incentivising demand reduction and technology development and adoption; prioritising a just transition through meaningful engagement with diverse communities; and accelerating green growth.
Deliver a National Engineering and Technology Workforce Strategy by equipping the UK with the skilled workforce needed to meet the challenges of sustainability and technological advancement by delivering a long-term holistic plan encompassing all education stages, reskilling and upskilling, to deliver a diverse engineering and technology profession with the skills needed for the future.
Futureproof UK infrastructure to deliver sustainable, resilient and healthy spaces by building on the National Infrastructure Assessment recommendations (2) and joining up existing sub-national strategies to ensure infrastructure continues to deliver economic and societal benefits across the UK.
The start of a new parliament presents the opportunity to take a bold, long-term, and holistic approach to tackling these complex challenges, says the NEPC document. It also presents an opportunity to shape the role the UK plays in the responsible development of emerging and rapidly evolving technologies, using engineering approaches to ensure that they are designed rigorously and sustainably, and adopted where they have the maximum benefit.
Ed Almond MSc MBA FCA FIET, Chief Executive and Secretary of the Institution of Engineering and Technology, said: “This document demonstrates the huge potential across so many areas of policymaking that the engineering sector can offer the next government.
“Two key areas for me are the road to net zero and our industrial strategy. Both of these require long-term frameworks against which the expertise of the engineering and technology community can be brought together to deal with the challenges, and seize the opportunities, at the pace required.
“If the next government can set the direction of travel in these areas, secure the skills pipeline and bring engineering processes into the heart of policymaking, then I am confident that we can harness our sector’s skills and knowledge over the course of the next parliament to foster innovation and growth.”
Professor Sir Jim McDonald GBE FREng FRSE, President of the Royal Academy of Engineering, said: “Engineers are drivers of innovation and economic opportunity. They leverage advances in research to develop and deliver new products, services and enterprises that generate jobs and value to society. More than eight million people work in the UK’s engineering economy and the profession generates up to an estimated £645bn gross value added to the economy annually. For the UK to leverage that impressive engineering and technological strength, the new government needs to pursue a clear industrial strategy, underpinned by large-scale targeted support to key sectors, as many of our competitor nations have succeeded in doing. The choice is clear: we must create an environment that supports companies here, or they will go elsewhere.”
Dervilla Mitchell CBE FREng, Deputy Chair of Arup Group, said: “If the UK is going to fulfil its Net Zero commitments, and mitigate the impacts of climate change, the government needs to act decisively. It must take bold steps to drive action at pace across the UK – reducing demand, developing cleaner technology and adapting existing infrastructure, all while ensuring that the change is fair and equitable. Whilst the challenges are evident, the economic and social benefits that effective decarbonisation will bring are similarly clear and must be realised.”
Professor Juergen Maier CBE FREng FRS, Co-Founder, vocL; Former Chief Executive, Siemens UK, said: "A new parliament is an opportunity for government to set long-term policy priorities, the most important of which is the creation of a much-needed Industrial Strategy that sticks. The direction and certainty this sets allows for the investment in people, processes and infrastructure needed to truly harnesses the UK's strengths in engineering. For too long plans have come and gone, undermining the sector's ability to grow and develop in the UK."
The Baroness Brown of Cambridge DBE FREng FRS FMedSci, said: “Policymakers need the support of experts when dealing with the complex issues that we face today such as addressing climate change and regulating AI. As we move into the next Parliament, it is more important than ever that engineers and policymakers can share ideas and solutions. From demonstrating deliverable paths to net zero to drafting a National Engineering and Technology Workforce Strategy, the NEPC’s policy priorities are a great example of how trusted voices across engineering can make their expert advice both understandable and useable by those with the power to make positive changes. Whoever forms the next government should take serious note of these priorities as they plan their policy agenda.”
ENDS
Notes to Editors
(1) Engineering a resilient and prosperous future: policy priorities for the next UK parliament was developed by the National Engineering Policy Centre partners, led by the Royal Academy of Engineering.
(2) Second National Infrastructure Assessment, National Infrastructure Committee, 2023
(3) Demand for engineers increasing, with rapid growth in green jobs - EngineeringUK | Inspiring tomorrow's engineers.
(4) Engineering Economy and Place, Royal Academy of Engineering, 2023.
The National Engineering Policy Centre brings engineering thinking to the heart of policymaking, creating positive impacts for society. We are a partnership of 42 professional engineering organisations that cover the breadth and depth of our profession, led by the Royal Academy of Engineering. Together we provide insights, advice, and practical policy recommendations on complex national and global challenges.
The Royal Academy of Engineering is harnessing the power of engineering to build a sustainable society and an inclusive economy that works for everyone. In collaboration with our Fellows and partners, we’re growing talent and developing skills for the future, driving innovation and building global partnerships, and influencing policy and engaging the public. Together we’re working to tackle the greatest challenges of our age.
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