Chancellor Rachel Reeves is planning to give financial backing to UK companies importing key components that are used to make everyday goods such as phones and electric vehicles
Britain will lock down supply of critical minerals to make everyday goods such as phones and electric vehicles to reduce reliance on China.
Chancellor Rachel Reeves is planning to give financial backing to UK companies importing key components like lithium and graphite to secure long-term supply for major industries. She will announce the plans in the Budget as a boost to defence, aerospace and renewable energy companies, a government source said.
Minerals such as lithium, graphite and cobalt are used in making electric vehicles, navigation systems, wind turbines and solar panels, as well as mobile phones.
It comes as Western countries struggle to break China’s stranglehold on critical minerals that are vital for making hi-tech goods. The plan aims to help UK firms struggling to get a secure supply of critical minerals.
It will also make it easier for UK Export Finance to secure contracts for suppliers in Commonwealth countries who have mineral deposits. Australia has large deposits of lithium used to make batteries for smartphones and electric vehicles.
It comes as Keir Starmer arrived in Samoa for a major Commonwealth summit, where he will run shoulders with leaders from the 56-country group. The Prime Minister’s spokesman told reporters in Samoa: “We believe the Commonwealth has a huge potential to build shared resilience in the face of today’s global challenges.”
