General Election 2024: Impact on the logistics, transport, and supply chain industry - CILT(UK)
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General Election 2024: Impact on the logistics, transport, and supply chain industry

26 June 2024/Categories: Industry News, Active Travel & Travel Planning, Freight Forwarding, Logistics & Supply Chain, Operations Management


The general election is soon to be upon us but what does this mean for the logistics, transport and supply chain industry? With all manifestos now published, it’s time to take a deep dive into what plans the most popular parties in the polls have laid out for the sector. This article will highlight proposals from Labour, the Conservatives and the Liberal Democrats as CILT UK put their pledges in the spotlight.  

The Labour Party  

Roads and Infrastructure

One promise that has been in the headlines recently is Labour's commitment to repair one million potholes annually across England for each year they are in power. Potholes are a major hazard for all road users and Labour has said they want to ensure road safety and tackle congestion.

Labour also aims to accelerate the rollout of EV charging infrastructure to support the shift to electric vehicles. The party want to make sure they hit the electric vehicle transition target in the year 2030.

The party say they will put together a 10-year infrastructure strategy which will also be aligned with their industrial strategy and regional development priorities. 

Rail Reform

Plans for “Reforming the Railways” are also in sight for Labour, involving bringing the network into public ownership under the banner of “Great British Railways.” The party said they are committed to promoting and expanding rail freight usage as well.

Bus Reform

Additionally, Labour said they will also aim to reform the bus system by empowering local leaders to franchise local bus services and remove the ban on municipal ownership.

Labour says this will give local communities in England control over routes and schedules as mayors will have the power to create “unified and integrated transport systems.”

Aviation

For the aviation industry, Labour has the sectors “long term future” in sight as they pledge to promote sustainable aviation fuels and encourage airspace modernisation.

Economic Growth

Starting with some figures, Labour’s National Wealth Fund of £7.3 billion is said to be invested to support growth and clean energy missions.

The party announced:

  • £1.8 billion for port upgrades and supply chain development across the UK
  • £1.5 billion for new gigafactories to boost the automotive industry
  • £2.5 billion to rebuild the steel industry
  • £1 billion to accelerate carbon capture deployment
  • £500 million to support green hydrogen manufacturing

EU Relations

Labour also hopes to improve the relationship with the EU and stop unnecessary barriers affecting trade.

This could mean reforming the Border Target Operating Model as the party want to negotiate a veterinary agreement preventing unnecessary border checks in a bid to tackle food costs.

Labour explained they are committed to staying out of the EU but are going to “reset the relationship” with European allies to improve trade and investment opportunities.

This would also include establishing a mutual recognition agreement for professional qualifications to facilitate market access for UK service exporters.

Trade Strategy

To accommodate this Labour said they will develop a trade strategy to secure international market access for UK businesses, uphold high food production standards and negotiate new free trade agreements and sector-specific deals, such as in digital services.

Their aim is to modernise trade rules through international discussions, support the OECD's global minimum corporate tax rate, and ensure multinational tech companies pay fair taxes.

Additionally, they want to build strategic partnerships, including a new agreement with India and enhanced cooperation with Gulf partners on security, energy, and trade.

The Conservative Party

Funding Reallocation 

The Conservatives pledge to spend £32 billion on saved HS2 funding, putting the money into transport projects stating it will “benefit more people in more places.”

Savings from the Euston plan will see the Conservatives build 10,000 new homes and “free up” £6.5 billion for transport across the country.

A further £4.7 billion will be invested in small cities, towns and rural areas in the North and Midlands for “transport priorities.”  The Conservative party believes this will help with congestion and will upgrade local bus services.

Roads and Infrastructure

Like Labour the Conservatives are also dedicated to filling in potholes to improve road safety and will spend £8.3 billion on filling and resurfacing roads. The party want to bring this funding forward during this financial year and the next.

Also looking towards net zero targets and the transition of electric vehicles the Conservative party said they will ensure charging infrastructure nationwide and deliver on the party’s Zero Emission Vehicle Mandate. They also hope to introduce self-driving vehicles in the next parliament.

Plans to improve the A75 between Gretna and Stranraer are also listed in their manifesto.

Rail Improvements

Additionally, £12 billion has been set aside for the delivery of Northern Power House Rail, between Manchester and Liverpool. The party say this investment will bring more frequent trains, improve capacity and make journeys faster.

A rail connectivity boost in the Midlands is also on the Conservative’s list with a further £1.75 billion investment to fund the Midlands Rail Hub and the party expects this will deliver more frequent services at 50 stations.

They further want to upgrade rail lines between Newark and Nottingham to “half” the journey time between Nottingham and Leeds.

The party also hope to improve accessibility at 100 train stations and announced the first 50 earlier this May.

Other key proposals include upgrading railways in the South West, Cumbria and East Anglia as well as investing £1 billion to electrify the North Wales Main Line.

They also plan to reopen Beeching lines and stations nationwide, implement all schemes from the Network North Command Paper and enhance connectivity across UK regions.

Bus Services

For bus routes an additional £1 billion has been promised by the party to support hundreds of new routes across the North and Midlands.

Aviation and Shipping

For the Aviation sector, the Party have said they will support growth and decarbonisation by backing the production of British Sustainable Aviation Fuel (SAF) through their SAF mandate released at the end of March this year.

This also includes decarbonisation of the Maritime, shipping and ports sector as the party have also said they recognise the current challenges with cross-Solent transport and will review options to reduce fares and prices.

Trade Relations

The Conservatives said they will complete free trade agreements with India and the Gulf Cooperation Council in addition to continuing to pursue free trade with Israel and Switzerland.

They will also agree a free trade deal with the USA when the time is right, the party said.

The Conservatives said they want to build on our Trade and Cooperation Agreement (TCA) but will not agree to anything in the forthcoming review that would infringe legal sovereignty or involve submission to the CJEU or dynamic alignment.

Food Security and Procurement

The party are also committed to introducing a legally binding target to enhance food security applying it UK Wide and improving the procurement so that 50% of food expenditure is spent on food produced locally or to higher environmental production standards.

The Party announced additional plans to increase the farming budget by £1 billion over the next parliament.

The Liberal Democrats

Roads and Infrastructure

Infrastructure continues to be a key trend among all manifestoes and the Liberal Democrats also stated they want to “rapidly” introduce more charging points and reintroduce the plug-in car grant.

Furthermore, the Lib Dems also want to make sure there is a requirement that every new car sold from 2030 is zero emissions.

Rail Improvements

The party hope to freeze rail fares and simplify ticketing on public transport as they say this will ensure users are paying affordable and fair prices.

Additionally, they hope to broaden Britain's electric rail coverage, upgrade stations, boost accessibility, revive local stops, and deliver Northern Powerhouse Rail.

Bus Reform

Like Labour the Lib Dems also want to boost bus services by giving local authorities more power to franchise services and simplify funding.

They want to launch a new nationwide active travel strategy, transforming how people travel by creating new cycling and walking networks.

Aviation

The Lib Dems also mentioned they will invest in research and development to make the UK the “world leader” in zero carbon flight and reduce demand for flying.

Trade Relations

The Liberal Democrats aim to strengthen "broken" relations with Europe through a four-stage roadmap.

First, they will initiate reconciliation by taking unilateral steps to improve UK-EU relations, focusing on foreign policy cooperation.

Next, they plan to rebuild partnerships by seeking associations with EU agencies and programs in aviation, education, science, environment, and security.

The third stage involves enhancing trade by negotiating agreements on veterinary and plant health standards and establishing mutual recognition to deepen economic ties.

Finally, after rebuilding trust and repairing trade relations, they aim for formal UK membership in the EU Single Market.

A National Food Strategy will also be introduced ensuring food security, combat rising food prices, end food poverty and improve health and nutrition, the party said.

 

 

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