In October, the Government published “Invest 2035: the UK’s modern industrial strategy” for public consultation. This sets out an ambitious 10-year roadmap to drive economic growth, foster innovation and enhance global competitiveness. The objective is to position the UK at the forefront of emerging industries, boost productivity and ensure that the UK adapts effectively to global change. Key priorities include nurturing high-tech industries, supporting job creation, and improving infrastructure.
As the fundamental backbone supporting the UK economy, it is vital that the warehousing and logistics sector makes its voice heard in this important consultation. Accordingly, UKWA has submitted a comprehensive and hard-hitting response, highlighting a critical gap in the Government’s vision for growth – namely, the omission of warehousing and logistics from its core priorities.
Our response, submitted at the end of last month, calls for strategic recognition of the sector’s vital role in supporting the UK’s economic, security, and sustainability goals.
Warehousing and logistics contribute £185 billion in Gross Value Added (GVA) to the UK economy annually, employing 1.8 million people, 85% of whom work in SMEs. Over the past decade, the sector has grown by 50% to meet the demands of e-commerce and changing consumer habits. However, without targeted policy support, we face severe barriers to growth, in turn threatening the agility and resilience of the supply chains that underpin the government’s industrial ambitions.
In our response, we have urged the government to prioritise investment in warehousing and logistics infrastructure, including a fast-track planning process and land allocation for logistics hubs in high-demand areas. Reforming high business rates – currently totalling £7.5 billion annually for England and Wales – is critical to unlocking investment potential and enabling expansion.
UKWA has also emphasised the sector’s leading role in technological innovation and sustainability, with advancements in automation, AI, and robotics reshaping operations. Yet, limited government incentives hinder widespread adoption, especially for SMEs. Similarly, substantial investment is needed to accelerate the transition to renewable energy and green infrastructure, aligning the sector with national net-zero ambitions.
Skills shortages present another challenge. As logistics evolves, the demand for expertise in robotics, data analytics, and logistics management is increasing. UKWA is advocating for reforms to the Apprenticeship Levy to fund modular, industry-specific courses and the establishment of regional training hubs. These measures would ensure a future-ready workforce, enabling the sector to remain competitive in a technology-driven economy.
Our response also highlights the sector’s role in national security, noting its ability to store and distribute essential goods reliably during crises. By integrating warehousing into the national strategy, the UK can build resilient supply chains that strengthen economic stability and security.
This important consultation response demonstrates UKWA’s commitment to positioning warehousing as a central pillar of the UK’s industrial future, urging policymakers to act decisively to overcome barriers and unlock the sector’s full potential.
Clare Bottle
UKWA, CEO
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