Written questions by Chadwick.

What assessment has been made of the role that hydrogen fuel cell vehicles could play alongside electric vehicles in achieving net zero transport, particularly in light of vehicle weight, raw material availability and grid capacity constraints.

The Government is technology neutral in its approach to road decarbonisation. Road transport accounts for 90% of domestic transport greenhouse gas emissions, making the transition to zero emission vehicles essential to achieving our climate obligations.The market will decide which zero emission technologies are ultimately successful, and it is likely that battery electric vehicles will be the most cost effective and practical in the majority of applications. Battery electric vehicles with vehicle to grid capability are likely to play an important role in managing grid capacity, providing grid flexibility. However, hydrogen technology may be adopted in some cases where it makes sense to do so.

What assessment has been made of the opportunity for the UK to develop domestic hydrogen fuel cell supply chains.

Hydrogen is an Industrial Strategy frontier industry, assessed as one of the sectors with the greatest growth potential over the next decade. As we set out in the Clean Industries Sector Plan, the hydrogen industry will create investment and jobs across the UK’s industrial heartlands, and the UK is well placed to be a global leader in hydrogen supply chains, including for fuel cells. We are working closely with UK companies to highlight the UK’s strengths, attract investment, support scale‑up, and boost domestic hydrogen production, helping grow fuel cell supply chains both in the UK and overseas.

Whether his Department plans to expand the Energy Supercharger package to include a larger proportion of the steel industry and related sectors including scrap.

The Department for Business and Trade will conduct its review of the British Industry Supercharger this year, which will include a review of eligibility criteria. Any changes to eligibility criteria, or other parts of the policy, are subject to public consultation and ministerial approval. I encourage all stakeholders, including those in the steel and scrap sectors, to engage with this review when the opportunity arises and present all relevant evidence.

What assessment his Department has made of the comparative level of the steel power price gap with competitor nations, following the recent increase in network compensation charging.

As set out in the recently published steel strategy, UK steel producers that benefit from British Industry Supercharger support and the current Network Charging Compensation scheme paid industrial electricity prices of £93 per MWh in 2025 (a 60% relief). The increase in compensation for network charges from 60% to 90%, which was announced in the Industrial Strategy and implemented from 1 April 2026, will reduce electricity prices for steel producers by a further £7 to £10 per MWh approximately.The equivalent cost faced by industrial electricity users in France and Germany is £69/MWh and £60/MWh respectively. Using average electricity intensity factors for electric arc furnace-based steel production, the difference to UK producers equates to approximately £8-£13 per tonne of crude steel.

What assessment his Department has made of the potential impact of the EU Carbon Border Adjustment Mechanism on the volume of diverted high-emission steel imports into the UK.

Charges under the EU Carbon Border Adjustment Mechanism (CBAM) for relevant goods entering the EU Single Market have applied since January 2026. This includes EU imports of steel goods within scope of EU CBAM. We are monitoring the EU CBAM and continue to engage with businesses. The EU CBAM may influence trade flows by changing relative costs between markets, with impacts remaining uncertain and dependent on commercial and policy factors. The UK Government will introduce its own CBAM from January 2027 to protect against carbon leakage.

If he will make it his policy to extend the trade protection measures for steelmakers to their customers in the steel intensive manufacturing supply chain.

This Government recognises the distinct value of downstream users, including in the manufacturing supply chain, alongside the importance of maintaining a resilient domestic steel sector. The steel trade measure has been designed to addresses the serious threat posed by global steel overcapacity, which undermines the viability of UK steelmaking and, in turn, our critical national infrastructure and defence.We have carefully balanced the needs of producers and downstream industry, and the product scope of the measure reflects this. There are no current plans to extend this scope, but we will continue to engage with downstream industry as the measure is implemented.

What steps his Department is taking to help ensure that British steel is not undercut by high-emission imports.

As set out in the steel strategy, the government is committed to creating a fair and competitive market for UK steel by addressing carbon leakage. The Government will introduce the UK Carbon Border Adjustment Mechanism (CBAM) from January 2027. The UK CBAM is an environmental measure designed to tackle the risk of carbon leakage by ensuring that some of the most emissions intensive industrial goods imported to the UK face a comparable carbon price to what is paid domestically. UK CBAM is led by HM Treasury, and the Department for Business and Trade are engaging with them on this measure.

What steps his Department is taking to help unlock private investment in hydrogen infrastructure in Wales.

Wales plays a key role in the development of the UK's hydrogen economy, and I welcome the Milford Haven HAR1 project reaching FID in March this year, with three further shortlisted HAR2 projects in Wales.The Industrial Strategy set out our public finance offer to crowd private investment into clean energy industries, such as hydrogen, across the UK including in Wales. This includes £500m support for hydrogen infrastructure to establish the UK's first regional hydrogen network from 2031, connecting producers with end users. The Government also aims to launch the first hydrogen transport and storage allocation rounds this year.

With reference to his Department's press release entitled Business Secretary fortifies UK steel industry, published on 16 February 2026, how much of the £2.5 billion fund has been (a) allocated and (b) released.

The government is committed to providing up to £2.5 billon to support the UK steel industry, which is being delivered in part through the NWF and in part through direct support for companies. This is in addition to the £500 million investment for Tata Steel in Port Talbot, bringing the total investment in the steel industry to up to £3 billion.Funding for the sector is already being released through direct support for companies. This includes the grant to Tata Steel at Port Talbot, support for the Official Receiver’s sale process for Speciality Steels UK sites including Rotherham and Stocksbridge, and in securing the capabilities of British Steel at Scunthorpe. To date, funding of approximately £370 million has been provided to British Steel.

What assessment he has made of the potential impact of the European Commission’s proposals for the EU Carbon Border Adjustment Mechanism on the competitiveness and decarbonisation of the UK steel sector.

We are monitoring the EU Carbon Border Adjustment Mechanism (CBAM). As UK steel is covered by a domestic carbon price under the UK Emissions Trading Scheme (ETS), the sector is expected to face lower CBAM liabilities compared with goods from jurisdictions which do not incur a domestic carbon price.The sector may still face costs of providing emissions data to EU importers to support compliance. We are engaging with the European Commission on ETS linking, to facilitate a mutual UK-EU CBAM exemption in due course.The Government will introduce its own CBAM from January 2027 to protect against carbon leakage.

What steps his Department is taking to increase domestic processing capacity for steel scrap.

The Government recognises that the UK steel industry's shift towards electric arc furnaces will elevate the importance of high-quality scrap as a material for UK steelmaking. The Government is committed to working with the supply chain to generate the conditions for growth and we are actively listening to the perspectives of all involved parties. Companies can also approach the National Wealth Fund, which has a remit to invest in the steel supply chain, in line with its investment principles.

What assessment his Department has made of the potential economic and environmental benefits of retaining a greater proportion of UK-generated steel scrap for domestic Electric Arc Furnace use.

The Government recognises that the UK steel industry's shift towards electric arc furnaces will elevate the importance of high-quality scrap as a material for UK steelmaking. The Government has not performed an assessment of the economic impact of retaining scrap. However, we are actively listening to the perspectives of all involved parties.

Whether he plans to introduce national standards for Electric Arc Furnace-grade steel scrap.

The Government recognises that the UK steel industry's shift towards electric arc furnaces will elevate the importance of high-quality scrap as a material for UK steelmaking. The UK’s abundant scrap supply offers domestic steelmaking a strategic advantage and this creates opportunities for both steelmakers and metal recyclers alike. No decisions have been taken at this stage on whether to introduce mandatory national standards for Electric Arc Furnace-grade steel scrap, but we are actively listening to the perspectives of all involved parties.

What steps his Department is taking ahead of the 2026 review of the Trade and Cooperation Agreement to reduce non-tariff barriers affecting UK–EU goods movements.

We are committed to making trade with our largest and most important partner easier by removing unnecessary barriers to trade. We are negotiating with the EU on a number of issues that will slash red tape for businesses, including an SPS agreement to sweep away the majority of regulatory barriers for agrifood products, and tackle wider barriers to trade in organic products and key agri-food marketing standards. This agreement could increase the volume of UK exports of major agricultural commodities to the EU by 16%. We continue to engage the EU through established channels, including relevant UK-EU Trade Specialised Committees.

What steps his Department is taking to help support steel businesses with (a) innovative and (b) low-carbon projects.

This Government has committed up to £2.5bn to the UK steel industry, which is being delivered in part through the National Wealth Fund (NWF). The NWF has £5.8bn to invest across clean energy and advanced manufacturing sectors, including steel, and is engaging with firms on opportunities aligned with its investment principles. This is in addition to £500m grant funding towards Tata’s overall £1.25bn Port Talbot transformation project, which will see the Port Talbot site transition to lower carbon Electric Arc Furnace steel making. We have also supported innovation through our £22million in funding of the Material Processing Institute’s PRISM programme since 2020, and have recently consulted on proposals to deliver a framework of voluntary policies to grow demand for low carbon industrial products, with an initial focus on the steel, cement, and concrete products used in construction.

Whether his Department received (a) applications and (b) expressions of interest prior to the decision to not proceed with proposals to give businesses a cash grant for innovative steel projects.

We are committed to providing up to £2.5bn for the steel sector, which is being delivered in part through the National Wealth Fund (NWF). A consultation was launched in February 2025 regarding the upcoming steel strategy, and we sought views on further potential mechanisms to support the steel industry, including the possibility of grant funding. However, we were not seeking applications or expressions of interest at that stage.

If he will publish (a) internal advice and (b) correspondence relating to the decision to not proceed with proposals to give businesses a cash grant for innovative steel projects.

We remain committed to providing up to £2.5bn for the steel sector, which is being delivered in part through the National Wealth Fund. The NWF has £5.8bn to invest across clean energy and advanced manufacturing sectors, including steel, and is engaging with firms on opportunities aligned with its investment principles. In February 2025, the UK government launched a "Plan for Steel" consultation to seek views on issues such as electricity costs, trade challenges, domestic demand, and funding. The forthcoming Steel Strategy will set out our response to those issues.

How much funding was allocated to the steel innovation grant scheme.

We are committed to providing up to £2.5bn for the steel sector, which is being delivered in part through the National Wealth Fund. The NWF has £5.8bn to invest across clean energy and advanced manufacturing sectors, including steel, and is engaging with firms on opportunities aligned with its investment principles.No funding has been allocated to a competitive steel grant fund.

Whether he has held discussions with the European Commission on mitigating the potential impact of proposed EU steel import quotas on UK steel exports.

We are in active dialogue with the European Commission on this issue. The Secretary of State spoke about it with Maroš Šefčovič, European Commissioner for Trade and Economic Security, on 20 October. We will continue to take a cool-headed approach to any possible tariffs and remain prepared to defend the UK’s national interest where it is right to do so.

Whether his Department has made an assessment of the potential merits of introducing steel import quotas to ensure that 60 per cent of steel used in the UK is made by domestic producers.

Steel is a top priority for this Government and we recognise the continuing challenges facing the UK steel industry – driven by global overcapacity and with a changing landscape on international trade.This Government is developing a steel strategy to be published in 2025 that will set out a long-term vision for a bright and sustainable steel sector in the UK and the actions needed to get there. Moreover, we will will ensure there is a plan in place for the UK steel industry in light of the expiry of the global safeguard measure on certain steel imports next year.