MPA urges Chancellor to back growth and halt new industry taxes

The Mineral Products Association (MPA) has urged Chancellor Rachel Reeves to take decisive action in November’s Autumn Budget to boost growth and halt further tax increases on essential foundation industries.

In its Budget submission and follow-up letter, the MPA warns that UK concrete sales have fallen to their lowest level in 62 years, while domestic cement production in 2024 hit a post-war low. Aggregates, asphalt and other mineral products have also declined — a signal, the association says, of “weakness across the economy as a whole”.

The MPA is calling for a freeze on new taxes affecting the sector, including the proposed Landfill Tax reforms and increases in business rates for sites over £500,000. It also wants greater clarity on the Carbon Border Adjustment Mechanism, due in 2027, and the phase-out of the Carbon Price Support and Green Gas Support Scheme, both of which raise energy costs for energy-intensive producers.

Among its growth proposals are a new super-deduction to encourage investment in low-carbon plant and machinery, and stronger government pressure on regulators to support — rather than slow — industrial growth.

Chris Leese, executive director at MPA, said: “Our members are facing really tough times, and our data reflect this too. To have any chance of delivering on its ambitions, this Government needs to act decisively, at pace and with significant impact.”

Aurelie Delannoy, economic affairs director, added that ready-mixed concrete sales are projected to fall by 6% in 2025, with no recovery expected before 2027.

The MPA represents the UK’s aggregates, asphalt, cement, concrete and industrial minerals producers, covering over 60% of ready-mixed and precast concrete output. It is calling for targeted measures on infrastructure delivery, local road funding, energy costs, and carbon capture support — critical to stabilising investment and jobs in the construction materials supply chain.