The UK government has unveiled a new Critical Minerals Strategy aimed at reducing the country’s heavy reliance on imported minerals, particularly from dominant suppliers like China.
Prime Minister Keir Starmer announced the plan which targets meeting at least 10 per cent of the UK’s mineral demand through domestic production and 20 per cent through recycling by 2035.
The strategy also aims to cap import exposure so that no more than 60 per cent of any single critical mineral is sourced from one country.
China currently holds a dominant position in the supply chains for critical minerals, accounting for about 70 per cent of rare earth mining and approximately 90 per cent of refining.
This has left the UK vulnerable in sourcing essential materials vital to technologies such as electric vehicles and wind turbines.
The new strategy is backed by up to £50 million in funding to boost critical minerals projects domestically and is part of broader efforts to strengthen the UK’s supply chains and industrial sectors.
Lithium is a key mineral focus, with the government setting an ambitious target of producing at least 50,000 tonnes annually in the UK within the next decade.
This is driven by an expected 1,100 per cent increase in UK lithium demand by 2035 as electric vehicles and battery energy storage expand.
Similarly, copper demand is projected to nearly double.
The government has already invested more than £165 million in UK critical minerals businesses, and this new funding is expected to accelerate sector growth nationwide.
Prime Minister Keir Starmer emphasised the importance of this strategy, stating: “Critical minerals are the backbone of modern life and our national security – powering everything from smartphones and fighter jets to electric vehicles and wind turbines.
Starmer insists that for too long, the UK has relied heavily on a small group of foreign suppliers, which has left the nation’s economy and security vulnerable to global disruptions.
He highlighted that the government is now decisively acting to reverse this reliance by increasing domestic mineral production, expanding recycling efforts, and providing British businesses with the necessary investment to compete globally and reduce living costs for citizens at home.
Industry Minister Chris McDonald also highlighted the national security risks of relying on foreign mineral supply chains and the government’s commitment to domestic production and investment
He said: “We need critical minerals for everything — from the phones we use to the cars we drive — and for too long we have been dependent on a select few sources for our supplies of them, putting our national security at risk.
“Now, we are taking the bold action needed to shore up our supply chains, ramp up domestic production and back businesses with the investment they need to create new jobs and drive growth, as part of our Plan for Change.”
Mining and processing companies have welcomed the strategy as providing a clear framework to unlock investment and expedite domestic projects.
Jamie Airnes, CEO of Cornish Lithium, stated: “We welcome the publication of the UK Government’s Critical Minerals Strategy that provides a clear strategic framework within which industrial-scale UK critical minerals production can become a reality.
Airnes said the strategy underscores the importance of speeding up the development of domestic capabilities, unlocking investment, and forming strategic partnerships, which are all crucial for scaling up lithium production.
He highlighted that establishing a secure domestic supply of critical minerals like lithium will create quality jobs, enhance supply chain resilience, and support key manufacturing sectors throughout the UK.
Airnes expressed eagerness to collaborate closely with government and industry partners to turn the strategy into concrete results.
The strategy also explores stockpiling critical minerals through defence procurement and continued participation in NATO’s Critical Mineral Stockpiling project.
Currently, critical minerals contribute £1.79 billion to the UK economy and support over 50,000 jobs, with more than 50 extraction and refining projects underway across the country.
