NEPIC joins UK chemical leaders in calling for action

September 2nd 2026

Joanne Smith, CEO of NEPIC, has joined leaders from across the UK’s chemical sector in calling on the new Prime Minister to recognise chemicals as a foundational industry and set out a clear plan to secure its future.

The call has particular significance for the Tees Valley, where chemical and process industries are a major part of the regional economy, supporting skilled employment at manufacturing sites across the region including thousands of jobs within the wider industrial supply chain.

In a joint letter to the Prime Minister, Joanne and fellow industry leaders highlight the chemical sector’s vital contribution to UK economic growth, industrial resilience and regional regeneration, and warn of the challenges facing an industry that remains central to the economic future of areas such as Teesside.

The letter highlights high industrial energy costs, increasing regulatory complexity, site closures and job losses as significant pressures on UK chemical manufacturing. Since 2021, chemical output nationally has declined sharply, with 26 sites closing and at least 8,000 jobs lost. Industry leaders warn that without action, the UK risks losing further industrial capability, skilled employment and investment to international competitors.

For the Tees Valley, maintaining a competitive UK chemicals sector is particularly important. The region is home to one of the country’s largest concentrations of chemical and process industry activity, with major industrial sites supporting extensive local supply chains, engineering businesses and highly skilled jobs. The sector also has an important role to play in attracting the next generation of industrial investment to the region.

The industry leaders are calling on the Government to work with the sector on six priorities:

• Deliver internationally competitive industrial energy prices
• Ensure a pathway to net zero that encourages investment and supports industrial growth
• Reform UK REACH and reduce unnecessary regulatory duplication
• Expand apprenticeships, strengthen technical education and support re-training
• Support investment in new, innovative technologies and products
• Ensure a joined-up and long-term approach across Government and the sector

The letter also stresses that chemicals are critical to at least five of the eight growth sectors identified in the Government’s Industrial Strategy: Advanced Manufacturing, Clean Energy, Defence, Digital Technologies and Life Sciences, making the health of the sector important both to established industrial areas such as Teesside and to the UK’s wider growth ambitions. Nationally, the chemical sciences contribute more than £60 billion in economic activity annually, while the sector’s supply chains contribute £220 billion in GVA and support 2.6 million jobs.