Public Affairs monitoring for week ending 20 March 2026

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Middle East conflict: government reassuring logistics sector on fuel supply resilience

Logistics UK is engaging with government on fuel supply resilience following developments in the Middle East. Officials from the Department for Transport (DfT) and Department for Energy Security and Net Zero (DESNZ) joined a meeting of the Alliance of Logistics Trade Associations (ALTA)* on 18 March to share insight on the situation, and regular meetings of these organisations have been established.

Government is reassuring industry the UK benefits from strong and diverse security of fuel supplies, that it is monitoring stocks and sales closely and that production and imports are continuing across the UK as normal. The government has also reassured that contingency planning in this area is well established, and that it has a range of measures it can use in the unlikely event that normal supply chains become disrupted from any cause.

Logistics UK has underlined to government the importance of timely and clear communication with the industry when required. We have also reiterated our call for the Chancellor to focus on bolstering business confidence and supply chain resilience, including by reviewing her decision to begin increasing fuel duty this year, to prevent further inflationary pressure at a time when the global economy is so disrupted.

Read our latest Middle East update here

*ALTA, of which Logistics UK is a member, is a collaboration of 12 trade bodies with a shared common purpose to advance the interests of the logistics industry and the wider economy.

Government announces first apprenticeship units, a £1 billion youth employment drive, and the defunding of 16 apprenticeships

Secretary of State for Work and Pensions Pat McFadden announced, on 16 March, a £1 billion youth employment drive, alongside the first apprenticeship units, and 16 apprenticeships to be defunded.

The new, shorter apprenticeship units are how the government plans to deliver greater flexibility through the Growth and Skills Levy. The first seven units are aligned to Industrial Strategy priorities but are available to all sectors, with Skills England to develop further Units informed by input from industry. They include units on AI Leadership – developing AI strategy, and Electric vehicle charging point installation and maintenance. However, as part of gearing the Growth and Skills Levy towards young people rather than in-career training, 16 apprenticeship standards are to lose government funding from 1 September, including the Operations Manager standard.

The funding for youth employment includes the introduction of a new Youth Jobs Grant, through which businesses will receive £3,000 for every young person they hire aged 18-24 who has been on Universal Credit and looking for work for six months. The Jobs Guarantee will also be expanded to a wider age range, from 18-21 to 18-24. Finally, there is also an incentive of £2,000 for each new apprentice aged 16-24 taken on by an SME.

Transport Minister and Climate Change Committee Chief Executive address Logistics UK President’s Council

Transport Minister Keir Mather and Climate Change Committee (CCC) Chief Executive Emma Pinchbeck were the guest speakers at Logistics UK’s President’s Council on 17 March. The meeting was Chaired by Logistics UK President Phil Roe and addressed by Chief Executive Ben Fletcher.

The Minister spoke about the importance of the sector, and remarked on the impact of the Iran conflict on supply chains and the long-term need to decarbonise to ensure future energy resilience. The Council highlighted the rising cost of doing business, support required to decarbonise, and the need to speed up planning delivery. The Minister and Council also discussed his role as a sector champion within the DfT and across Whitehall.

The Council also heard from Climate Change Committee CEO Emma Pinchbeck FEI, who shared analysis on how the CCC sees the logistics sector decarbonising, and the importance of battery electric HGVs in that, with the Council also discussing the importance of modal shift and low carbon fuel in reducing emissions across the sector.

Welsh government publishes Maritime and Logistics Plan

Following input from Logistics UK in recent years, the Welsh Government published its long-promised Maritime and Logistics Plan on 19 March, with the Cabinet Secretary for Transport urging “future Welsh Governments to take forward the priorities set out in this Plan.”

The plan brings together ports, maritime and logistics into a single strategy, recognising their critical role in supporting trade, economic growth and supply chain resilience across Wales and the wider UK. It also reflects lessons from recent disruption, including the pandemic and challenges affecting Irish Sea routes.

The plan identifies a set of priority challenges and opportunities for the sector, including the need to decarbonise freight, support modal shift, improve infrastructure resilience and land use planning, address workforce shortages and enhance the attractiveness of logistics careers, including through improved driver facilities. A central proposal in the strategy, called for by Logistics UK, is the creation of a Welsh Maritime & Logistics Council (MLC), chaired by a Welsh Government Minister or Senior Civil Servant, to advise on delivery of the strategy.

Logistics UK is calling on whoever forms the next Welsh government to take the strategy forward.

Also this week

Government

• Chancellor Rachel Reeves made the case in her Mais Lecture on 17 March for fiscal devolution, closer UK–EU ties and infrastructure-led investment. The speech included plans to give regional leaders a share of national tax revenues. The Chancellor also argued for deeper alignment with the EU.
• Chancellor Rachel Reeves announced up to £1.7 billion of investment for Northern city regions on 18 March as part of the government’s emerging Northern Growth Strategy. Funding will support areas including digital and technology in Greater Manchester and Liverpool, and defence in South Yorkshire, alongside wider investment to attract private capital and create jobs.
• The government announced a new Steel Strategy on 19 March, including cutting import quotas and introducing tariffs of up to 50% on steel entering above those limits. The strategy aims to increase domestic production so that up to 50% of steel used in the UK is made domestically.
• Logistics UK submitted responses to both the HGV CO₂ Regulatory Framework consultation and the eVED consultation on the 16 and 18 March respectively, drawing on feedback gathered through member meetings and the Decarbonisation Working Group. These responses are now available on our website.

Parliament

• Logistics UK contributed to the Transport Committee’s call for evidence on the government’s Road Safety Strategy on 13 March.
• James Naish MP (Labour, Rushcliffe) led a Westminster Hall debate on 17 March on productivity and economic growth in the East Midlands, in which he highlighted that the region is “central to the country’s logistics network, with fantastic facilities such as Magna Park in Lutterworth, Daventry international rail freight terminal and, of course, the UK’s largest freight airport at East Midlands airport.” Amanda Hack (Labour, North West Leicestershire) made similar comments, referring to 20,000 logistics employees in her constituency. Show Exchequer Secretary James Wild MP also noted the importance of logistics to the region.
• Stuart Anderson MP (Conservative, South Shropshire) led a Westminster Hall debate on 17 March on the condition of roads in rural areas, in which Shadow Transport and Energy Minister Greg Smith called on the government to set out how it will manage or fund the increased wear and tear on the roads that will come from heavier battery-electric HGVs. John Milne (Lib Dem, Horsham) complained about HGVs using roads through villages in his constituency as “rat runs”.

Local, regional & devolved

• Reform UK Scotland launched its manifesto for the 2026 Holyrood election on 19 March.  The commitments include growing the economy by at least 2.5% per year over 10 years, delivering immediate tax cuts, lowering energy costs, and delivering 10-year trunk road, rail and harbour upgrade programmes.

Other

• A new Asphalt Industry Alliance report has found that the cost of the UK’s pothole repair backlog could soon be worth £18.6 billion, with the estimated cost of repairing all potholes rising by £1.8 billion last year.

Coming up

• There will be oral questions in the House of Commons on 24 March to ministers from the Department for Energy Security and Net Zero.
• In the House of Lords on 24 March there will be oral questions on Implementing a code of practice under the Parking (Code of Practice) Act 2019.
• The Transport Committee will hold an oral evidence session on 25 March on their inquiry into Supercharging the EV transition. Logistics UK submitted written evidence in January.
• In the House of Lords there will be a Grand Committee debate on 25 March on the report from the Northern Ireland Scrutiny Committee: Northern Ireland after Brexit: Strengthening Northern Ireland’s voice in the context of the Windsor Framework
• The House of Commons rises for the Easter Recess on 26 March, and the House of Lords rises on 27 March. Both Houses of Parliament return on 13 April.