Public Affairs monitoring for week ending 18 September 2026

Inflation rise sharpens focus on difficult budget decisions

Chancellor John Healey’s first autumn budget, being delivered on 28 October, is expected to come under increased scrutiny following inflation figures on 16 September, which showed price growth rising to 3.1% in August, driven largely by higher fuel costs and wider pressures linked to instability in the Middle East. Analysts have warned that higher inflation, combined with increased pressure on the public finances, could further constrain the chancellor’s room for manoeuvre.

Prime Minister Andy Burnham has acknowledged that the difficult economic outlook challenging and said the budget will be “challenging”, while stressing that the government would not take risks with living standards, Burnham said global economic pressures and rising borrowing costs would need to be considered.

Logistics UK hosts Shadow Transport Minister roundtable on accelerating infrastructure delivery

Logistics UK hosted Greg Smith MP, Shadow Minister of State for Transport, for a roundtable on 14 September to discuss how reforms to planning, investment and project delivery could accelerate nationally significant infrastructure and logistics developments. The discussion was chaired by Interim Director of Policy and Communications Ben Garratt and attended by representatives from DHL, Peel Ports Group, London Gatwick, Heathrow and the British Ports Association.

The shadow minister said the Conservative Party is reviewing how infrastructure costs can be reduced and project delivery accelerated and is seeking evidence to inform this work. Participants highlighted delays and rising costs within the planning system, stressing the need for greater certainty to unlock private investment. The roundtable also discussed the infrastructure required to decarbonise logistics, with participants calling for a whole-system approach that recognises the differing requirements of each part of the logistics system, creating roles for a range of technologies.

Logistics Minister highlights importance of cost-effective decarbonisation and recommits to Freight Plan

Logistics Minister Keir Mather addressed the Logistics UK President’s Council on 8 September and, during a wide-ranging discussion, emphasised the importance of ensuring the sector’s decarbonisation transition is cost-effective and gives businesses the confidence to make long-term investment decisions.

Committing to champion the logistics sector across Whitehall, Mather highlighted the strong link between logistics and the government’s ambition to deliver economic growth in every part of the country. He encouraged the sector to continue demonstrating its contribution to growth and to engage with government on the policy measures needed to support it. Mather also confirmed that the government remains committed to publishing a Freight Plan. He explained that work on the plan had been delayed by developments in the Middle East earlier this year, saying he wanted to ensure the final strategy reflects current realities.

The meeting, chaired by Logistics UK President Phil Roe and addressed by Chief Executive Ben Fletcher, brought together representatives from some of the UK’s largest and most innovative logistics businesses. In addition to the logistics minister, President’s Council members were joined by TUC General Secretary Paul Nowak, Vice Admiral Sir Andy Kyte KBE CB FCILT, Chief of Defence Logistics and Support, and Lord Marks of Hale CBE. Discussions focused on how industry, employees and government can work together to drive growth, innovation and resilience.

Government considers including “Made in Europe” plans in upcoming UK-EU reset talks

The EU is proposing a “Made in Europe” scheme that would use conditions attached to public funding and procurement to support European manufacturing and limit the involvement of goods produced outside the bloc. Chancellor John Healey will urge EU finance ministers at a meeting in Dublin on 18 September to ensure UK businesses can participate, arguing that excluding the UK would create new trade barriers and disrupt closely integrated UK-EU manufacturing and supply chains. Logistics UK has highlighted the importance of efficient supply chains to manufacturing and called for the scheme to avoid creating additional administrative requirements, costs or barriers to the movement of goods between the UK and EU. It has also called for “Made in Europe” to be included in the UK-EU reset discussions.

Also this week

Government

• The government confirmed changes on 14 September to permitted development rights for electric vehicle charging infrastructure in England. The reforms will make it easier to install the equipment needed for larger EV charging facilities at workplaces, commercial sites and other non-domestic car parks. The government said the changes are intended to reduce planning delays and support higher-capacity charging infrastructure. Secondary legislation is expected to be laid before Parliament in autumn 2026, subject to parliamentary time.

Parliament

• The Commercial Payments Bill completed its Report Stage in the House of Lords on 15 September. Amendments were passed to allow the government, following consultation, to shorten maximum payment terms of 30 days for public authorities and 60 days for larger private businesses. These powers cannot be used for at least five years.
• The Transport Committee held a session on 15 September as part of its scrutiny of the draft Heathrow Expansion National Policy Statement, focusing on surface transport, planning and impacts on local communities. Witnesses raised concerns about unclear responsibility and funding for proposed rail improvements and called for rail access to be delivered ahead of expansion, alongside plans to manage construction traffic and freight movements.
• The Railways Bill continued its House of Lords Committee Stage on 16 September, with Peers debating the long-term rail strategy and the role of the Office of Rail and Road. Lord Grayling called for freight and passenger operators to be formally consulted on the strategy. Rail Minister Lord Hendy rejected the amendment, arguing that freight operators are already involved in developing the strategy and will be consulted on GBR’s business plan. The government also rejected amendments seeking stronger ORR monitoring and auditing powers
• Paul Foster MP (Labour, South Ribble) visited HMP Wymott with Logistics UK Head of Skills Policy Bethany Windsor and Public Affairs Manager Dominic Aeissame on 17 September to explore how prison employment programmes help address skills shortages in the logistics sector while creating routes back into work for prison leavers.
• Lee Barron MP (Labour, Corby and East Northamptonshire) visited Logistics UK member ADM Milling in Corby on 18 September seeing electric HGVs and high-speed charging infrastructure. The MP adiscussed the payload penalty caused by the additional weight of e-HGV batteries.
• The Public Accounts Committee had a session on 14 September about the ongoing reset of HS2 and plans to deliver the railway into Euston. Officials said the programme had been affected by immature designs, contracts and programme management that placed excessive risk on HS2 Ltd. A new cost and delivery baseline is being developed, with services between Old Oak Common and Birmingham now expected between 2036 and 2039 and full services between May 2040 and December 2043.
• The Environmental Audit Committee launched an inquiry into climate adaptation on 8 September, examining whether the government’s approach climate change resilience is adequate. The inquiry will consider whether critical infrastructure, including transport, water, communications and healthcare, is prepared for increasingly frequent extreme weather events. Logistics UK will submit a response. Members wishing to contribute should contact Head of Decarbonisation Policy Lamech Solomon by 20 October.

Devolved, regional and local

• Logistics UK submitted its response to the Senedd Climate Change, Environment, Sustainability and Rural Affairs Committee’s consultation on its priorities for the current Senedd term on 11 September. We called for action on grid capacity and electricity connections, low-carbon fuels, and for delivery of the Maritime and Logistics Plan, begun by the previous Welsh Government in March 2026.
• Logistics UK joined FDF Scotland, the Scottish Retail Consortium and UKHospitality to host a roundtable dinner with cross-party MSPs in Edinburgh on 16 September. Discussions focused on barriers to economic growth, including rising energy, fuel and employment costs, and concerns that the proposed food price cap could increase costs for businesses and consumers. Logistics UK also highlighted the impact of reductions to the Mode Shift Revenue Support grant on efforts to increase the use of rail and water freight.
• Dan Thomas resigned as Reform UK’s Welsh leader and Leader of the Opposition in the Senedd on 15 September after being arrested on suspicion of assault and controlling or coercive behaviour. He was released on bail pending further enquiries and denies wrongdoing, while deputy leader Helen Jenner has become interim leader. The same day, Sarah Cooper-Lesadd MS defected from Reform UK to Plaid Cymru, increasing Plaid’s MSs to 44 Members and reducing Reform UK to 33.

Other

• Britain faces a £258 billion public investment shortfall to deliver planned infrastructure including reservoirs, prisons and schools, according to the Public Private Partnership Commission (PPPC) on 14 September. The PPPC is an independent commission chaired by Sir John Armitt CBE FREng, examining how government and private-sector investment can work together more effectively to deliver major infrastructure and public-service projects. It said closing the gap through public funding would require infrastructure investment to increase by two-thirds and called for planning reform and greater private sector involvement to attract international investment.

Coming up

• Both Houses of Parliament will return following the conference recess on Monday 12 October, with the House of Commons having risen on 15 September and the House of Lords on 17 September.
• On 21 September, Logistics UK Interim Director of Policy and Communications Ben Garratt will participate in Liberal Democrat Party Conference business day.
• On Wednesday 23 September, the Department for Transport’s ZEV Mandate review team will join Logistics UK’s Decarbonisation Working Group meeting from 09:30 to 11:30 to update members and answer questions. To register, contact Working Group Secretary Stephanie Haszczyn.

• Logistics UK CEO Ben Fletcher and Policy Lead for Scotland and Multimodal Alexandra Herdman will be meeting with Cabinet Secretary for Economy, Tourism and Transport – Stephen Flynn MSP on 22 September.
• On 23 September Ben Fletcher and Alexandrea Herdman will be meeting with Daniel Johnson MSP, Scottish Labour Economy and transport spokesperson.

We are holding the following events at the Labour and Conservative Party Conferences, both of which are taking place within the conference secure zones. If you have conference accreditation, please do join us:

• Labour Party Conference: Real Growth for Working People: How Do We Deliver for Every Place and Household? Monday 28 September, 3.00-4.00pm, in partnership with SEGRO and Arden Strategies. Featuring Minister for Reindustrialisation Blair McDougall MP.
• Conservative Party Conference: Unlocking Growth: How Do We Turbocharge the UK’s Competitiveness? Monday 5 October, currently 4.00-5.00pm, in partnership with SEGRO and Arden Strategies. Featuring Thomas Turrell AM, Conservative Transport Lead on the London Assembly.

In addition, on the morning of Monday 28 September and Monday 5 October, we are holding invitation-only roundtables at the Labour and Conservative Party Conferences, in partnership with Airports UK, the Chartered Institute of Export & International Trade, DP World, Getlink, Heathrow, the Port of Dover, Prologis, Rail Freight Group, SEGRO and UK Major Ports Group.