Chris Williamson, former Labour Shadow Cabinet member, explains why the Labour Party’s promised industrial strategy does not even touch the surfaces of what is required.
The govt won't reignite our industrial heartlands with reheated Tory proposals like the one that was announced in Liverpool yesterday by @Sir @Keir_Starmer @RachelReevesMP and @Ed_Miliband pic.twitter.com/Tq0k5fYP2Y
— Chris Williamson (@DerbyChrisW) October 5, 2024
What the World Really Needs
The world stands on the brink of ecological disaster. The climate crisis, biodiversity loss, and escalating pollution levels signal a clear warning: the way we have built our economies is no longer sustainable. This urgency requires action on an unprecedented scale. The Labour Party has an opportunity, perhaps even a duty, to seize this moment and craft a radical Green Industrial Strategy that not only addresses the environmental crisis but also redefines the economy for the better. This strategy must be bold, transformative, and unapologetically centred around the principles of environmental justice, social equality, and sustainability.
The idea of industrial strategy is not new. For centuries, governments have shaped the economy through policies that directed investments, encouraged innovation, and protected strategic industries. However, what we need today is not merely an adaptation of these old ideas, but a fundamental rethinking of what industry means in a world on the edge of environmental collapse. The era of carbon-intensive industries and extractive economies must come to an end. Instead, a Labour-led government should be at the forefront of building a green, just, and sustainable economy that places the well-being of people and the planet at its core.
A radical Green Industrial Strategy for the Labour Party begins with an understanding that the economy and the environment are not separate entities. The economy is a subsystem of the Earth’s broader ecological system, and it must be treated as such. The policies pursued under this strategy must reflect that reality. The first step is to decarbonise the energy sector entirely, moving the UK towards 100% renewable energy. Achieving this goal will require massive investment in wind, solar, tidal, and other renewable sources. Public ownership of energy infrastructure will be essential to ensure that profits are reinvested in improving the system, rather than being siphoned off by private shareholders. A national renewable energy corporation could lead this effort, directing the transition while prioritising worker retraining and community benefit over profit.
Central to this energy transition is the development of green jobs. The UK can no longer afford to rely on fossil fuel industries that are both environmentally destructive and economically precarious. Instead, Labour should invest in creating a new generation of skilled jobs in renewable energy, energy efficiency, and sustainable transport. These green jobs should be good jobs, with fair wages, strong protections, and union representation. Training programmes, funded by the state, must be established to ensure that workers from traditional industries are given the skills they need to transition into the green economy. A Labour government should also take steps to guarantee that these new jobs are located in areas hit hardest by deindustrialisation and austerity. The Green Industrial Strategy must be a strategy for regional regeneration as well as for decarbonisation.
But a truly radical Green Industrial Strategy must go beyond the energy sector. To save the planet, we must rethink how we produce and consume across the entire economy. This means embracing the principles of a circular economy, where waste is minimised, materials are reused, and products are designed to be repaired and recycled. Labour should implement stringent regulations on manufacturers to ensure that products have longer lifespans and can be easily repaired. Planned obsolescence must be outlawed. Furthermore, Labour should promote industries that specialise in recycling and reusing materials, creating jobs in the process while reducing the demand for new resource extraction.
In agriculture, Labour must support a transition away from industrial farming towards agroecological methods that restore ecosystems, promote biodiversity, and improve soil health. Industrial agriculture is one of the largest contributors to greenhouse gas emissions, deforestation, and biodiversity loss. A Green Industrial Strategy would incentivise farmers to adopt organic and regenerative practices, such as crop rotation, agroforestry, and reduced use of chemical inputs. These changes will not only help combat the climate crisis but also ensure that the UK’s food system becomes more resilient in the face of future shocks. To facilitate this transition, Labour should provide financial support and training to small-scale farmers and rural communities, creating a system that rewards ecological stewardship rather than industrial-scale exploitation.
Transportation is another sector that demands radical transformation. The UK must move away from car dependency and towards sustainable modes of transport. This requires a massive expansion of public transport, with a focus on affordability, accessibility, and reliability. Labour should commit to renationalising rail and bus networks, ensuring that these services are run in the public interest, not for private profit. This will allow for integrated planning and coordination, making public transport more efficient and attractive to users. At the same time, Labour must invest in the infrastructure needed to support walking, cycling, and electric vehicles, such as safe bike lanes and widespread charging stations.
However, electrification alone is not enough. The manufacture of electric cars, buses, and trains must be powered by clean energy, and the extraction of materials for batteries must be conducted in a way that respects human rights and environmental standards. A Labour government should work internationally to secure fair and sustainable supply chains for critical materials such as lithium and cobalt, ensuring that the transition to a green economy does not come at the expense of communities in the Global South.
The housing sector also has a vital role to play in a Green Industrial Strategy. Labour must prioritise a nationwide programme of deep retrofitting to improve the energy efficiency of existing homes. This would dramatically reduce energy consumption, cut emissions, and alleviate fuel poverty. New housing developments must be built to the highest environmental standards, incorporating renewable energy sources, green spaces, and sustainable materials. Public housing should lead the way in demonstrating what sustainable living looks like, with a commitment to building zero-carbon homes that are affordable, accessible, and resilient to the impacts of climate change.
Financing this radical Green Industrial Strategy will require a significant mobilisation of public resources. The scale of investment needed to transform the economy is enormous, but the cost of inaction is far greater. The longer we delay, the more expensive and difficult it will be to mitigate the effects of the climate crisis. Labour should create a Green Investment Bank to channel public and private finance into sustainable industries. This bank would be empowered to issue green bonds, raise capital, and direct investment towards priority projects, such as renewable energy, energy efficiency, and sustainable transport infrastructure.
In addition to public investment, Labour must also use taxation and regulation to shift the private sector towards sustainable practices. This could include a carbon tax, which would penalise companies for emitting greenhouse gases and encourage them to invest in cleaner technologies. Labour should also introduce strict regulations on corporate environmental performance, with penalties for companies that fail to meet emissions targets, use unsustainable materials, or exploit workers in their supply chains. At the same time, Labour should support small businesses and cooperatives that are leading the way in creating sustainable products and services, offering them tax breaks and grants to help them grow.
A truly radical Green Industrial Strategy also requires international action. Climate change is a global crisis, and the UK cannot solve it alone. Labour should commit to re-establishing the UK as a leader on the global stage in the fight against climate change. This means not only honouring international climate agreements, such as the Paris Accord, but pushing for more ambitious targets and stronger enforcement mechanisms. The Labour Party should advocate for a global Green New Deal, calling for wealthy nations to provide financial and technical assistance to developing countries, enabling them to transition to sustainable economies without repeating the mistakes of the industrialised world.
Labour must also take steps to reduce the UK’s reliance on unsustainable global supply chains. The COVID-19 pandemic revealed the vulnerabilities of globalised trade, and the climate crisis will only exacerbate these problems. A Green Industrial Strategy should prioritise local production, shorten supply chains, and reduce the UK’s dependence on imports of goods that can be produced domestically. This could involve reviving local manufacturing industries, supporting sustainable agriculture, and promoting circular economy practices that reduce the need for new resource extraction.
However, it is crucial to recognise that the transition to a green economy will not be painless. Some industries will shrink or disappear altogether, and workers in these sectors will need support to retrain and find new employment. Labour must commit to a just transition, ensuring that no worker is left behind in the shift to a sustainable economy. This means providing generous financial support to workers who lose their jobs, as well as ensuring that new green jobs are accessible to all, regardless of background, region, or skill level.
Finally, a Green Industrial Strategy must be rooted in democratic control and accountability. The decisions about how the UK transitions to a green economy should not be left to politicians and corporate executives. Workers, communities, and civil society must have a say in shaping the future. Labour should establish citizens’ assemblies on climate change, giving ordinary people a voice in the decisions that will affect their lives. At the same time, Labour must strengthen trade unions and worker representation, ensuring that workers are at the heart of the green transition, not its casualties.
The environmental crisis is the defining challenge of our time. The solutions are within our grasp, but they require bold political leadership and a willingness to confront powerful vested interests. The Labour Party has a historic opportunity to lead the UK towards a sustainable, just, and prosperous future. A radical Green Industrial Strategy, rooted in social and environmental justice, offers a vision for a better world—one where the economy serves the needs of the many, not the few, and where the planet’s natural systems are protected for future generations.
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