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UK Government Unveils £120 Million Support Package for Ceramics Industry

5/22/2026, 10:06:59 PM

Government Unveils £120 Million Ceramics Support Package

On 21 May 2024 Business Secretary Peter Kyle and Chancellor Rachel Reeves announced a £120 million package for the UK ceramics sector, split equally between capital grants and operational relief to fund equipment upgrades, energy-efficiency and decarbonisation projects.

Industry Context and Challenges

The sector, centred in Stoke-on-Trent, relies on gas for about 90 % of its energy, exposing it to price spikes after the Ukraine war. Closures such as Denby Pottery and Royal Stafford and a fall from 137 to 123 firms between 2018 and 2024 show the strain.

Funding Details and Scope

£60 million will fund capital upgrades such as new kilns, electricity or hydrogen conversion; the other £60 million will offset rising operating costs. Eligible firms span refractory, clay building, household and technical ceramics.

Strategic Importance

Ceramics supply steel, glass, aerospace, defence and medical products; modernising the sector bolsters UK economic resilience, net-zero goals and protects thousands of skilled jobs from Staffordshire to Devon.

Official Statements & Responses

The government framed the funding as a strategic move to secure “industries our country depends on” and to give businesses long-term certainty. GMB’s Charlotte Brumpton-Childs welcomed the step, calling it a “hugely welcome” move that finally listens to energy-intensive workers.

Criticism & Opposition

GMB had previously criticised the British Industrial Competitiveness Scheme for omitting ceramics and brickmaking, arguing the sector’s heavy gas reliance was ignored. The union sees the new package as a corrective measure.

Industry Reaction

Rob Flello, chief executive of Ceramics UK, called the announcement a “turning point”. Emma Bridgewater’s Iain Martin called the support “very welcome” amid rising energy and labour costs.

Unresolved Details

All sources agree on the £120 million amount and the £60 million split, but no source gives the exact number of jobs secured. Eligibility criteria, application dates and allocation rules will be released in the summer.

Verbatim Quotes

  • “Rob Flello said: “This is a turning point for the sector, with the Government taking decisive action that recognises the fundamental role of ceramics in the UK economy.” — Rob Flello, Chief Executive, Ceramics UK
  • “He said: "This scheme will be the boldest intervention into ceramics and the largest opportunity that government has presented to ceramics for well over a generation.” — Peter Kyle, Business Secretary
  • “This is a hugely welcome step in the right direction and will be reassurance to workers in our chemicals and ceramics industry that Government is finally listening.” — Charlotte Brumpton-Childs, GMB National Secretary
  • “This represents a very welcome support from the government, which I think the whole industry will be very pleased with.” — Iain Martin, Chief Executive, Emma Bridgewater