5
Review internal structures and resourcing to align with Industrial Strategy objectives and emerging issues.
Conclusion
There is a risk that the Department is not set up internally to support the aims of the forthcoming Industrial Strategy and to respond to ongoing issues facing UK businesses. The composition of sector teams in the Department’s Business Group varies by size and grade distribution, and is not always related to the priority, size or needs of the sectors they are intended to support. The Department has said that a review of its structure is ongoing, to clarify responsibilities and to allocate resources to the top priority sectors. However, there does not seem to be an overarching approach which considers the needs of individual sectors while accounting 5 for pan-sector issues such as skills, regulation, or geography. Using the forthcoming Industrial Strategy as a clear framework to direct and prioritise its activity is an important next step to address this. The Department must also be able to respond to urgent and emerging issues that businesses face. It needs to allocate and flex resources to meet the needs of important sectors such as steel, which is subject to fluctuating external challenges. recommendation The Department should critically review its internal structures and resourcing model to ensure they reflect the objectives and demands of the forthcoming Industrial Strategy. This could include, for example: its approach to individual sectors, including foundational sectors such as steel; pan-sector issues; geography; and how it will ensure it can respond effectively to emerging issues that affect UK businesses.
Government Response
A response document is linked to this report, dated 18 September 2025. Response attribution to this conclusion has not been verified. Read the response document.
Source
Committee
Public Accounts Committee
Report
33rd Report - Supporting the UK’s priority industry sectors
25 Jun 2025
HC 1070
Addressee Bodies
HM Treasury
Timeline
Recommendation age
1.2 yr
Report published
25 Jun 2025