MPA responds to Spring Statement concerns

The Mineral Products Association (MPA) has responded to the Government’s Spring Statement, welcoming signs of long-term investment but raising concerns about short-term economic conditions and delivery challenges in construction.

The Office for Budget Responsibility (OBR) has cut its UK growth forecast to 1.0% for 2025, citing tough global conditions. The mineral products sector—responsible for supplying vital materials such as aggregates and cement—relies heavily on economic stability and infrastructure investment.

While the Government confirmed its continued focus on housing and infrastructure, the MPA stressed that growth alone won’t be enough. Aurelie Delannoy, the MPA’s director of economic affairs, said:

“The construction and mineral products industries are critical to delivering the Government’s growth ambition and strengthening our national security. However, subdued growth prospects over the next five years – with growth not surpassing 2% in any year – pose real challenges, particularly for an industry that needs to plan long, and where investment involves high upfront costs.”

The Spring Statement included a commitment to an extra £13 billion in capital infrastructure investment over the next five years. This includes defence projects such as upgrades at Portsmouth naval base and better housing for armed forces personnel. However, much of the funding is expected to arrive after 2027, meaning little short-term relief for a sector already seeing a slowdown in construction activity.

The MPA pointed to reforms to the National Planning Policy Framework as a positive step. The OBR expects these changes to raise housebuilding by around 30% by 2029–30. But the MPA warned that these targets will only be met if the planning system ensures a steady supply of construction materials.

Chris Leese, MPA executive chair, emphasised the importance of domestic sourcing: “It is vital that the Government understands the importance of a public procurement policy that prioritises domestically produced materials such as cement and concrete. A strong, resilient supply chain underpinned by UK-manufactured products is essential to stimulate economic growth, protect working people’s jobs, and meet national infrastructure needs.”

The MPA is also awaiting further details in the Government’s upcoming 10 Year Infrastructure Strategy, expected later this spring. In the meantime, it is urging closer collaboration between policymakers and the mineral products sector to ensure plans are realistic, timely and support both economic growth and national resilience.