UK government to review Internal Market Act

The UK government has opened a consultation to review the UK Internal Market Act 2020, which plays a crucial role in regulating trade across England, Northern Ireland, Scotland, and Wales. The review, launched on 23 January 2025 by Douglas Alexander, minister for trade policy and economic security, aims to gather insights on the Act’s effectiveness and identify areas for improvement.

The Internal Market Act is designed to ensure seamless trade within the UK by preventing unnecessary regulatory barriers. It guarantees that businesses can sell goods and services across the country without facing conflicting regional regulations. Additionally, the Act facilitates free movement for workers.

Alexander emphasised that, “A well-functioning internal market is vital for economic growth and shared prosperity. We need to strike the right balance between devolved decision-making and avoiding unnecessary costs and barriers for businesses.”

Construction Sector Relevance

For the construction industry, the Act directly impacts supply chains and the movement of materials like concrete across the UK. Without it, companies could face higher costs and delays due to inconsistent regional regulations.

The consultation will explore specific provisions in the Act, such as mutual recognition of goods and services, professional qualifications, and the role of the Office for the Internal Market. Stakeholders from the construction sector, along with other industries, are encouraged to provide input.

Call for Feedback

The government is particularly keen to hear from businesses, trade organisations, devolved governments, and academics about what is working well and where changes are needed. Feedback will help shape future improvements to ensure the Act remains fit for purpose.

Stuart Young, head of stakeholder engagement at the Department for Business and Trade, said, “Businesses need certainty and clarity to operate smoothly and make critical investment decisions. Your feedback will help us make the Act more effective.”

Next Steps

The consultation runs until 3 April 2025. Industry professionals, including those in the construction sector, can submit their responses through the UK government’s website.

This review provides an opportunity for the construction industry to address challenges and advocate for streamlined regulations that facilitate efficient operations across all UK regions.