Select Committee · Business and Trade Committee

The Semiconductor Industry in the UK

Status: Closed Opened: 25 May 2022 Closed: 26 May 2023 11 recommendations 5 conclusions 2 reports

This inquiry will examine the strengths and weaknesses of the semiconductor industry and its supply chain in the UK. Semiconductor materials are essential in electronics and are used in computer chips in everything from fridge freezers to airliners. The new inquiry comes amidst an ongoing global shortage of semiconductors that has caused widespread disruption to …

Clear

Reports

2 reports
Title HC No. Published Items Response
Sixth Report - The semiconductor industry in the UK: the Go… HC 1115 3 Feb 2023 2 Overdue
Fifth Report - The semiconductor industry in the UK HC 291 28 Nov 2022 14 Responded

Recommendations & Conclusions

5 items
7 Conclusion Fifth Report - The semiconductor indust… Accepted

While it is for those in the semiconductor industry to decide how to champion its...

While it is for those in the semiconductor industry to decide how to champion its causes, we believe that there is scope for the sector to play its part in improving the clarity of communication between the industry and Government, for instance through a collective voice for the sector.

Government response. The Government agrees that the UK’s approach to the global semiconductor sector must be industry-led and will launch a UK Semiconductor Advisory Panel to combine industry, government and academia to drive progress toward our vision for the sector.
Department for Business and Trade
8 Recommendation Fifth Report - The semiconductor indust… Accepted

The Government was correct in its decision to instigate a review of its approach to...

The Government was correct in its decision to instigate a review of its approach to the semiconductor sector and in heralding a new strategy. The industry has waited for the strategy and will base crucial decisions upon it. The Government should lose no more time and should publish its Semiconductor …

Government response. The Government has published a clear, long-term National Semiconductor Strategy, which will secure areas of world leading strength in the technologies of the future, by focusing on its strengths in R&D, IP and design and compound semiconductors.
Department for Business and Trade
11 Conclusion Fifth Report - The semiconductor indust… Accepted

It is not clear to us that the support currently offered by Government is at...

It is not clear to us that the support currently offered by Government is at anything like the scale which is needed to make a real difference, or in line with a clear strategy from Ministers.

Government response. The government committed to investing up to £200 million into the sector over the next 2 years, and up to £1 billion over the next 10 years, alongside international R&D collaboration, domestic R&D, the creation of a ‘UK semiconductor infrastructure …
Department for Business and Trade
13 Recommendation Fifth Report - The semiconductor indust… Accepted

The UK is missing out on inward investment at a crucial time for the semiconductor...

The UK is missing out on inward investment at a crucial time for the semiconductor industry, and we are competing with other countries. The Government should secure partnerships via the US CHIPS Act, and engage with Taiwanese and other major companies to secure significant inward investment in the UK.

Government response. The government states that DBT is already supporting businesses in attracting investment and entering new markets, including expanding the High Potential Opportunities tech programme and the Digital Trade Network in Taiwan; international partnerships are at the heart of their approach.
Department for Business and Trade
14 Recommendation Fifth Report - The semiconductor indust… Accepted

We welcome the steps being taken by the Government to encourage talent from overseas, although...

We welcome the steps being taken by the Government to encourage talent from overseas, although it has yet to be seen whether they will help to solve the challenges faced by the semiconductor industry in recruiting and retaining workers with the necessary skills. The forthcoming Semiconductor Strategy should not shirk …

Government response. The government recognizes the importance of skills across our semiconductor sector, and will train more highly skilled engineers, through expanding our support for Centres for Doctoral Training (CDTs) in semiconductor related fields, supporting schools and higher education, together with industry …
Department for Business and Trade

Oral evidence sessions

2 sessions
Date Witnesses
5 Jul 2022 Americo Lemos · IQE plc, Dr Andrew Rickman · Rockley Photonics, Paul Williamson · Arm, Professor Ken Young · MTC (Manufacturing Technology Centre), Rina Pal-Goetzen · Semiconductor Industry Association, Simon Beresford-Wylie · Imagination Technologies, Simon Thomas · Paragraf, Toni Versluijs · Nexperia UK, Trish Blomfield · Intel View ↗
7 Jun 2022 Alan Banks · TechWorks, Alistair McGibbon · Compound Semiconductor Application Catapult, Dr Andy Sellars · Compound Semiconductor Application Catapult, Jillian Hughes · NMI (National Microelectronics Institute), John Docherty · TechWorks, Martin McHugh · Compound Semiconductor Application Catapult View ↗

Correspondence

3 letters
DateDirectionTitle
6 Sep 2022 To cttee Letter from the Chair to the Nexperia UK Country Manager relating to evidence g…
6 Sep 2022 To cttee Letter from the Chairman of Future Horizons relating to Newport Wafer Fab, 22 J…
6 Sep 2022 To cttee Letter from the Nexperia UK Country Manager relating to evidence given to the C…