Reported by The Guardian
Delivering net zero also at risk, say MPs as they call for centralised policy and funding for mines and diversification
The UK is “dangerously” dependent on China for critical raw materials needed for the military, renewable energy infrastructure and AI, a parliamentary investigation has found.
MPs on the business select committee called for an urgent centralised policy and the creation of a “critical minerals finance facility” to help fund rare earth and other critical mineral mines, and deploy grants, equity and debt to accelerate a diversification programme.
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“Critical minerals are the alpha of the new economy,” said the committee’s chair, Liam Byrne. “We cannot rearm Britain, build AI or deliver net zero unless we secure the minerals these technologies depend on.
“Yet 16 years after China first weaponised its chokehold over rare earths, Britain remains dangerously exposed.”
It is the second time in a week that the government’s policy on China has been criticised by Byrne’s committee.
China has a stranglehold on the world’s supply of rare earths and other critical minerals, as well as their refined byproducts that are used in everything from military jets to car-locking systems and consumer products such as fridges and washing machines.
The committee heard that “the processing stage” was where the bottlenecks were, with China dominating the refining of seven categories of minerals, including refined lithium needed for electric vehicles and rare earths used in the fuselage and wings of military aircraft to help withstand temperature extremes.
MPs were told that demand for lithium alone would increase 45-fold between now and 2030, leaving the UK in a high-risk dependency relationship with China.
The demand for rare earths needed for permanent magnets used in military jets and other applications would rise 16-fold in the same period as Britain was seeking to rebuild its military capabilities.
But with China capable of suddenly turning off rare earth supplies, as it did in 2025 , a dependency on Beijing was a strategic vulnerability for the UK economy and national security, the committee found.
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