Transport Select Committee Backs SMI Calls on Skills and Procurement

The House of Commons Transport Select Committee has published the final report of its inquiry into Skills for Transport Manufacturing, setting out a series of recommendations aimed at tackling workforce shortages across the UK’s transport manufacturing sectors, including maritime, aerospace, rail and automotive.

The inquiry was launched in July 2025 to examine how government policy could better support the skills pipeline needed to sustain and grow UK transport manufacturing. The Committee heard evidence on the scale of current and future skills shortages, the impact of apprenticeship reform, barriers to attracting and retaining talent, and the role of public policy in supporting long-term industrial capability.

SMI's role in the enquiry

The Society of Maritime Industries (SMI) played an active role throughout the inquiry process. SMI submitted written evidence to the Committee, highlighting skills challenges specific to the maritime and wider transport manufacturing supply chain, particularly in relation to autonomy, digitalisation and the transition to net zero. Tom Chant MBE, Chief Executive of SMI, appeared before the Committee as an oral witness, drawing on the experience of its members across shipbuilding, marine engineering and advanced maritime technologies.

Through this engagement, SMI consistently emphasised two core messages: first, that advanced manufacturing sectors require access to higher-level technical and leadership skills, not just entry-level training; and second, that government procurement policy must do more to support domestic capability if skills investment is to be sustainable.

Key recommendations from the Committee

The Committee’s final report makes a number of significant recommendations to government, including:

• Restoring levy funding for level 7 (master’s-level) apprenticeships for all ages within the growth-driving sectors identified in the Modern Industrial Strategy, recognising the need for experienced, highly skilled engineers and technical leaders.
• Increasing flexibility in the use of apprenticeship levy funding, including extending the expiry period and improving access for supply chain companies and SMEs.
• Ensuring apprenticeship and technical education standards are reviewed and updated at least every three years, with close involvement from industry.
• Improving pathways for workforce mobility through measures such as competency or skills passports.
• Using public procurement more effectively to support UK manufacturers, while remaining compliant with international trade obligations.

Reflecting SMI’s policy priorities

Several of these recommendations closely reflect the evidence and arguments put forward by SMI during the inquiry. In particular, the Committee’s call to reintroduce funding for level 7 apprenticeships

echoes SMI’s long-standing concern that removing support for higher-level apprenticeships risks undermining the development of senior technical capability in sectors such as shipbuilding, marine autonomy and complex systems engineering.

Similarly, the Committee’s emphasis on public procurement as a lever to support domestic manufacturing aligns directly with SMI’s advocacy. SMI has consistently argued that skills investment, industrial resilience and sovereign capability are inseparable, and that procurement decisions which fail to consider UK supply chains ultimately weaken the incentive for employers to invest in long-term workforce development.

Next steps

The Committee has formally called on the Department for Transport to work closely with other departments, including those responsible for skills, business and procurement policy, in responding to the report. The Government is expected to publish its formal response in Spring 2026.

SMI will continue to engage with ministers, officials and parliamentarians as that response is developed, ensuring that the needs of maritime and transport manufacturing businesses are fully reflected. We will also work with members to track progress against the Committee’s recommendations and to maintain pressure for practical policy change that supports skills, growth and UK industrial capability.