The UK government has unveiled a new Critical Minerals Strategy aimed at reducing reliance on overseas suppliers and strengthening domestic access to materials vital for clean technology and electric vehicle production. The plan sets a goal to meet 10% of national mineral demand through domestic extraction and 20% from recycling by 2035, alongside producing at least 50,000 tonnes of lithium within the next decade.
Ministers describe the strategy as a response to rapidly rising demand for battery-grade materials. Lithium needs alone are projected to increase by 1,100% by 2035 as electric vehicle adoption expands. The government also cited risks in global supply chains, noting that China accounts for 70% of rare earth mining and 90% of refining capacity. “For too long, Britain has been dependent on a handful of overseas suppliers, leaving our economy and national security exposed to global shocks,” Prime Minister Keir Starmer said. “That is why we are taking decisive action to change that, boosting domestic production, ramping up recycling, and backing British businesses with the investment they need.”
The strategy includes up to £50 million to support UK-based extraction, processing and recycling projects, in addition to funding available through the National Wealth Fund and UK Export Finance. This includes £31 million already allocated to Cornish Lithium to advance its Trelavour Lithium Project and geothermal extraction at Cross Lanes. The government said it will also support permitting processes for innovative mining and processing initiatives to help accelerate capacity.
Industry groups view the strategy as a long-awaited framework to scale domestic mineral supply. Jamie Airnes, CEO of Cornish Lithium, said the approach “highlights the need to accelerate domestic capability, unlock investment, and build strategic partnerships – all of which are essential to delivering lithium production at scale.” The Critical Minerals Association called the plan “an important and timely step forward,” saying future economic resilience will depend on reliable mineral supply for clean energy, automotive manufacturing and defence.
The government is also considering stockpiling measures through initiatives such as NATO’s Critical Mineral Stockpiling Project to strengthen supply chain security. As part of its diversification efforts, the UK plans to deepen partnerships with resource-rich countries and expand research and processing expertise in regions including Cornwall, Teesside and South Wales.