UK Semiconductor Industry Strengths and Recommendations

This document is a Select Committee Report addressing the UK semiconductor industry. It outlines the findings from a series of evidence sessions conducted with industry representatives, focusing on the strengths and weaknesses of the UK in this sector. The Report emphasizes the need for the Government to publish its long-awaited Semiconductor Strategy, which has been pending for nearly two years. Key recommendations include enhancing the UK’s semiconductor design and intellectual property expertise, particularly in advanced nodes and materials. The Report suggests leveraging existing organizations like the Compound Semiconductor Catapult to support these efforts. It also discusses the limitations of large-scale chip manufacturing in the UK due to high capital costs and skill requirements, proposing a partnership model with allies in the US and EU to secure supply chains. Additionally, national security concerns regarding foreign ownership of UK companies are addressed, advocating for more prompt governmental action under existing legislation. Overall, the Report calls for immediate action to bolster the UK’s position in the global semiconductor supply chain.