CHEAP Chinese firms could soon be cut out from government contracts under new rules championing British industry, The Sun can reveal.
Ministers want to prioritise UK-based firms in critical sectors like steel, energy, and cyber, putting them at the front of the queue.
The shake-up would allow the public sector to sidestep foreign tender bids, giving homegrown heroes a bigger slice of Whitehall’s £400bn procurement pot.
Currently, foreign suppliers can undercut British businesses with cheap labour and rock-bottom prices.
But in a push to bolster national security and create jobs across the UK, the likes of British Steel would be prioritised.
Under the new blueprint, now up for consultation, Whitehall departments would also favour British Steel for the £725bn of infrastructure spending earmarked for the next decade.
Meanwhile, firms slow to pay small and medium businesses will be kicked out of the procurement race.
Chancellor of the Duchy of Lancaster, Pat McFadden, said: “Strong industry is essential to our national security.
“The new rules being considered will give us the power to protect our national industries, ensuring more money goes to them as we buy goods and services in government.
“Our reforms will boost growth and ensure British industry is supported to deliver national security and our Plan for Change.”
Gareth Stace, UK Steel boss, hailed the move as a game-changer, saying: “The publication of this guidance for steel procurement and the launch of the consultation are unequivocally positive news for the UK steel industry.
“These changes rightly recognise the strategic importance of steelmaking to national security and the vital role of resilient domestic supply chains.”
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