Our nation’s ports like Falmouth are strategic national assets and gateways for trade – with support they can drive growth

Recently, I led a Parliamentary debate on port connectivity. Our prosperity as an island nation has always been connected to the strength of our ports. Our towns flourish where ports thrive, and decline where harbours have silted up, and trade moved on. Supporting our ports and ensuring they are well-connected is vital to national success and resilience. Members from all the edges of the country came to talk about their very different ports and their potential.

Falmouth, in my constituency, has a vibrant port which boasts the third deepest natural harbour in the world. Packet ships carried trade and parcels around the world from Falmouth in the late 1600s, and although this trade declined in the mid-19th century, the port retained its importance thanks to its geography and deep harbour. Today, naval and Royal Fleet Auxiliary vessels are regularly serviced while the port also welcomes cruise liners and maintains long-standing expertise in ship repair and refit.

Like many ports, Falmouth is now looking ahead. Well placed to support the emerging floating offshore wind (FLOW) sector in the Celtic Sea, the docks are being redeveloped to service turbines and are surrounded by a cluster of innovative marine engineering businesses, designing anchors and floating platforms.

Yet the infrastructure needed to support such growth is not always in place. The cost of improving road and rail links often falls to port developers, acting as a disincentive to investment and putting British ports at a competitive disadvantage internationally. As a result, many ports rely heavily on road transport, increasing congestion and placing pressure on local infrastructure.

Improving rail connectivity must be a priority. The Railways Bill is a welcome step; it places a duty to promote rail freight and set growth targets. This matters a lot when a single freight train can take up to 129 lorries off our roads.

In Falmouth, a short stretch of track linking the docks to the branch line has not been used for 20 years. With the rebirth of the critical minerals industry in Cornwall, there will be a big demand for freight transport. That is why I have been campaigning to reopen this line.

Connectivity challenges extend beyond transport. Ports are also facing growing constraints in accessing the grid. As the sector moves towards decarbonisation, demand for electrification is increasing, yet limited grid capacity is holding projects back. In Falmouth, plug-in power for ships is available, but restricted capacity means it can be used only by smaller vessels. Without further investment ambitions to expand, low-carbon operations will stall.

There are wider structural barriers too. In our manifesto, we committed £1.8 billion to port infrastructure, yet many schemes are still struggling to secure investment. This is not due to a lack of ambition or capital, but a market failure: a mismatch between immediate capital costs and uncertain long-term revenue. Ports need firm commitments from developers to justify investment, while developers need revenue certainty in the form of contracts for difference and grid connections before committing themselves. The result is a stand-off, with each side waiting for the other to move. The National Wealth Fund, with more flexible financial instruments, could shift that blockage.

Ownership adds another layer of complexity. Some ports are privately owned, others operate as trusts or charities, with some sitting awkwardly between existing funding models. There is perhaps a case, and I speak as a Co-operative MP, that as vital community assets, ports should be publicly or co-operatively owned.

At the same time, responsibility for ports is spread across multiple government departments, making coordinated support more difficult. Transport, energy, business and defence all have a stake, yet policy can feel fragmented. A more joined-up approach is needed to stop ports from falling through the cracks.

There is also a strong case for a multi-port strategy in the Celtic Sea so that the floating offshore wind industry can blossom and grow. At present, there is a regional disparity with projects in the North Sea having seen significantly more investment than those in the Celtic Sea due to established supply chain and port capabilities. The Celtic Sea has comparable potential but will require investment.

Supporting our ports and making sure they are properly connected is vital. They are gateways for trade and strategic national assets underpinning growth and resilience. With the right investment and coordination, ports like Falmouth can help drive our country’s future.