APPG Relaunch & Sustainable Growth
July 2025
After years of outdated legislation, cautious regulation, and missed economic opportunity, the UK’s industrial hemp sector may finally be entering a new phase of serious investment and reform.
In June, Aberystwyth University officially launched the Industrial Hemp Innovations Hub, and with it came the relaunch of the All-Party Parliamentary Group (APPG) on Industrial Hemp. Together, these two developments mark a turning point for hemp in the UK, putting science and policy into direct conversation for the first time in decades.
A National Centre for Innovation
The new Hub, based at Aberystwyth University, will act as a central knowledge platform for researchers, farmers, businesses, and policymakers. It brings together expertise from across agriculture, environmental science, supply chains, and rural development to support the UK’s transition to a modern and viable hemp industry.
Its priorities include:
Advancing research into hemp varieties and their suitability for UK climates
Supporting farmers with guidance on cultivation and market access
Developing value chains for construction materials, bioplastics, textiles, and more
Offering evidence to inform policy on licensing and regulatory barriers
Crucially, this isn't just about research for research’s sake. The Hub has been established with a clear intention to accelerate the use of industrial hemp as part of the UK’s wider green economy. That includes hemp's potential to capture carbon, improve soil health, and contribute to net zero goals through the development of sustainable products.
The Role of the APPG
All-Party Parliamentary Groups (APPGs) are cross-party groups of MPs and peers who come together around key policy issues. The APPG on Industrial Hemp has been reactivated with strong backing from the research and farming sectors. Its mission is simple: to push for a policy environment that enables UK hemp to thrive.
At present, hemp farming in the UK is hampered by unnecessary restrictions. Farmers must obtain a licence from the Home Office just to grow hemp, even if it contains negligible amounts of THC. Even more limiting is the ban on processing or selling the flower, which holds the greatest commercial value for CBD products and other high-value applications.
The APPG aims to:
Modernise and streamline the hemp licensing system
Enable whole-plant use, including flowers and extracts
Encourage investment in UK-based hemp processing infrastructure
Align UK regulation with international standards
This renewed parliamentary engagement is long overdue. The UK is currently importing products it could be producing domestically. Countries like France, the Netherlands, and Canada have made far greater progress in integrating hemp into their economies, with clear regulatory frameworks and investment in innovation.
Why Now?
There is growing recognition that industrial hemp has a serious role to play in sustainable agriculture and green industrial strategy. It is one of the few crops that can be used across multiple sectors — from construction and textiles to food and pharmaceuticals — while also delivering environmental benefits.
At a time when rural economies are under pressure, and climate resilience is becoming urgent, hemp offers:
High carbon sequestration capacity
Natural resistance to pests and low input requirements
Soil regeneration potential
Valuable materials for housing, packaging, and textiles
Opportunities for home-grown CBD and nutritional products
But without regulatory reform, much of this potential remains locked up.
What Comes Next?
The coming months will be crucial. The APPG is expected to publish its first policy briefings in autumn 2025, informed by evidence gathered through the Industrial Hemp Innovations Hub. Pilot projects are also being explored, including UK-based hempcrete housing, fibre processing hubs, and regional growing cooperatives.
There is cautious optimism across the sector. With universities, farmers, small businesses, and parliamentarians now aligned on the need for change, the UK may finally be preparing to treat industrial hemp as the strategic crop it truly is.
Final Thoughts
This isn’t just about cannabis reform or CBD markets. It’s about placing hemp where it belongs — at the intersection of regenerative farming, sustainable development, and circular industry.
If this momentum is maintained, 2025 could be remembered as the year the UK stopped talking about hemp as a missed opportunity and started building an industry fit for the future.
