The UK’s former cyber security chief has raised the alarm over the sale of a Welsh microchip manufacturer to a Chinese-backed company.
Ciaran Martin, the former chief executive of the National Cyber Security Centre (NCSC), said the purchase of Newport Wafer Fab by Nexperia, a Dutch subsidiary of the Chinese company Wingtech, poses a greater threat to British interests than Huawei’s involvement in the 5G network.
Boris Johnson has asked national security adviser Sir Stephen Lovegrove to look at the deal, worth a reported £63m, while MPs have called on ministers to intervene.
But, Charles Smit, a board member and general counsel at Nexperia, told the BBC earlier this week: “We’re not owned by the Chinese state, the Chinese state is not involved in Wingtech.”
Sky News has contacted Nexperia for comment.
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Mr Martin, who was chief executive of the NCSC until last August, described the future of microchip supply as a “first order strategic issue” for the government to get a handle on.
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He was part of the NCSC when it altered its security assessment of equipment manufactured by Huawei, with the firm eventually excluded from the UK’s rollout of 5G on security grounds.
“Huawei in the periphery of 5G only really mattered because the Trump administration became obsessed with it for reasons they never convincingly set out,” Mr Martin told The Daily Telegraph.
“By contrast the future of semiconductor supply is a first order strategic issue. It goes to the heart of how we should be dealing with China.”
His comments come after the Commons Foreign Affairs Committee called for tougher action to stop strategically important companies being sold overseas.
The cross-party group of MPs said the UK’s “sovereignty should not be for sale” and called for the takeover of Newport Wafer Fab to be formally called in for review.
“Appropriate mitigation measures” should be introduced by ministers, they also said.
“Our fiercest competitors, notably China, have a track record of using foreign investments to gain access to important technologies and information,” committee chairman and Conservative MP Tom Tugendhat said when the report was released.
“We’ve witnessed too many of our country’s brilliant tech firms disappear abroad with potentially significant economic and foreign policy implications.”
France became the first G7 country to announce the move last week – while Ireland, Spain and Norway all officially recognised a Palestinian state last year.
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Mr Carney told reporters in Ontario that Canada would do the same on certain conditions – including that the Palestinian Authority commits to fundamentally reforming its governance, and holds general elections in 2026 in which Hamas can play no part.
The Canadian prime minister said he had spoken with Mahmoud Abbas, the president of the Palestinian Authority, earlier in the day.
Following the announcement, the Israeli foreign ministry said in a statement: “The change in the position of the Canadian government at this time is a reward for Hamas and harms the efforts to achieve a ceasefire in Gaza and a framework for the release of the hostages.”
A White House official anonymously told Reuters that US President Donald Trump also believes he would be “rewarding Hamas” if he recognises a Palestinian state and therefore doesn’t plan to do so.
“President Trump’s focus is on getting people fed,” the official added.
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What do Israelis think of UK’s plan to recognise Palestine?
Canada had long stated it would only recognise a Palestinian state at the conclusion of peace talks with Israel.
However, Mr Carney said the reality on the ground – including the starvation of citizens in Gaza – means “the prospect of a Palestinian state is literally receding before our eyes”.
He added: “We are working ourselves, with others, to preserve the possibility of a two-state solution, to not allow the facts on the ground, deaths on the ground, the settlements on the ground, the expropriations on the ground, to get to such an extent that this is not possible.”
The Canadian prime minister also said he “condemns the fact Israel has allowed a catastrophe to unfold in Gaza”.
Image: Palestinians carry aid supplies that entered Gaza through Israel, in Beit Lahia in the northern Gaza Strip. Pic: Reuters
Sir Keir Starmer announced the UK could recognise a Palestinian state after he had a meeting with Mr Trump the previous day.
Sir Keir said the conditions Israel would have to meet to avoid such a move included taking substantive steps to end the “appalling situation in Gaza”, and agreeing to a ceasefire.
Some 38 members of the House of Lords, including some of the UK’s most eminent lawyers, have since written to the attorney general to say that recognising a Palestinian state could be a breach of international law, The Times has reported.
They have said the territory may not meet the criteria for statehood under the Montevideo Convention, a treaty signed in 1933.
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Aid dropped into Gaza amid international pressure
Meanwhile, a Downing Street spokesperson confirmed Sir Keir had spoken to Mr Carney over the phone on Tuesday.
The spokesperson said: “They discussed the grave situation in the Middle East and last night’s action by the United States to tackle the severe threat posed by Iran’s nuclear programme.
“Both reiterated their support for a diplomatic solution and agreed that Iran must come back to the negotiating table with the United States as soon as possible.
“They looked forward to continuing their discussions at NATO this week.”
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A global hunger monitor has warned that a worst-case scenario of famine is unfolding in Gaza.
The Hamas-run health ministry reported seven more hunger-related deaths on Wednesday, including a two-year-old girl with an existing health condition.
Meanwhile, at least 48 Palestinians were killed and dozens were wounded while waiting for food at the Zikim Crossing, the main entry point for humanitarian aid to northern Gaza, according to the Shifa Hospital that received the casualties.
It was not immediately clear who opened fire and there was no immediate comment from the Israeli military, which controls the crossing.
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Footage shows young girl in Gaza mourning family
Israeli strikes and gunfire had earlier killed at least 46 Palestinians overnight and into Wednesday, most of them among crowds seeking food, health officials said.
The Israeli military did not immediately comment on any of the strikes. It says it only targets militants and blames civilian deaths on Hamas, because the group’s militants operate in densely populated areas.
US special envoy Steve Witkoff will travel to Israel on Thursday to discuss the next steps to address the situation in Gaza, an American official said.