The Cannabis Industry Council (CIC), a membership body for the UK’s regulated cannabis sector, has published a report calling for regulatory reform to help develop a domestic industrial hemp industry. The report, titled Opportunities from Industrial Hemp, was launched at the Houses of Parliament on Wednesday 14 October 2026.

The CIC announced the launch in a statement. The event was hosted by Baroness Jenny Jones at the Thames Pavilion and, according to the organisation, brought together parliamentarians, policymakers, researchers and industry representatives.

What the report says

The report was written by CIC Student Ambassador Luke Strong. It looks at how industrial hemp could support the UK’s legally binding target of reaching net zero by 2050, particularly through sustainable construction, regenerative agriculture and low-carbon materials. It examines uses such as hempcrete, road reinforcement and biofuels.

It also argues that the current regulatory framework creates unnecessary difficulties for farmers and businesses wanting to enter or expand in the sector. The report points in particular to:

  • restrictions on hemp cultivation licences;
  • limited access to approved seed varieties;
  • rules requiring farmers to destroy the flowers and leaves of the plant, which the report says prevents them from realising its full commercial value.

Recommendations

The report makes several recommendations to policymakers. These include allowing greater use of the whole hemp plant, introducing a UK-based seed approval process, making licensing applications more efficient and transparent, and considering raising the permitted THC threshold for industrial hemp to 1%.

Mike Morgan-Giles, chief executive of the CIC, said hemp presented “a significant opportunity for the UK”, including for British farmers, manufacturers and businesses. He said the regulatory framework “continues to make it unnecessarily difficult for businesses to invest, innovate and grow”.

He added that, with the right policy changes and closer collaboration between government and industry, the UK could develop a thriving domestic hemp sector. He said the CIC hoped the findings would encourage meaningful discussion on how to move the industry forward.

The CIC thanked its members RX Extraction and Unyte Group for supporting the development of the report.

Background

In the UK, industrial hemp is grown under licence from the Home Office. Cannabis is a Class B drug under the Misuse of Drugs Act 1971, and the licensing regime is designed to control varieties with low levels of THC, the main intoxicating compound. The report’s recommendations are those of an industry body and no government response was included in the material published by the CIC.

The report was published by the Cannabis Industry Council.