I don't know of a free program that does everything. You can use a program called Buzz machines for electronic stuff, but it doesn't let you record audio. It takes a little getting used to, and it can be quite unstable, but I like it.
I guess you could describe it as being "ghetto reason", in that you can wire different machines and effects together quite easily, except the machines and effects aren't quite as good as Reason's, and you get a flowchart style layout instead of the virtual rack of Reason.
www.buzzmachines.com
Here's an unfinished industrial/rythmic noise track I made with it a few years ago, so as you can hear, it's quite capable of doing industrial music.
http://theoid.pwp.blueyonder.co.uk/d...erofworlds.mp3
Screenshot of the machine editor part of the interface
For audio editing, Audacity is pretty good. It even lets you play multiple audio files at the same time, which is good if you don't have access to a proper sequencer like Cubase. (Obviously though, you're better off with a real sequencer... I imagine there'll probably be an open source one on the internet somewhere)
Audacity: Free Audio Editor and Recorder