Monday, 02 Dec 2013 12:41 GMT

'Big push' or 'no choice'

The ‘big push’ is on, at least that is how the Government has styled its latest initiative to rebalance the economy away from service industries and towards manufacturing


This approach is a stark departure for the British Government, which despite the political gang running it, has for the last three decades largely ignored the shape of the economy and instead just pursued growth by any means.

The new enthusiasm for ploughing money back into sectors that ‘produce things’ is motivated by one very simple thing, this may promote slow growth, but it is real and tangible—unlike the cloak and dagger world of high-finance, banking, and stock trading. For some 30 years or more politicians were always very happy that this group of sectors was obviously the source of sustained economic growth, but the ‘why?’ was akin to nailing jelly to the wall. And when it all went bang the answer was no clearer.

Cue the turn back to a golden age when Britain ‘made things’—there was no other choice. Can you imagine if Mr Osborne told the population that our route to economic acceleration was The City as Mrs Thatcher did? You would be able to hear the laughter from the top of Ben Nevis.


Cue the turn back to a golden age when Britain ‘made things’—there was no other choice.

Can you imagine if Mr Osborne told the population that our route to economic acceleration was The City as Mrs Thatcher did? You would be able to hear the laughter from the top of Ben Nevis”

While this shiny new pro-industry plan is under way, the stark fact is that manufacturing is still down 10 percent in real terms from 2008. And while today’s approach towards manufacturing sector investment is more laser guided missile than the carpet bombing of the 1970s, it would still be better to look at the bigger picture. Support for staff re-training is vital to cope with a rapidly changing technology landscape, lending to those with bright entrepreneurial ideas should be a tidal wave not a trickle, and more should be done to help massively speed up the transport infrastructure.

These are simple ideas, but speaking to many of you every month they are the usual suspects identified as key to improving profits. Disagree? Well, I always encourage feedback so pen me a line and let me know your thoughts.
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