Going for the summit

4 mins read

Nick Clegg headlined a government summit all about boosting UK manufacturing last month. Max Gosney asks if Clegg and his coalition colleagues have got the right stuff to take the sector to the top

Zealous ministers vowing to deliver the gathered congregation to the promised land - at times the government's advanced manufacturing summit took on the guise of an evangelical church service. Nick Clegg, Vince Cable and Mark Prisk delivered the gospel of manufacturing according to the coalition government - now the sector must decide whether it's worth following. "This summit is an opportunity to help us develop the agenda so we can grow manufacturing in the UK," said Mark Prisk, business minister, in his opening address. And moments later it was clear what the government has identified as one of the major roadblocks. "We have an image problem. It's something that's [felt] across the sector and it's something we need to address...the perception of manufacturing is outdated and it leads to the assumption that if you work in industry, it's boring, dirty and not well paid," Prisk said. Few will choke on their tea at Prisk's sentiments. A distorted public view of manufacturing being all factory stacks and greasy caps is nothing new. However, coherent government support in debunking the myth would be. The proposed remedy is a programme of factory tours for students and teachers. The visits would showcase the high-tech environments of modern factories and look to set the record straight on pay and career opportunities. Alongside this, the government wants to extend into local communities an exhibition format that has seen pioneering firms display products at the Department for Business HQ. It's a scheme with heavyweight aspirations yet featherweight practical detail at this stage. No information was forthcoming over the age group of children to be targeted for factory tours, where the proposed exhibitions will take place or, most importantly, what level of financial support will be on offer. Prisk simply stressed that ministers would "work in partnership" with industry. This spirit of entente cordiale was reinforced by Nick Clegg during his keynote address. The deputy prime minister told delegates: "I'm under no illusions about the important role you will play in helping us to create a more balanced and sustainable economy. How do we provide that help to you?" Clegg identified five key areas where the government will help drive the growth of manufacturing (see box). He told delegates: "We have under-celebrated our ability to invent, design and manufacture things. We've celebrated people who perform financial wizardry in the City, but the simple virtue of making things has not been celebrated enough." Minutes later Clegg left the room protected by an impenetrable ring of PR officers. Vince Cable, business secretary, stepped up to conclude the summit's ministerial speeches and touched on a different PR problem. "There is a negative attitude that we don't produce anything," he told delegates. "It's actually wrong... my starting point is getting away from all that negativity." The misconception of British industry in decline had become "embedded in the national psyche", Cable said. Changing that was a key driver behind the bid to get students and teachers into factories. "It seems a simple idea but I think it will produce remarkable dividends," he predicted. The industry verdict The industry seems to broadly agree. Joe Greenwell, chairman of Ford Britain and summit delegate, told WM: "A lot of companies do a similar kind of thing to what the government is proposing, but if we have central support then we can do this on a much larger scale." Others called for Cable and co to look much closer to home when it came to putting together tour guest lists. "I can think of three or four politicians who would benefit from getting out to see a manufacturing site," one delegate told WM. "We need to target the key people in the UK Trade and Investment (UKTI) as they can have a big impact on our sector." The government will have received this feedback and plenty more via a series of behind-closed-door discussions with delegates, following Cable's speech. Attendees were divided into six groups and invited to have their say on key policy areas including access to finance, skills, green economy opportunities, technology commercialisation, and investment climate and trade. Journalists were politely ushered to the exit at this point. However, WM can give a general flavour of how summit delegates reacted to Clegg, Cable and Prisk's overtures. The skills gap featured heavily in delgate feedback, WM understands. Some manufacturers also urged government to take a much more pro-British approach to procurement, urging it not to play to EU rules at the expense of domestic firms. One attendee told WM: "There is room for much smarter thinking on procurement. There needs to be a longer term view. A decision based purely on price may end up costing more in the long run if it damages local manufacturers." Peter Bennet, who did not attend the summit but runs Groveley Precision Engineering, reinforced the back-British message. "If you tender in Germany or France, they ensure 25% of the contract goes to local suppliers. Right now a wind farm is being built off the Devon coast and the components all come from Denmark even though a couple of companies in England make the same parts. We comply with everything because we are British and we play with a straight bat." Industry representatives also urged caution over the term 'advanced manufacturing'. The phrase has dominated recent government literature, sparking some concerns over elitism. Tom Westley, chairman of the Cast Metals Federation warned Mark Prisk in a post summit letter: "A constant reference to new and innovative must not overshadow the old." Cable admitted the industry was right to challenge the government on its terminology. "When we're talking about advanced manufacturing, we do not want to be exclusive," he said. The term applies to advanced manufacturing techniques as much as products, Cable agreed. Semantics aside, Cable and his colleagues can reflect on a well-received event. Paul Jackson, chief executive of Engineering UK and summit delegate, said: "I think its good news we've got such a broad range of ministers engaged in the advanced manufacturing agenda... it's good for the government to listen." The warm feeling was shared by Ian Godden chairman of ADS, the trade association for aerospace, defence security and space industries. He told WM he feels bullish: "To get the deputy PM, Prisk and Cable on the same platform and speaking unscripted is a big positive and can be seen as a statement of intent." Those discussions and many more are set to continue well into 2011. The government is taking feedback from the summit and will launch a consultation on advanced manufacturing proposals in the spring. Then, when the talking stops, many in manufacturing will want to see the government put its money where its mouth is. Godden concludes: "How much money will be put into training and skills? Do we have the ambition to compete as a nation by co-investing government and private sector money?" Only time will tell.