Can Manufacturing Save the UK Economy?
1 min read
A vibrant high-value manufacturing base remains of vital importance to a
re-balanced UK economy and government policy should be directed to take a more active role to promote its growth, especially in the area of education & skills. This was the overwhelming message coming from a high profile debate held at the Royal Society last evening (21 October).
The debate, organised by the manufacturers' organisation EEF, saw an audience of around 200 put questions to a panel including Siemens managing director Juergen Maier, cultural commentator Stephen Bayley, MPs John Redwood (pictured) and John Hutton and ex Financial Times business editor John Willman
Chairing the debate, BBC economics editor, Stephanie Flanders, posed the question 'Can Manufacturing Save the UK Economy?' and asked the audience to vote on a number of supplementary questions.
These included who was responsible for the negative image of manufacturing to which 62% of the audience blamed a combination of government, the media and the education system. In response the panel concluded that the negative image of the sector was arguably the most important factor to be tackled and urged a greater focus on promoting the sector in schools and colleges through education and business partnerships.
The debate also addressed the role of government in directing policy towards manufacturing and whether the past market driven, laissez faire approach should continue. 78% of the audience voted for a greater role for government, in particular as a procurer of goods and services and in signalling to business the direction of policy so that companies are aware of likely levels of demand, in the transport and energy sectors for example.
Finally, the panel and audience was asked the single most important factor that needs to be addressed to remove barriers to growth in manufacturing and promote its resurgence. Overwhelmingly, the issue of the education and skills of the workforce was seen as the biggest impediment, ranging from the promotion of the sector in schools and colleges to the complexity of the skills training system.
Commenting, EEF director of policy, Steve Radley, said: "From across the panel and audience there was a consensus that a more prosperous manufacturing sector is a vital component of a rebalanced economy and that policy should be directed accordingly.
"There is no dispute that as a nation we need to invest more, make more and export more. Industry and government needs to work together correct the imbalances in our economy and promote this vital sector of the economy or risk slower growth in the future."
