Swindon and Wiltshire Businesses Want George Osborne to Fix the Fundamentals

Ahead of the Chancellor’s Comprehensive Spending Review on Wednesday (25th), Ian Larrard, Director of the Swindon and Wiltshire Initiative, part of Business West, says the Chancellor must use this opportunity to tackle the deep-seated structural issues that are holding South West businesses back.

“When George Osborne takes the stage for the Spending Review on Wednesday, the headlines will undoubtedly be focussed on tax credits and cuts. But it is vital that the Chancellor uses this opportunity to fix the fundamentals that are holding business back.                                                        

“Our post-recession economy stands in good stead on paper, with GDP growth and national employment on the up. The South West is also in a strong position, with the lowest unemployment of any region in the UK.

“A glance at these statistics would suggest that all is rosy, but talk to local firms and you will find that this is not necessarily the case. From the perspective of business, three deep-seated structural issues should be at the heart of this Spending Review.

“The first is an obvious one, and an issue we have been stressing for some time. The skills gap between education and business has been hurting firms for way too long. High youth unemployment and business skills gaps are a cause for national embarrassment and more must be done to prepare young people for the world of work.

“The second relates to connectivity, as businesses can only operate as well as the environment they are in.  The government must use this time to deliver a business infrastructure fit for the 21st century, including the promised investments in air, road and rail schemes, a planning process that enables the building of both much needed residential housing and commercial premises, and the urgent upgrading of our inadequate digital infrastructure.

“Thirdly, the Chancellor must fix a dysfunctional business finance system to enable some of our most promising companies to reach their full potential, assist the development of a strong mid-size business sector, and help more firms to trade internationally.

“Finally, the Chancellor could announce further Devolution Deals for places across England. So far Manchester, Sheffield, Birmingham, Newcastle, Cornwall and Liverpool have all recently won greater powers to invest in the future of their economies.

“The message from South West businesses is that although our economy is on the up, there is still work to be done if we are to secure long term prosperity.”