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A Britain for all

Industrial strategy around partnership
Douglas Beattie, Thursday, November 17th, 2016


Shadow business secretary, Clive Lewis, has set out Labour’s industrial strategy, calling for “a new social contract” between industry, business and people.

 

The plans, outlined in a major speech in London, have been welcomed by Unite as a “compelling vision.”

 

Lewis, who also holds and energy and industrial strategy portfolios, said “a new path” was required because industrial strategy “is the key to steering the people of this country, of helping to steer the whole world, into calmer waters” and delivering “a Britain for all.”

 

Much of the focus of Lewis’s remarks was around Brexit and the lack of a government plan for leaving the European Union.He warned the Tories they would fail millions if Brexit “fires the starting gun race in a race to the bottom.”

 

Lewis also said that a “New Deal for business” was needed not only to confront Brexit but the big challenges of the age, such as inequality and climate change.

 

“Business can’t do this by themselves and nor can government – we need a partnership”, he said, “and at the heart of this partnership will be Labour’s industrial strategy.”

 

He welcomed Nissan’s recent decision to commit to Sunderland for the long term, but said “an industrial strategy cannot be conducted business by business at a rate of one every six months.”

 

What was needed, he argued, was “a forward-looking industrial strategy” which would allow all companies and businesses to take advantage of new opportunities.

 

There were a number of tests Labour would apply if an industrial strategy was to meet the needs of the 21st century. Britain must remain a dynamic economy, building on our strengths in manufacturing, automotive, aerospace, digital and creative industries. To do this we must, Lewis said, “drive the curve” of technological change.

 

There should also be a charge to spread the economic focus away from London, so the whole country feels the benefit. In this regard Lewis also criticised an over-reliance on cities as engines of growth.

 

Well paid, secure jobs with “a proper role for our trades unions” was key, with management and strong unions pulling in the same direction, in so doing creating what he described as “a healthy business culture.”

 

Government spending on energy research would be doubled under Labour, with Lewis warning that without urgent action on climate change “the election of Donald Trump could mean ‘game over’ for our planet.”

 

Good jobs

There was also a commitment to increased public investment in infrastructure. As result of these polices Labour would “create hundreds of thousands of good manufacturing jobs, boost exports and productivity, reduce energy bills and improve the nation’s health and quality of life”, he said.

 

Reacting to the speech, Unite general secretary Len McCluskey said, “The Labour Party has thrown down the gauntlet to the Conservative government by outlining a compelling vision of what an industrial strategy should look like.

 

“In contrast to the uncertainty and confusion offered by Tory ministers Labour is showing it is serious about developing an industrial strategy which equips the UK for the Brexit challenges ahead and delivers an economy built on the creation of decent, secure jobs.”

 

McCluskey also criticised prime minister Theresa May, saying the government faced a challenge to “make good on its promise of an industrial strategy and spell out how it will support manufacturing and key foundation industries like our crisis hit steel sector.

 

“A failure to do so when the chancellor of exchequer, Philip Hammond, delivers his autumn statement next week, will only feed the growing uncertainty over the government’s lack of clarity and its shifty secrecy around Brexit, which is doing nothing to instil confidence for business and workers alike.

 

“Long-forgotten communities cannot rebuild on warm words, or worse the deliberate inaction that sees the Redcar steel works now rotting and many of its skilled workers on benefits.”

 

Much of that was echoed by Unite assistant general secretary for Manufacturing, Tony Burke, who believes that the Tories have had a hands-off approach to the very idea of an industrial strategy, something that “has been extremely damaging for the country.”

 

“Unite has argued really strongly for a number of years that whichever party is in power we need a robust industrial strategy. We would argue very, very strongly that Labour needs to develop its own industrial strategy, based on principles that Unite has been advocating for the past few years”, added Burke.

 

The union produced its own strategic plan called ‘Made in Britain’ back in 2013. This set out the key issues for the development of industrial strategy – investment in skills, a national investment bank, support for industry.

 

Burke makes the point that Unite is currently working to update that document and calls for Labour to set out “an integrated industrial strategy integrating transport, manufacturing and infrastructure.

 

“There has got to be a plan to have a robust industrial strategy, interventionist where it needs to be, not hands off and that has got to be based around investment, support for industries, small and medium sized companies” added Burke.

 

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