Pensions
Our leading role at the heart of pension reform was reflected by being asked to give an initial telephone briefing to Rosie Winterton MP, the new Minister of State for Pensions. We used this opportunity to stress the importance of retaining the cross-party and stakeholder consensus on pensions reform which must include a rolling programme of deregulatory measures to assist employers with occupational pension schemes.
We also explained some of our outstanding concerns about the government's pensions reform programme which had been set out in a briefing sent to Peers before the Pensions Bill's Report stage discussions in the House of Lords earlier this week. Following the briefing we have arranged a formal meeting with the Minister to discuss these issues later this month.
Regional Development Agencies
Our chief economist, Steve Radley, gave oral evidence to an inquiry into the role of Regional Development Agencies (RDAs), which is being undertaken by the House of Commons Business and Enterprise Select Committee. Our written submission argued for RDAs to be given a greater strategic role, in line with the recommendations of the government’s recent Sub-National Review.
We have also expressed concern over plans to give local authorities more of a role in holding RDAs to account in the development of regional economic strategies and suggested an alternative model, in which the ultimate sign off for these strategies, would rest with the relevant regional minister.
Separately, we have also written to BERR to express our concern over the recent raid on RDA budgets, which was used to fund proposals to help the recovery of the housing market. This is not the first time that such a move has been made and runs roughshod over the principle that these funds are supposed to be ring-fenced.
Interest Rates
We strongly welcomed the decision to cut interest rates earlier this week, along with government efforts to restore stability and liquidity to the financial system. However, we believe that more may need to be done given the threat to business and consumer confidence, including more significant cuts in the coming months. A link is attached to our lead comments on the BBC in response to the cut.
Government reshuffle
We welcomed the appointment of Peter Mandelson as the new Secretary of State for Business, Enterprise & Regulatory Reform (BERR). Having believed John Hutton was a good advocate fighting for business across Whitehall it was important that they replaced him with a senior figure to ensure the business voice is heard at Cabinet level.
His experience as EU Trade Commissioner, and having previously been at the old DTI, should be invaluable in ensuring that business continues to have a strong voice. We also welcomed the new Department for Energy & Climate Change and the high profile and influence it will provide. However, it is essential the business perspective brought by BERR is not lost in energy policy. We are currently arranging meetings with the respective new secretaries of State & Ministerial teams.
Liberal Democrats
We met the Liberal Democrats spokesman for Innovation, Universities & Skills, Stephen Williams MP to discuss a number of current issues. In particular, we briefed him on the results of our recently published Innovation Monitor and priorities for policy, especially the need to expand innovation vouchers and Knowledge Transfer Partnerships to help more firms collaborate with Universities. Separately, we briefed him on the results and recommendations of our forthcoming survey into Higher Education.