Commenting on the Government’s productivity report Fixing the Foundations, Terry Scuoler, Chief Executive of EEF, the manufacturers’ organisation, said:
“For the UK’s productivity performance to go from stumbling to soaring during this parliament we need solid policy foundations to support the efforts of investment-intensive and highly productive sectors – like manufacturing – to thrive and expand. The new administration’s promise of a whole government focus on productivity and boosting the levers of growth is an encouraging step.
“Launching this plan in the Midlands, the business secretary was right to draw attention to how government and industry working together with an industrial strategy can, in part, help our key sectors like automotive become global productivity leaders.
“Measures already announced by ministers on tax reform, infrastructure investment and devolution are today being supplemented with action on innovation, housing and export support. Together these make a down payment on what will be needed to ensure the pay rise the government has ambitions for by the end of this parliament is affordable, while at the same time we start closing the productivity gap with competitors. The next instalment will be the Spending Review later this year, when the government’s plans will need to ensure that their framework for long-term growth and prosperity – investment, skills, infrastructure and innovation– remains a priority in the face of tough decisions.
"It’s particularly reassuring to hear the business secretary single out a commitment to the development of high-level skills and plans to increase the level of employer input into this critical agenda – business will want to work closely with government to ensure we get this right for the future.“