A real prospect for change

The May local and mayoral election results show that the coming general election will almost certainly bring a new administration with a mandate for radical change. Until a general election, however, the country is in a state of planning limbo affecting government and business. After the election a new, likely Labour-led, administration would be constrained in improving public services, raising defence spending, and investing in infrastructure, by the high level of taxes and high borrowing costs.

The private sector could help to restart growth as there is a real prospect of new investment from companies who have been waiting for a stable policy environment. A successful recovery will, however, need a transformation in conventional economic thinking to restore purpose and optimism to all sectors of the economy. What will be needed will be unified economic policies that recognise the benefits of a comprehensive industrial policy, as well as adequate housing, health and social services. For the dynamic industries that will reinvigorate the economy it will be particularly necessary to work together to provide the skills, industrial environment, and trade environment that they need. At the Industry Forum, we are optimistic about the future and the vital contribution of dialogue and planning as new ministers grapple with turning manifesto promises into credible plans and budgets.

We have two important meetings coming up and many more in planning. Our major House of Commons Business Reception for members and guests is planned for the evening of 11 September. It will be sponsored by Workday and Vodafone and Darren Jones MP, Shadow Chief Secretary to the Treasury will be the keynote speaker. Looking towards the end of the year, almost certainly after the general election, we are planning a Christmas reception for members and guests to meet some of the next government.