Thursday, February 16, 2006
Keeping the UK Competitive
I'm sure I read somewhere the other day that UK economic productivity is at a fifteen year low. Entrepreneurs are increasingly reluctant to start up new businesses and feel over-burdened by red tape and regulation. Indeed, the only growth sector at the moment appears to be the public sector. And yet despite all this GDP growth seems to be a relatively stable 2-3% per annum. It's interesting to see that a new pressure group has launched called Keeping the UK Competitive. Despite its name it seems to be prioritising London as a focus for investment, which I suppose is hardly surprising as London First are the prime movers behind it. The focus of this group seems to be asking for additional public sector investment, but surely it's the private sector we need to be encouraging at a time of low economic productivity? I can foresee similar groups to this - albeit it private sector ones - being formed all over the country as different regions wake up to the fact that private sector enterprise is gradually being strangled at birth.