Great Britain: The British Industry has not kept pace with the economy
The outgoing MTA-President expressly warned of complacency: “We went through the most severe recession that we can remember and we still have a fiscal deficit. This has effects on the foundations of our industry, our economic infrastructure”, says Ridgway. The professional skills, the mechanical equipment, the supply chains, all these things interact in a system and make the industry efficient and internationally competitive.
The British industry needs a new foundation
“This network of interactions, this new eco-system of the manufacturing industry cannot be created overnight”, anticipates Ridgway. He goes on to say that, “We must make new investments in our professional skills and our technical basis. We must recapitalise our industry and strengthen the density of our supply chain again to create a critical mass for the industry which is so important for our national economy.”
The British government is actually trying to resuscitate the industry in the country. So there are funding programmes for foreign investors, mainly the Global Entrepreneur Programme must be mentioned here. The advertisement of the investment promotion UK Trade & Investment is primarily aimed at supporting innovative companies to grow from the UK as a strategic location. With the help of this program 280 investment projects have been realized in the last four years in the volume of more than 1 billion British Pounds and over 2000 jobs have been created.
Investment promotion in the industry has not been very successful
However, if we observe the target industries of foreign investments, the gap between the manufacturing industry and the overall economy becomes apparent even here: According to the investment promotion UK Trade & Investment in the financial year 2013/14 there were a total of 229 investment projects in the software and computer services sector, followed by financial services with 159 projects and business and consumer services with 128 projects. The automobile industry on the other hand has acquired about 100 investment projects with a foreign background, the electronics industry 66, renewable energies 61 and machine building 54 investment projects respectively.
In the coming one and a half years investors still expect substantial insecurity: At the latest by 2017 the British will have to vote whether they want to remain in the European Union. Even if the industry associations and the oppositional labour party support an EU-membership, the outcome of the referendum is as uncertain as the consequences of a possible EU-exit.