Midland bosses call for industrial strategy to target new businesses

NEARLY nine out of ten West Midlands business leaders believe the UK needs a comprehensive industrial strategy, according to research.

However, more than half (63 per cent) of those surveyed want the Government’s proposed Industrial Strategy to direct targeted support towards emerging businesses and sectors.

This was compared with just 19 per cent which believe the Government should prioritise support for established business and sectors.

The findings comes from the newly-published ‘Growth Climate Index’ by equity investor BGF.

It is a survey of Britain’s business leaders and entrepreneurs measures confidence in UK growth.

BGF said the findings pointed to considerable support for the principles behind the Government’s Industrial Strategy.

More than eight out of ten (86 per cent) of business leaders agree that, under certain circumstances, it is right for the Government to intervene in the private sector to support economic growth.

Furthermore, 77 per cent believe the Government should focus on supporting SMEs specifically as it seeks to boost productivity.

The research said respondents were split on whether further clarity on Brexit was more important for British business than an industrial strategy, with 44 per cent saying that Brexit clarity was more important.

BGF regional director Gavin Pet- ken said: “Rather than solely propping up established players and businesses at the top, there is a clear appetite for a new kind of Industrial Strategy which supports and energises growing businesses and sectors but also recognises the role that smaller businesses can play in driving innovation and eliminating the productivity gap.

“This task will only become more important as we leave the EU and build a new trading relationship with our European partners, and indeed the rest of the world.

“While uncertainty remains, this latest survey points to signs of cautious optimism and indicates that resilient British businesses are beginning to develop a positive and pragmatic vision of our future.”