Business ready to play its part in levelling-up

‘The next Welsh Government will need to fast track the metro to deliver more trains, invest in more broadband and grow our low-carbon economy...’

BUSINESS and government can serve as a driving force behind the UK’s levelling-up aspirations.

Harnessing local strengths will propel local economies through recovery and towards enduring prosperity.

This is the only way to tackle longterm geographic inequalities as nations and regions develop plans for the new normal.

In a new vision for the UK economy, to be published in May, the CBI will call for regions and nations to be liberated from the restrictive cookiecutter approach of the past, and empowered to capitalise on their unique strengths to build back better.

The CBI wants to see towns, cities, regions and nations supported to develop their strength industries in a way which enables each to become globally competitive in their own right. Increasing productivity in all corners of the country will in turn help end inequalities in education, health, wealth and opportunity – and raise living standards for all.

A core pillar of the CBI’s vision for the decade ahead is for every UK nation and region to be globally competitive. But neither business nor government can achieve this alone – levelling-up will require partnering up. Communities at local, regional, national and countrywide level will need to work together for a deeper and more dynamic social partnership.

Governments – national or local – can build the infrastructure for community success. The next Welsh Government will need to fast track the metro to deliver more trains, invest in more broadband and grow our lowcarbon economy.

Yet levelling-up is a vital business issue too – for businesses and by businesses.

It can be a tide that raises all boats – and all businesses too. Business is ready to do the bit we as business can do; creating thriving firms, bustling high streets, local jobs, better wages.

Reinforcing successful business clusters will be central to kickstarting this revival. This means building on distinctive local strengths to forge a clear USP for investment in towns, cities, regions and nations in all corners of the United Kingdom. Cookiecutter solutions are no solution at all if levelling up is to be a success.

From semiconductors in south east Wales, to aerospace in north Wales. From the Holyhead Hydrogen Hub to the low carbon cluster across the whole of south Wales – our nation is rich in clusters of excellence. These strengths can equip communities to forge and grow unique identities on a global stage.

True levelling up will not be achieved by regions working towards identikit – and at times competing – economic strategies. Rather, it will come from areas knowing their strengths, recognising the opportunities this can create, and capitalising on them to forge their own path to long-term prosperity.

Further CBI goals for Wales-wide levelling up include:

■ utilising anchor institutions – from universities to keystone businesses – at the heart of regional economies to help attract investment and spur related sector growth;

■ building a rich sector mix, including high-value export offerings to bring money to the regions of Wales, and future industries like renewable energy with strong growth opportunity; and

■ business leadership within communities, with firms reinvesting profits into people, delivering training and skills, improving facilities and working towards net-zero.

There is no greater force for positive, lasting change than business. Our job now is to turn warm words into a national movement, a revival revolution.

Any levelling-up agenda without jobs, without industrial clusters, without business sector regeneration, is not levelling-up at all. Rebalancing the Welsh economy can’t be done by government alone.

Business stands ready and able to play a full part.

From the technology we create, to the buildings we live and work in, and the transport we use to get there, enterprise can be a driving force in the Wales economic revival and the key to achieving its levelling-up goals.

■ is director of CBI