Business initiative defended after ‘pie in the sky’ criticism
ONE of Wales’ leading business figures has described comments made by the Welsh Conservative Shadow Economy Secretary Russell George as “ill-informed and myopic”.
Professor Simon Gibson was responding to criticisms made by Mr George about an initiative involving a top university that has been backed by the Welsh Government.
In 2015, a panel of experts was chosen by then Economy Minister Edwina Hart to represent Wales in a global initiative led by the Massachusetts Institute of Technology (MIT).
The Regional Entrepreneurship Acceleration Programme (REAP) lasts for two years and is intended to boost economic growth and job-creation through “innovation-driven entrepreneurship”.
But Mr George claimed the Welsh Government had “failed to capitalise” on the £165,000 it spent on the initiative and had only created a “flash but bewildering” website.
Prof Gibson said: “The REAP team for Wales has undertaken the twoyear programme with the MIT Sloane Management School to analyse how to enhance the economic performance of Wales.
“What became clear during the study was the need to improve the connectivity and interworking of the five stakeholder groups which drive all successful modern economies – entrepreneurs, academia, risk capital, government and corporates.
“To that end, the panel alongside the MIT team have devised a series of interventions and initiatives to create momentum in the economy.
“This movement commenced with the Be the Spark launch event in Cardiff in June where 300 key stakeholders from the five groups assembled to commit personally to contributing their resources, time and effort.
“Some 225 wide-ranging pledges have been received and are being actioned, including the creation and resourcing of an independent body to continue this vital work.”
Prof Gibson said he was “saddened” to see the statement made by Mr George, “especially when one considers that he represents the selfproclaimed ‘party of business’”.
He added: “Mr George’s comments are ill-informed and myopic. Not once has he talked with anyone from the panel to get any understanding of the ongoing work plan.
“The very experienced and talented panel have each given up two months of their own time, including some bank holidays, without compensation and deserve more gratitude and respect for the considerable work they continue to undertake to improve innovation, entrepreneurship and economic outcomes in Wales.”
The panel contains some of Wales’ most respected business figures. As well as Prof Gibson, who is chief executive of technology investment company Wesley Clover, it includes Dr Drew Nelson, chief executive of Wales’ leading technology company IQE; Hayley Parsons, founder and former chief executive of price comparison business Go Compare; and serial investor and entrepreneur Ashley Cooper, among others.
Prof Gibson said: “One of the conclusions we reached was that there were too many Welsh Government initiatives aimed at potential entrepreneurs – the last time I counted there were 800. This is too complex and should be streamlined.
“We would like to see every town and village in Wales with a space where people could meet, share ideas and innovate. We would also like to see innovation encouraged by public bodies and others making what can be very expensive pieces of equipment made available to budding entrepreneurs.
“We have had many tangible offers of assistance. NatWest has seconded a senior executive to help co-ordinate the programme, for example. It’s worked elsewhere and I know it will work in Wales.”
A spokesman for the Welsh Conservatives said: “The public has every right to be concerned about how its money is being used and what it can expect in return. To date, this initiative remains little more than a piein-the-sky thought experiment with precious few tangible outcomes to show for the hundreds of thousands of pounds of taxpayers’ money that was spent more than two years ago.
“It remains a fact that after two decades of successive Welsh Labour governments, Wales still has the worst-performing economy in the UK and areas within it rank among the poorest in Europe.”
The spokesman added: “Prof Gibson would do well to acquaint himself with the old saying that the proof of the pudding is in the eating.”