Industrial Strategy

Chris White Excerpts

Monday 10th September 2012 Commons Chamber

[Vince Cable]

One of the things the Chancellor has done is improve and focus the R and D tax credit, taking it to below-line research expenditure, which was hitherto a major inhibitor. One of the things I very much want to see arising from this work is a much bigger commitment to R and D, particularly the role of the Technology Strategy Board, which I think is one of our best institutions.

[Chris White (Warwick and Leamington) (Con)]

I, too, welcome the Secretary of State’s comments. Today the Associate Parliamentary Manufacturing Group released a think-piece on modern industrial policy, which is available to Members online. It states that we need a formal strategy document, created by the Government and overseen by a dedicated Minister for manufacturing, delivered to Parliament regularly and created in full consultation with industry, trade unions, all political parties and parliamentarians. Will he meet the group to discuss these ideas and how we might be able to integrate them into Government policy?

[Vince Cable]

I am certainly very happy to meet the group. A key part of the industrial strategy relates to manufacturing. However, it is important to stress that the modern economy is much more complex than the old sub-divisions. Much of the value in manufacturing these days derives from what are called intangibles—intellectual property, for example, and IT work. The services sector in its modern form contributes massively to our economy, which is why one of the areas we want to focus on is services that can be sold overseas and that have a large knowledge or technology component.