United Kingdom: Exports

Lord Barnett Excerpts

Thursday 8th May 2014 Lords Chamber

[Viscount Younger of Leckie]

My noble friend is right: gross export data may underestimate the role of services, omitting the linkages between services and manufacturing. Services account for around 60% of the value added in the UK’s total exports, which demonstrates their importance both as direct exports and as embedded services within manufacturing exports. It is interesting to note that Rolls-Royce now earns more from managing clients’ procurement strategies and maintaining the aerospace engines itself than it does from making them.

[Lord Barnett (Lab)]

Despite the good export figures, is the noble Lord aware that many serious exporters believe that the strengthening pound is the serious problem? Do the Government have any intention whatever of doing anything about that?