Trade and Investment for Growth White Paper

William Bain Excerpts

Wednesday 9th February 2011 Commons Chamber

[Vince Cable]

My diary would be seriously oversubscribed if I offered to visit all the companies that have been mentioned this afternoon, but I am happy to talk to my hon. Friend about the specifics. Indeed, a key element of the growth strategy that the Government are working through relates specifically to the development of advanced manufacturing, and key support for that will be provided by the technology centres, for which we have obtained additional funding, and which will be rolled out over this year.

[Mr William Bain (Glasgow North East) (Lab)]

On a day when the Office for National Statistics has revealed that the UK’s trade deficit widened in December to its highest level since August 2005, and the chief economist of the British Chambers of Commerce has said that

“Britain’s trading position is not improving”,

will the Secretary of State concede that it was a big mistake to slash investment in capital allowances, which help manufacturing exporters?

[Vince Cable]

I do not think that the hon. Gentleman has studied the figures carefully. If he does, he will see that the trade deficit narrowed slightly in the last quarter of last year, as against that quarter in previous years. The figures are not good, and they have not been good for many years. We have had very poor trade performance; that is what I said at the start of my statement. We have a massive legacy of underperformance in exports, and particularly in manufactures, that we have to overcome, and the White Paper represents a clear step in the direction of remedying that problem.