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Brown pledges to sustain recovery Brown pledges to sustain recovery
(19 minutes later)
UK Prime Minister Gordon Brown has pledged he will keep the country's fiscal support in place long enough to sustain the economic recovery.UK Prime Minister Gordon Brown has pledged he will keep the country's fiscal support in place long enough to sustain the economic recovery.
In a speech to the CBI, he said the government would be careful not to abandon financial stimulus measures brought in to combat recession.In a speech to the CBI, he said the government would be careful not to abandon financial stimulus measures brought in to combat recession.
"Choking off the recovery too soon would be fatal" he said."Choking off the recovery too soon would be fatal" he said.
Mr Brown also told business leaders the UK has to be "truly competitive" to succeed in the global economy.Mr Brown also told business leaders the UK has to be "truly competitive" to succeed in the global economy.
'Inward investment'
He wants to see a big increase in the number of Chinese companies working in the UK, rather than the current level of around 400.
"We need an outward facing Britain that can attract large scale inward investment and sustain high value added jobs."
Plans to help entrepreneurship in Britain were also outlined.
Mr Brown promised that the UK would lead the world in fast broadband by 2012, increase nuclear energy capacity to help the country achieve its low-carbon aims, speed up planning permission for infrastructure and invest in skills and science education.
Key areasKey areas
It came after the CBI said the recession had become the catalyst for a new era in business.It came after the CBI said the recession had become the catalyst for a new era in business.
The study by the employers' group identifies four key areas of UK business where new ways of working could develop because of the downturn.The study by the employers' group identifies four key areas of UK business where new ways of working could develop because of the downturn.
They include more flexible workforces, greater collaborations among businesses and wider financing options.They include more flexible workforces, greater collaborations among businesses and wider financing options.
"The Shape of Business - The Next 10 Years" is being launched ahead of the CBI annual conference in London later."The Shape of Business - The Next 10 Years" is being launched ahead of the CBI annual conference in London later.
'Flexiforce''Flexiforce'
The recession has raised concerns about commercial models, supply chains and finance that will reshape business behaviour well into the next decade, according to the CBI, which represents 240,000 UK businesses.The recession has raised concerns about commercial models, supply chains and finance that will reshape business behaviour well into the next decade, according to the CBI, which represents 240,000 UK businesses.
Its study suggests:Its study suggests:
  • Businesses look to alternatives to protect investment and innovation
  • Companies look at their approach to working with partners and even competitors to stop future "domino effect" of supply-chain failures
  • Sustainability and ethics could become more integrated into the business model. Firms should seek to improve accountability to attract and retain customers and staff
  • A more flexible workforce should evolve with some firms that might mean a smaller core workforce and a larger, so-called flexiforce.
  • Businesses look to alternatives to protect investment and innovation
  • Companies look at their approach to working with partners and even competitors to stop future "domino effect" of supply-chain failures
  • Sustainability and ethics could become more integrated into the business model. Firms should seek to improve accountability to attract and retain customers and staff
  • A more flexible workforce should evolve with some firms that might mean a smaller core workforce and a larger, so-called flexiforce.
Richard Lambert, director general of the CBI, said the UK may be poised at the edge of a new era for business.Richard Lambert, director general of the CBI, said the UK may be poised at the edge of a new era for business.
"Attitudes to finance and to corporate leadership are changed for a generation by the shock of the past two years," he said."Attitudes to finance and to corporate leadership are changed for a generation by the shock of the past two years," he said.
How has the recession affected your business? Do you agree with the CBI's comments? Send us your views using the form below.How has the recession affected your business? Do you agree with the CBI's comments? Send us your views using the form below.
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