Voters want resurgence of UK industry at heart of parties' election campaigns
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Version 0 of 1. A overwhelming majority of voters want a resurgence of British industry to be at the centre of parties' election campaigns, according to a poll. Calls for a clearer strategy to get Britain making and exporting more come before official data this week that is expected to show the long squeeze on wages continues, despite the economic upswing. Economists say manufacturing has a key role in driving up productivity and pay. But despite the chancellor George Osborne's calls for a "march of the makers" early in the coalition's term, the sector has seen only slow growth and remains below its pre-crisis strength. More than four out of five voters – 85% – want the next government to promote a stronger UK manufacturing base, with 62% believing it will give the country more economic security, according to Monday's YouGov poll carried out for manufacturers' organisation EEF. The employer's group is seizing on the findings before the party conference season as further ammunition for its calls on politicians to put policies that will rebalance the economy high up their election manifestos. "The message to parties and political leaders is loud and clear: a strong, rebalanced economy has to be the long-term end goal and at the heart of your election offering," said EEF's chief executive, Terry Scuoler. "There is no room for complacency. While the UK is on the right path, we still have a long way to go … Net trade is still weak, investment is still below pre-recession levels and, while manufacturing has gained ground, more can be done to create the right conditions for manufacturers and wider industry to thrive and grow." Official figures, scheduled to be published on Wednesday, are expected to show that while the economic recovery has translated into more jobs, pay rises continue to fall well short of inflation. Economists expect unemployment will have edged down to 6.3% for May to July, which would be the lowest rate since the onset of the global financial crisis in the autumn of 2008. But average earnings are expected to be up just 0.5% on the year, less than a third of the inflation rate of 1.6% recorded for July. Last week, the Bank of England governor, Mark Carney, said the recovery would finally filter through to above-inflation pay rises by next summer. Business surveys suggest skills shortages and higher productivity mean some sectors are already offering real wage rises, including manufacturers. A separate report on Monday suggests small businesses are increasingly upbeat on turnover and profits and their confidence is translating into new jobs. The Federation of Small Businesses (FSB) said confidence was the highest on record for its survey, which began in early 2010. Three-fifths of the small businesses surveyed are expecting to grow in the next 12 months. Small firms' hiring intentions at were also at new record for the survey. John Allan, the national chairman of the FSB, said: "We're seeing record breaking confidence from our members which suggests small firms will continue to spearhead the UK's recovery." "As we head in to party conference season, we'll be looking to all the political parties to spell out what they will do to encourage job creation, investment and reward entrepreneurs in the next parliament." |