Brexit: where now for Devon and Cornwall businesses?

Devon and Cornwall Business Council:

“1) DEVOLUTION. This process may be very welcome to the business community (or it may not). There has been inadequate consultation for us to know what the implications might be. Either way it will create a period of uncertainty. We cannot afford to risk this whilst so many critical matters are up in the air. I propose that we ask for, at least, a 12 month moratorium whilst clarity is restored. Then we need a proper period of consultation knowing what we then know. Devolution has the potential to provide significant opportunities for devolved administrations to determine their own future when it comes to skills, transport, investment and development, but this agenda needs to be developed collaboratively with the private sector standing shoulder to shoulder with Government.

2) EUROPEAN MARKETS. More than 50% of South West trade is with near Europe. There have been some bold statements that 90% of trading opportunities will be outside the EU in the next 10-15 years. Many, however, of our investors are based in Europe – IMERYS, EDF Energy, Sibelco, Princes Yachts, Plymouth Gin, Barden Corporation to name but a few. Decisions are made in European capitals which affect a large number of our jobs and future growth prospects. We need to ensure that the existing investments are maintained and that we will feature in future investment decisions – access to the Single Market is vital. UK Trade and Industry (UKTI) department officials are already fully stretched (inadequate funding currently, with an increasing workload), we need to establish our own business trade ambassadors to ensure direct contacts are maintained and developed. From this base we can then begin to start creating a forward order book for whatever new trade agreements might emerge. This will also allow a programme to be developed to enable access into new global markets.

3) INFRASTRUCTURE. The South West has for too long been the Cinderella of the UK in terms of infrastructure investment. We have clearly supported plans for future spending on road, rail, air, marine and broadband projects. We must now directly lobby for these, acting as a single voice and ensuring that our South West MPs are lobbied to also speak with one voice. What, however, will make this happen is a demonstration that investment in infrastructure will result in direct business investment. We need to clearly demonstrate what we will contribute in return.

4) PLAY TO OUR STRENGTHS. Some of our most successful business sectors should be the subject of focussed programmes for ambitious expansion – food and drink, tourism and e-health are good examples of where the South West has specialist skills. Add to these; marine / maritime technology, aerospace / space, advanced engineering, digital and creative economy. Designed and co-ordinated tasks forces could achieve spectacular results in these areas of the economy.

5) GOVERNANCE/REGULATION. The system of regulation has been often complained about as a barrier to business growth – red tape, EU regulations or Gold plating from Whitehall? Staffing levels at regulators have been cut making the problems more acute. The establishment of voluntary codes and working partnerships led by trade bodies and self-regulated by them (with rewards for best practise) could greatly improve the current confrontational systems which have become entrenched – particularly in areas such as planning and environmental health.

6) PRODUCTIVITY. We have routinely lagged behind the average UK productivity levels (between 15-20% lower than UK average for Devon and Cornwall1). There are many drivers of productivity; investment, innovation, skills, enterprise and competition. This problem can be partly addressed by self-help. Simple work based systems can achieve significant improvements to outputs (and profits). These include Lean Production techniques. Training for all staff on digital skills and improvements to work/life balance (flexible working hours) which can reduce lost time off through stress / illness.

7) YOUNG BUSINESS. The Business Community has a collective responsibility to re-engage with the next generation to ensure we have attracted the huge talents of our young people. Business support can start by involvement as a Governor at Primary School all the way through to being a voluntary mentor for new start businesses. There are also great opportunities for assisting with work experience. The SW is blessed with some exceptional people with invaluable skills and experience. This should be high on the business agenda.

8) INNOVATION/SKILLS. We are proud of our Universities and Further Education Colleges. They deliver with national and international standards. The ground breaking research they produce is helping to change things around the world. We complain about a lack of relevant skills; however, do we fully engage with these institutions? Do we share with them our future business plans so that skill sets can be anticipated? Do we share with them our challenges in order to co-develop innovative solutions? Do we respond to their outreach work which can tackle production/system deficiencies? The answer is we could all do better. New partnerships should be formed as a priority. In part focusing on achieving young people with relevant skills (matched to growth sectors) through apprenticeships which, have the potential to greatly reduce our reliability on skilled labour from outside the UK, EU or otherwise.

9) URBAN/RURAL. For too long we have allowed ourselves to get sucked into Whitehall speak on the growth of Cities. Seen from the Whitehall bubble this is the best place to concentrate investment decisions. What we are missing by not forging strong urban/rural partnerships represents one of the greatest untapped opportunities for the growth of our economy – natural energy, local food production, health and well-being, water quality, flood/climate change management are all on our doorstep. DCBC will spearhead a rolling programme of partnership opportunities.

10) FUNDNG. The expectation that Government cash will still arrive as before is fool’s gold. Austerity will get worse before it gets better. Business will become even more important in the funding of growth opportunities. This could include matched funding with Devolved Authorities and perhaps taking advantage of cheap Government borrowing. We must set out our investment priorities more clearly and take these to our key stakeholders in the public sector for early discussions in order that improved delivery be achieved.”

http://www.dcbc.co.uk/news/brexit-where-next-business-community-10-point-recovery-plan#

One thought on “Brexit: where now for Devon and Cornwall businesses?

  1. Tim Jones [I quote from his dcbc web profile] is: “Chairman of Devon & Cornwall Business Council and a board member of the Heart of the South West Local Enterprise Partnership (having served as Chairman from its inception).”

    So could someone please explain why, with this key player in both camps, the Devon & Corwall Business Council seems so unsure about the devolution process and its inadequate consultation?

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