It was good news to hear last week that the UK economy continues its recovery, expanding by 0.7 per cent in the second quarter of 2015 according to the latest national statistics. It is especially good since U.S. growth numbers were a little lower than expected last week, and problems continue in the Eurozone. This is further evidence that the Government's long term economic plan is working and leading the way on growth. But there is more to do, especially in manufacturing and export sectors.
I am concerned at the potential loss of local engineering jobs highlighted recently and will be meeting shortly with the managements of AGC and GKN where job losses have been mooted, to see what can be done to prevent job losses and ensure that anyone affected is treated right and that if there is no alternative we can help them into the best alternatives as soon as possible.
I am working hard to create the conditions for business to flourish locally. From ensuring we invest in better road, rail, energy and broadband infrastructure, to encouraging inward investment by big picture thinking about how to get the best bang for the buck of spending to upgrade that infrastructure, to investing more in local skills and new further education opportunities, I want people to see that investing in our area makes great sense because we are open for business. That applies to engineering and technology just as much as it does to services.
I am keen to work with local engineering and manufacturing businesses to help enhance their opportunities and skill bases and market their products, and offer my business background as a sounding board and influence in government to help diagnose problems, identify opportunities and make positive changes.
Making sure that industry and business in our area has the best opportunities is about ensuring a level playing field as well as thinking laterally and on a big scale about how best to participate. I have made sure that in upcoming defence contracts the firms in our area can participate and get access to some big new opportunities, and I am encouraging them to put in strong, competitive bids for the work and offer constructive solutions to customers' needs, whether that is in government or commercial market business.
I will be cheerleading for great local products and innovations, and opening doors to help new business relationships and strengthen existing ones. For firms like Agusta Westland and its suppliers, I am keen to see progress in exports of helicopters into Asia where I have contacts and experience to help, and I am keen to help the push into new markets such as the establishment of the innovative AW-609 Tilt-Rotor craft. In addition I am encouraging them to build on their already large share of available Ministry of Defence work.
On the policy level, I was pleased to see annual investment allowances set permanently at £200,000 in the recent Summer Budget, as I had pressed the Chancellor to reverse the withdrawal of the emergency allowances put in place to counter the 2010 recession and to set out generous and predictable future facilities in that respect for business. This should help local firms to plan and smooth their cash flow and remain competitive.
And I continue to press for major reform of business rates and red tape to make it easier for firms to compete, hire, and plan.
It is only with successful businesses and a creative and constructive approach that we can grow the economy into the high skill high wage engine to help with people's aspirations that we want it to be. I am extremely grateful to all those locally who are helping to make that happen.