CBI sets out new UK economic strategy

Tony Danker, CBI Director-General, today (Monday) outlines findings from a new, landmark economic plan seeking to establish a competitive, dynamic and future-focused UK following the shocks of Brexit and COVID-19 and in the run up to COP26 in Glasgow.

The Strategy, ‘Seize the moment: how can business transform the UK economy?’ Is the result of months of research and business consultation. It identifies six ways to transform the economy after the crisis to realise a decade of better economic growth and social solidarity.

The strategy is designed to complement the UK Government’s Plan for Growth. And it sets out how Government’s ambitions can be delivered by businesses across the UK, with concrete recommendations for different sectors and for individual firms.

It outlines tangible commercial prizes borne from policy ambitions including decarbonisation and skills investment. And it directly responds to the UK Government’s plan with suggested improvements and additional reforms – specifically around regulation, levelling up, and skills policy.

In a speech accompanying the launch of the CBI’s report, Danker argues that 2021 must be a turning point for UK economic policy. He adds that failure to make bold changes now will result in a return to business as usual – the persistently low productivity and heightened social division that followed the 2008 financial crisis.

'This country will never have a greater opportunity to transform our economy and society for the better than we have right now.

‘This the moment where we have a genuine chance to make big bets on how the UK economy will grow and compete. To use that appetite to invest, to collaborate globally after a decade of protectionism,’ says Danker.

‘To lift thousands of young people out of limbo, so they can reach their potential. And to build on that bond between employers and employees closer than ever before.

‘We have a grand plan for the whole nation. On the face of it, you might think that only some firms can benefit – we see prizes for everyone.

‘I know we have much to worry about in the short run. The COVID-19 crisis is far from over. It’s not easy for many trading in a new regime with the EU. Many firms have a lot of debt and uncertainty about the future. But we know from crises that new realities are shaped.’

To take these next steps, the CBI will:

• Engage around 1,000 business leaders and 700 businesses across our Regional Councils, policy Standing Committees and sector boards in Q2 2021.
• Establish a new Advisory Group to help shape Seize the Moment, to ensure momentum in the strategy and support business mobilisation.
• Convene newly formed business action groups to prioritise actions to achieve the economic prizes. These groups will use their expert knowledge on current trajectory and identify where gaps exist. They will report in October 2021.
• Align the CBI’s teams and future work for the next five years to this agenda to provide the engine powering the vision.
• Engage constructively and in collaboration with governments across the UK on ideas, insights for accelerating the UK Government’s Plan for Growth, and actions to realise the prizes.
• Commit to a yearly progress review at the CBI’s annual conference starting in 2021 to assess the action plans developed by our regional and policy networks and business action groups.