Labour can learn from Jaguar Land Rover as they develop the economic policies for the next General Election. Indeed JLR is a blueprint for how growth and jobs can be achieved in a comparatively short period of time.
The economy is doing better than expected, and for that Chancellor George Osborne must take credit.
But in his speech to this summer’s Labour Conference, Party Leader Ed Miliband got it right when concentrating on living standards – this is what matters to ordinary people.
Three major reports, all commissioned by Labour, are concentrating its economic, infrastructure and manufacturing thinking.
Sir George Cox, former director general of the Institute of Directors, warned that short-termism has become an entrenched feature of the UK business environment.
He urged extending the governance code so that sufficient long-term incentives are incorporated in the pay of executive and non-executive directors; changes to the rules on takeovers and reporting requirements so that investors and businesses can build for the long-term; improving the functioning of equity markets; measures to encourage support for, and investment in, small businesses; and improvements in public procurement.
The report by Sir John Armitt, chairman of the Olympic Delivery Authority, to undertake a review of infrastructure planning in the UK, called for an independent commission to identify the UK’s long-term infrastructure needs and monitor the plans developed by future governments to meet them in terms of efficiency and value for money.
And finally Mike Wright, executive director of JLR, is conducting a comprehensive review of Britain’s manufacturing supply chains including access to finance and skills development. In all this JLR is a shining light in the way it has addressed growth, job creation, investment, training and skills.
The UK cannot be laissez-faire any more – it must be proactive in tackling problem areas.
There is now recognition that the service sector cannot bring the growth and employment we need.
Labour is doing the hard work now so, come the election, its economic policies are there for all to see – how the UK can go forward and prosper.
* Lord Kumar Bhattacharyya is a Labour peer and founder of Warwick Manufacturing Group
