Businesses have expressed confidence in the Labour government’s long-term plans for trade, industry and small businesses, but wish to see simplified access to the support that’s being delivered.
That’s the key takeaway from a newly published report from the All-Party Parliamentary Group (APPG) for International Trade & Investment, which spoke to traders, small businesses and policy experts from across the UK to understand their perspective on what the administration has done so far.
‘Trade Triangle’ report
A new report evaluating the effectiveness of a trio of the government’s key business strategies – the Trade Strategy, Modern Industrial Strategy and Small Business Plan – has been published today.
Navigating the Trade Triangle, published by the APPG for International Trade & Investment, found that businesses approve of the government’s general approach to supporting businesses, as set out across the three strategies. However, they would like to see the support being delivered as part of these plans simplified and made more accessible.
The report was informed by the testimony of manufacturers, exporters, trade bodies, financial institutions and policy experts, with evidence gathered from across the UK, including in-person sessions held in Teesside, Belfast and Windsor.
The APPG is co-chaired by the Chartered Institute for Export & International Trade and North Point Strategy.
Recommendations
Respondents praised the breadth of support that exists to support small businesses to scale and to sell internationally, but many expressed that the government needs to do more to enable greater access to these resources. One of the key recommendations of the report was to simplify and better “join up” the business support available, including consolidating export guidance into a single service.
This was in addition to establishing better “regional deliver mechanisms” to ensure that the support is fully accessible to businesses across the UK. These mechanisms included providing regional access to research and development (R&D) and key infrastructure, and a recommendation to devolve scale-up funding to combined authorities.
The report touched on other trade growth blockers, including business’ concerns about the UK’s skills shortages. It advocated for stronger partnerships between employers, universities, colleges and local government to develop capable workers with the right skillsets.
Current chair of the APPG, Miker Reader, said that:
“What came back loud and clear is that firms support the direction of government policy, but delivery is what will make or break it.
“If we get regional delivery right, the Trade Triangle can genuinely open up new opportunities for SMEs in every part of the country.”
Cross-government effort
In its exclusive reporting about the inquiry, Politico highlighted a recommendation for the implementation of the Trade Strategy to be a cross-government issue, and not just involving the Department for Business, Innovation, Science and Trade (BIST).
It also noted the report’s call for a more SME-friendly business environment, in which support is better aligned to the realities of small businesses, which still struggle with trade barriers such as customs process, rules of origin and regulatory divergence between markets.
Elsewhere in the headlines
· The FT reports that Russia has been helping Iran develop supersonic missiles in what it calls “one of the most significant known transfers of military technology from Moscow to Tehran”
· Ahead of the next UK-EU summit, foreign secretary Ed Miliband will today be attending a meeting of his EU counterparts in Ireland
· Reports continue to track the ascent of UK long-term borrowing costs, which have reached their highest levels since 1998
Yesterday in Trade
· The UK’s membership of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) was fully ratified following Canada’s approval
· Chancellor John Healey doubled the maximum fine that could be imposed on businesses breaching sanctions as part of a series of measures designed to apply greater pressure on Russia
· Leader of the opposition Kemi Badenoch reshuffled her shadow front bench, including giving former energy secretary Claire Coutinho the shadow trade brief
You can read those stories and more here.
