NEPIC chief brands government’s approach to industry ‘disappointing’
25 Nov 2016
North East of England Process Industry Cluster spokesman Stan Higgins has described the Government’s Autumn Statement as “disappointing”, saying more must be done to stimulate economic growth.
The NEPIC chief executive (pictured) criticised the Chancellor’s announcement for talking of infrastructure only in terms of roads and railways and seeking to add “more money to the academic pot” in the belief this would improve the prospects for UK manufacturing.
“This is not how best to stimulate an industrial economy and much more is needed. Secure and affordable energy. Industrial infrastructure that encourages and assists with productivity and investment. A true understanding of cutting edge science and technology that could be used,” said Higgins.
The central role of energy as the raw material of foundation industries needed to be recognised, he warned.
“The chemistry-based industries really do have the capability to rebalance the UK economy and greatly improve our balance of payments through the rebuilding of industrial supply chains. However, this is only possible if it is enabled to efficiently and cleanly use the UK’s raw material assets.”
Smarter and more integrated industrialisation is the only way forward
Stan Higgins, chief executive, NEPIC
While shale gas is an important aspect, UK coal reserves represent one of the biggest opportunities in the world, said Higgins, now that technology has been developed that is capable of extracting coal as an offshore gas and capturing carbon emissions.
Infrastructure that promotes greater integration of energy use, both between industries and with their downstream supply chains, would be a key factor, he stated. NEPIC has lobbied for the establishment of a private wire network on Teesside and tax relief for energy created and used locally by the industries it represents.
The NEPIC chief executive’s critical line on the Autumn Statement comes after a series of welcoming comments from other leading process organisations, including both the Association of the British Pharmaceutical Industry and manufacturers’ trade body the EEF.
However, Higgins said it was essential that government industrial policy was able to maintain and boost the country’s global competitiveness.
“Insufficient integration has the ability to severely damage UK industry further as future investors look to locations where more modern industrial infrastructure exists. Smarter and more integrated industrialisation is the only way forward,” said Higgins.
NEPIC recently submitted a paper to Whitehall outlining the strategic needs of the chemical process industry which can be viewed here.
