The Institute of Directors has this morning published an important report on how growth can be boosted without costing the Exchequer a penny. Measures include:
- Earmarking proceeds from sale of state-owned banks for key infrastructure projects including transport and energy projects that are unlikely to proceed on the basis of private capital alone (more at the WSJ);
- A new £500 employee deposit in employment tribunals to deter vexatious claims (Boris Johnson examines the industrial tribunal system today);
- Creation of a genuine fast-track planning system for key national projects to boost the construction sector and replace ageing infrastructure;
- End national collective bargaining in the NHS and Education sector to drive up productivity;
- Boost confidence by making an explicit commitment to reduce ratio of public spending to 35% of GDP by 2020.
Miles Templeman, Director-General of the IoD, commented:
“The Government wants to maximise the opportunities for economic growth but it has little or no money with which to do it. Today we have identified two dozen growth boosting measures that will cost taxpayers little or nothing. By adopting these measures, the Government’s growth strategy would be enhanced immediately. We urge ministers to seize this opportunity. The Government’s deficit reduction strategy is central to improving growth prospects and the overall business environment, but the Government also needs to reform the supply-side of the economy to boost the private sector. Many of the measures we have proposed today are long overdue and would improve the UK’s infrastructure and the functioning of its labour market.”
PS Via Google the following headlines can be found describing the IoD report:
- Institute of Directors lays out growth blueprint to Treasury
- IoD urges employment and planning shake-up
- UK IoD: Profits On Bank Stakes Should Be Spent On Transport,Energy
- 'Axe' public sector union rights
- IoD: reform employment laws to help companies
- IoD: cut taxes and red tape
- Institute of Directors put forward growth plan.
Guess which one came from the BBC? Yep, the most negative one. Headline number four. The BBC continues to struggle to understand enterprise.
> The IoD's Graeme Leach is one of the participants in next week's ConservativeIntelligence Going for Growth Conference. Other speakers include David Gauke MP, Iain Martin (WSJE), Mark Littlewood (IEA), John Redwood MP, David Willetts MP and Nadhim Zahawi MP.