GDP revision shows need for a long-term strategy for growth says voice of business in Suffolk
29 May 2012
The Chief Executive of Suffolk Chamber of Commerce has called for a longer term strategy for growth on the back of the revised GDP figures published last week.
Gross Domestic Product, the market value of goods and services, shrank by 0.2% last month but the Office for National Statistics (ONS) last week announced the figure was actually 0.3%.
“The revised GDP figure of -0.3% for the first quarter of the year underlines the need for the government to implement a bold, long-term strategy for growth,” said John Dugmore, the Chief Executive of Suffolk Chamber of Commerce. “Over the past quarter, business surveys have shown that companies are more optimistic than many of the economic indicators suggest. Many of our members tell us they don’t identify with such pessimistic statistics and are cautiously optimistic.”
The Suffolk Chamber of Commerce recently told the East Anglian Daily Times that the GDP figures, which pushed theUKback into recession, were ‘unduly pessimistic’ and were not reflective of the views and experiences of businesses in the county.
“Deficit reduction is crucial to our economy, but there are measures that the government can take to free up business to grow,” John Dugmore added. “Firms need to see real deregulation, improved access to finance through the creation of a state-backed business bank, robust infrastructure like transport and energy networks, and ways to help them take on more staff.”
The Leader of the Chamber pointed to local developments such as a record interest in the forthcoming Suffolk Show and the plans for EDF to develop a new nuclear site in the county.
“Business does not need hand outs – they are showing by their actions here in Suffolk that they are prepared to work harder than even to be successful.”
“What they need is a government that will facilitate growth and address market failures where they exist, for example in access to finance. If the government wants businesses to invest and grow at a time of global uncertainty, it needs to generate stability and a better business environment at home by setting business free,” he added.