In reaction to the spending review, the Society of Motor Manufacturers and Traders (SMMT) is encouraged that, whilst challenging decisions had to be taken, government committed to prioritising areas that will generate growth including ultra-low carbon transport and skills.
“Across industry, businesses have had to take difficult decisions on how to make best use of limited resources and we welcome government taking a similar approach to ensuring long term stability for the economy,” said SMMT chief executive, Paul Everitt. “While some measures will require even tighter budgetary control, industry is supportive of decisions that promote our products and the UK as an attractive place to do business.”
In his review, the chancellor made green investment a priority, describing his ambition for Britain to be a leader of the new green economy. SMMT welcomes government’s commitment to the Green Investment Bank, the Regional Growth Fund and supporting jobs in low carbon industries.
Plans to increase the availability of adult apprenticeships by more than 50%, as part of the focus on skills and education, is a positive initiative. However, industry is disappointed that the successful Train to Gain scheme is to be abolished.
Next week, secretary of state, Philip Hammond MP will announce details of how the review will impact on the Department for Transport and over the coming month the Department for Business, Innovation and Skills will outline how its resources will be allocated. SMMT will liaise closely with these departments to understand the detail of future plans and their impact on industry.