Labour slams Tory dithering over RDAs

CONSERVATIVE dithering over the future role of regional development agencies is doing a disservice to the business community at a time it can least afford, the Government has said.

Business Minister Ian Lucas, speaking during a visit to Birmingham, said companies needed continuity during uncertain times and if the Conservatives were not clear in their policy over RDAs then they were not acting in the best interests of business.

Opposition Business Secretary Kenneth Clarke said last month that his party was revising its policy over RDAs and that nothing was guaranteed.

Many considered this almost a U-turn on previous policy statements which seemed to indicate that if the Tories came to power then they would dismantle the RDA network.

Mr Lucas said agenices such as Advantage West Midlands had pre-existing relationships with businesses and they offered a regional perspective.

This is something lacking in smaller bodes such as local authorities, which tend not possess the necessary expertise to deliver the right services.

“We have known that the election has been coming for some time and it’s very late in the day to be reversing policy as important as this.

“Issues as important as economic development, the low carbon economy and bringing about change needs expertise and coordinated working,” said Mr Lucas.

The minister said he visited a lot of factories during the course of his work and the influence of the RDAs and their strategies was clear for all to see.

“Business needs certainty and decisions about investment are being taken now and for the next two years. Therefore companies want to know what type of support will be available to them, how it will be delivered and whether relationships will be maintained.

“To bring any element of unpredictability into this is a very bad idea,” added Mr Lucas.

He said Labour’s policy was more straight forward.

“We need stability in order to progress. We will continue to support business and industry right across the UK and the West Midlands in particular.

“We have been through a very difficult 18 months. We are beginning to emerge but the position is still fragile. We need to maintain the support business has in order to secure the West Midlands’ manufacturing base, which is so vital to the British economy,” he said.