Last year the UK government published its industrial strategy, which, broadly speaking, aims to improve the country’s economic performance, from productivity and wage growth to job creation and regional imbalances.
This strategy, which seems to consciously avoid the more traditional term, ‘industrial policy’, is welcome. But does it go far enough, and what of importance is missing from the strategy?
There are some significant blind spots in the new strategy. One of the most glaring is the neglect of macroeconomics and the level of the exchange rate. Another is, remarkably, the neglect of the manufacturing sector itself, and a necessary focus on reindustrialisation. Continue reading