Government says it wants “economic growth” – but not for British manufacturers
By Peter Gibbs
Coalition Government ministers continue to sing the praises of the free market and free trade. Recently on the Today programme, Innovation Minister David Willetts informed Radio 4’s listeners that “Competition is good for the consumer.” John Humphrys, the programme’s presenter, reminded Mr Willetts that “competition” in the energy sector had brought nothing but excessively high prices, cartels, and tens of thousands of people – particularly our pensioners – being thrown into fuel poverty!
Whilst supposedly committed to competition and economic growth, Mr Cameron and his ministers seem reluctant to allow British businesses the opportunity to compete on a level playing field. In fact they seem rather keen to award government contracts to our German competitors, as Derby-based railway engineers, Bombardier, found out to their cost. No doubt this is what Mr Willetts means by competition.
So what support is there for British companies trying to compete in the “global marketplace”? Is HM Government, with its commitment to “growth”, helping British manufacturing businesses when they are battling for exports?
One British company, which has exhibited three times at the Hong Kong Electronic Show, received a grant to cover 50% of the costs of its exhibition stand. This grant, however, was not from Britain’s Department of Trade – but from the Chinese government!
Chinese aid
The stand was booked through the company’s China office, and it was Chinese officials who arranged for the payments. Not a bean, and not even a pound, was available from the UK (or should that be Yew-Kay?!) even though the company was selling British-made products to one of the toughest markets in the world.
It seems that the Chinese Communist Party understands the value of free enterprise and British export promotion, even if the British Government doesn’t.
Special arrangements have even been made for the Chinese Premier to visit the stand of this British company at the Electronics Show and to welcome the managing director of the British company personally. How much in grants does the British Government award to those who are following the Cameron exhortation to “go out and sell to the world”, e.g. to China and other “emerging markets”? Answer: zero.
There were 9,000 exhibitors from all over the world at the Hong Kong Electronics Show. But only one British company – and its presence was subsidized by the People’s Republic of China, not the UK. So much for the Coalition’s commitment to “competition” and “economic growth”.
Peter Gibbs is a freelance journalist and an adviser to small & medium-sized enterprises (SMEs).

