"Manufacturing must be at very core of British economy" Thurso

12.00.00am GMT Wed 2nd Dec 2009

Manufacturing not financial services is the critical bedrock of a mixed and stable economy according to John Thurso MP. The Lib Dem Business spokesman and member of the influential Treasury Select Committee was speaking today at Westminster in a debate on the future of British manufacturing.

Extolling the performance of businesses in the north such as Kirker Europe, a European leader in nail varnish manufacture, based in Invergordon and the subsea 7 base just off Wick, John was gently critical of other speakers' pessimism in terms of the manufacturing industry. Britain is after all still the 6th largest manufacturer in the world and with a lead in areas of future importance such as the tidal power industry.

For all the strengths of British manufacturing it does face serious challenges as well as opportunities. One of the lessons of the current crisis is "that capital is a scarce resource, and if it is being consumed in never-ending circle of speculation in the City, it is not available for investment."

In terms of innovation and training too manufacturing faces problems. As the green economy takes on ever greater importance world wide Britain could well face a serious shortage of people with the necessary skills to push it forward as the Government fails to encourage people to take up engineering and technology.

John Thurso said: "It is time for the Government to understand the real priorities for the British economy. We need a secure manufacturing base, and, in my view, we need it more than we need a financial services industry. The sooner we get that, the better."

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For full text of the debate click here.