Cable: Grants aren’t needed to secure cash
Business secretary Vince Cable yesterday said the coalition is committed to attracting foreign investment to the UK but that the days of “irresponsible hand-outs” seen during the Labour administration are over.
He told a UK Trade & Investment meeting the government plans to turn the UK into one of the most competitive business hubs in the developed world.
But he slammed the “bad policy” of the previous government, which he said had left the coalition with a “mess” to clean up.
He also said foreign businesses are “not looking for hand-outs” but are seeking a “stable business environment”.
There was a huge drop in investment into the UK during the recession but Cable claims the UK is now “open for business” again.
He said: “We’re creating policy that makes us very attractive to foreign investors.
“We’re recovering from recession. We plan on offering extremely competitive tax cuts… We will have among the lowest rates of corporation tax in the developed world.”
The UK has more than £1 trillion in foreign investment, second only to the US, which Cable estimates is supporting around 94,000 jobs.
He said investment from the Middle East and Japan has been “one of the great success stories” of British business, saying the links between the Japanese and UK automotive industry should provide a template for future dealings.
He also highlighted the importance of the UK’s creative industries, which he said are a major draw for foreign investors and create thousands of jobs.