Sterling
Debate between Lord Bilimoria and Earl of Courtown
The Earl of Courtown
My Lords, my noble friend makes some interesting points. He will be fully aware of how the labour market is responding to the policies of Her Majesty’s Government, with 3.8 million more in work, youth unemployment falling by 46% and over 1 million fewer workless households since 2010.
Lord Bilimoria (CB)
My Lords, will the Minister acknowledge that, although there has been a productivity challenge in this country, the top 10% of our companies are world class, with world-class productivity? The challenge is to invest more in education, R&D and innovation. What is the progress in the industrial strategy towards increasing R&D and innovation expenditure from around 1% of GDP to 2.8%, as in the United States and Germany, let alone Israel’s rate of 4%?
The Earl of Courtown
As noble Lords are aware, the whole point of the industrial strategy is to boost productivity and the earning power of people throughout the UK, as well as encouraging investment in the technologies of the future. The centrepiece of our approach is increased public investment in infrastructure and R&D through the national productivity investment fund. We have increased its total size to £37 billion, but the noble Lord makes a good point.
Foreign Policy: Support for UK Businesses in Global Trade
Debate between Lord Bilimoria and Earl of Courtown
The Earl of Courtown
I cannot answer the whole question, but the noble Baroness will be perfectly aware that the United States is already our largest trading partner.
Lord Bilimoria (CB)
My Lords, I speak as an importer and an exporter. Will the noble Earl accept that 50% of this country’s trade is with the European Union through our free trade agreement and that a further 17% with 50 countries around the world is via the European Union? Now, with the Japanese free trade agreement, the European Union would come to almost 70% of our trade. Will he accept that if we crash out on a no-deal basis, it looks likely that we will jeopardise 70% of this country’s trade?
The Earl of Courtown
My Lords, I refer back to the Florence speech made by my right honourable friend the Prime Minister. Progress is being made in this area. Both sides have agreed that subsequent rounds have been conducted in a new spirit and are determined to work together to reach an outcome that can stand behind and work for our people. We all hope there will be a proper agreement with the European Union, but if not, WTO terms await us.