The Coronavirus pandemic has hit the country incredibly hard and the GDP numbers we saw, and continue to see, are sobering. The Plan for Jobs, announced by the Chancellor in July, is a key way for us to kick-start our recovery across all sectors.
It brought with it the Eat Out to Help Out scheme that supported pubs, restaurants and cafes across Burnley as customers came back – increasing both confidence and demand; the Kickstarter Scheme, which began this month and will support young people just about to embark on their career; and the Job Retention Bonus to encourage firms to bring back, and keep, furloughed workers. If every furloughed worked in Burnley was brought back to work that would represent a £13 million capital injection into our local businesses, allowing firms to re-tool, diversify and re-train staff in technologies of the future.
It’s also clear though that some sectors have been hit harder than others and aerospace is amongst those. With the global slowdown in air travel there is limited demand for aircraft and engines and that is now impacting the whole supply chain.
Since the pandemic began, I have been engaging with Government Ministers, trade groups, unions and others about the impact to the sector – working to ensure that we are doing what we can to re-stimulate the sector.
That’s why, last weekend, I invited Amanda Milling MP to visit one of our local aerospace companies. As a Minister who attends Cabinet, she is well placed to ensure our specialist skills are highlighted right at the top of Government.
This week we also held a debate in Parliament on aviation, recognising its strategic importance to the UK and seeking out ways that we can support it not just over the next few months but for years to come.
During the debate I highlighted a number of proposals which I am continuing to discuss with Ministers which I believe will help restore both confidence of the sector, allowing for investment in new technology and skills, and demand.
Amongst those is an aircraft scrappage scheme, encouraging airlines to transition to newer, cleaner, aircraft. That would kick-start the supply chain in getting firms back to work in building new aircraft, new engines and retaining the skilled workforce we have.
The Job Retention Scheme has provided vital support to businesses and people over the last few months – keeping employees tied to their employer ready for when business demand picks up and people can go back to work. But it is only by stimulating demand, and increasing business confidence, that we can protect jobs in the long-term.
I have also asked the Government to look seriously at a new wave of enterprise zones across the country, including one in Burnley. Using these zones would allow us to stimulate business confidence in investment, providing incentives for greater research & development, job creation and additional infrastructure.
