Social policy sits in a different bucket from industrial strategy and often reacts to the consequences of economic change rather than proactively working to ensure that economic opportunity delivers a wider social dividend. To create good growth we need to exploit the interconnectivity between industrial strategy and social policy.
The coming green industrial revolution which will be a far greater force than any government regeneration funding. In the Humber region there is forecast to be £15bn of private investment decarbonisation alone. As a country, reaching net zero will be worth up to £1 trillion to UK businesses in the years to 2030.
We have an opportunity to make sure it leads not just to economic prosperity but also flourishing communities. This is about more than jobs, it is about communities having a stake in the economic future, agency in the decisions that will shape their hometown, opportunities to be part of the upside and a sense of pride and shared identity in the emerging industries.
To do this we need to have business as an equal partner in this endeavour – reimagining the role of business and investment so that it works for local areas. We are developing a new approach to bringing businesses into a wider movement for change in the area. We are working on a model of what it means to be rooted in a local area in the 21st Century, and this year we will be collaborating with local businesses, employees, and business leaders to develop and demonstrate a new way of working between businesses, government, and local communities.
In Grimsby, we are starting with a blank piece of paper to develop new approaches that use money well. For example, we have been working with Sustainable Ventures, a leading Climate Tech Incubator, to understand the long-term green economy opportunities of the region and innovation models that could deliver locally rooted economic prosperity. Alongside this we have worked with legal experts to understand how traditional investment models can be adapted to benefit places over the long term.
Government and policymaking needs to enable and promote an equal and imaginative collaboration between citizens, business and state that backs places to thrive as we transition to a green future. You can read about all of the principles and the approach in this essay