Black Country business leaders have put a warning shot across the bows of all political parties in the run up to the General Election in May.
They are not convinced by Government efforts to boost exporting and want more constructive support.
In an exit poll taken at the presentation of the Black Country Chamber of Commerce quarterly economic survey, over two thirds of those attending said that current government policy and initiatives made no difference to their chances of exporting successfully.
Johnathan Dudley, Midlands managing partner and national head of manufacturing at audit, tax and advisory firm Crowe Clark Whitehill, who presented the Chamber’s latest results, said the findings sounded a cautionary note to all parties currently working on the business aspects of their manifestos.
“Among those attending, 72 per cent said they felt that government lending initiatives such as the Funding for Lending and Enterprise Finance Guarantee schemes had no material effect on lending.
“Only 28 per cent felt that these initiatives had helped increase lending,” he said.
When it came to support for the Regional Growth Fund there was slightly more support for central government with 61 per cent believing it was having a positive effect on the economy against 39 per who sent who felt it was making no real difference.
And the event also challenged a number of other preconceived notions.Fears that a rise in the minimum wage would lead to a loss of jobs were countered with 72 per cent believing it would have no effect and only 28 per cent believing it would lead to a reduction in head count locally.
And worries that a referendum vote to come out of Europe would have a major impact on business were largely discounted with 50 per cent believing the debate would have no impact against 39 per cent who felt it would.
Johnathan Dudley said: “There were strong feelings expressed but what was most encouraging was the reaction to two questions about the level of confidence for 2015 – regardless of the drag effect an election year can often have.
“Some 66 per cent were confident about growth in 2015 with 17 per cent feeling negative and 17 per cent unsure.”
And businesses are taking a sanguine view of politics, with nobody expecting an interest rates rise before the election, and 72 per cent expecting rates to go up in the aftermath.
“While the results of the surveys both current and historic are generally encouraging there are still two areas that I feel are major causes for concern.
“Despite the plethora of grant schemes and soft loans available, awareness of these initiatives and how to apply for them remains low among West Midlands businesses, and as the unemployment figure continues to drop, finding the right staff with the right skills is becoming more difficult.
“Skills and funding, as well as more concrete and constructive export initiatives, are the areas where we must be vigilant in the Black Country and wider Midlands region,” said Mr Dudley.
