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Precision engineering will not be part of 'Betamax economy'

Story added 14 January 2009.

The UK needs to harness the strengths of industries such as precision engineering if it is to emerge from the current economic downturn, a leading minister has said.

Commenting on his decision to support the industry, Peter Mandelson continued his discussion on the future of British industry after the credit squeeze, taking the podium in yesterday's issue of the Independent.

He said that success stories anointed before they happen will result in a "Betamax economy" and as a result, people should think realistically about the future of the employment market, including the next steps taken by biosciences and precision engineering.

Mr Mandelson continued: "But we do know broadly what we need to be good at: being smarter and more innovative and creative and more flexible and adaptive and confident and entrepreneurial than the competition. That is where jobs will come from."

However, the Confederation of British Industry said the sense of living on borrowed time is "palpable", adding that the scale of the problem is much worse than the government wishes to address.

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