The CBI (Confederation of British Industry) is calling on the Government to deliver a clear strategy to ensure the UK’s creative industries can flourish and help lead the economic recovery.
Launching its new report, Creating growth: A blueprint for the creative industries,the UK’s leading business group stressed the vital economic contribution of creative industries, including TV, film, art, fashion, media and design.
It is estimated that these industries contribute between 6 and 8 percent of GDP, account for £16bn of overseas trade each year and employ nearly two million people. The sector also significantly enhances the UK's cultural reputation globally, underlining the vitality of the UK economy.
The CBI believes the UK’s creative sector, which is the biggest in Europe, can play a crucial role in rebalancing the economy and delivering high growth. For that to happen, the business group says the Government must deliver the right conditions for the sector to thrive and create new jobs.
Speaking at a launch event in London last week, CBI President Helen Alexander said: “Some of the biggest and most successful companies in the creative world are British-based, British-born or British-bred, including fashion designers, publishers, computer games makers and blockbuster film studios.
“Our creative industries are critical for rebalancing the economy, reducing the deficit and delivering growth, but the sector is in the middle of structural change. The spread of digital technology and the growth of the online environment mean business models are shifting fast.
“Making sure our creative industries remain world leaders will require action from the Government to deliver the right business environment for the sector to flourish.”
The CBI says Government action should focus on the following areas:
- On competition policy, we need a modern, forward-looking regime that reflects the new digital environment.
- On skills, government policy should include what is needed by creative businesses and ensure these are being delivered by the education system.
- On intellectual property, the Government must provide certainty about the IP regime so companies can derive value from their rights. It must also be active in international forums, since IP is a global issue.
- On tax, we need a competitive framework that promotes start-ups, innovative and high-growth businesses. Given that many creative businesses are highly mobile, we need policies to ensure talent does not go elsewhere.
- On the finance front, it can be difficult for creative firms to access the capital they need to get their products off the ground, especially when they can come with unproven revenue streams. The Government must work to ensure that access to finance does not become a barrier to growth for creative industries.
- On infrastructure, there needs to be a policy framework that will encourage market-led investment in quality, high-speed internet.