§ Mr. Stephen O'BrienTo ask the Secretary of State for Trade and Industry if she will make a statement on levels of manufacturing investment. [100085]
§ Alan JohnsonThe level of manufacturing investment as a proportion of manufacturing output in the fourth quarter of 2002 was 9.7 per cent.
Recent difficulties faced by manufacturing are largely the result of the global slowdown, which began in 2001, and increased uncertainty and lower confidence in global conditions have led firms to postpone investment projects.
We are taking action to help manufacturers facing difficult conditions through the Government's Manufacturing Strategy we have developed in partnership with industry. The macroeconomic framework we have established, with low inflation and sound public finances, is 801W creating the right underlying conditions to encourage businesses to increase investment when the global economy recovers.