Philip Booth appeared on The Daily Politics to discuss Britain’s disappearing manufacturing sector. He argued that there had been a natural decline in the UK's manufacturing sector, which has been replaced by a rise in the service industry.
Britain shares a similar income from manufacturing as France and the USA and Philip Booth argued that in a global, capitalist economy, it is important that countries specialise in where they have a comparative advantage. Whilst economies such as Germany focus on manufacturing, Britain specialises in a diverse service industry. These services can be traded on a global scale in the same way as manufactured goods.
Rather than picking “winners”, Philip Booth argued that the government should have a horizontal industrial policy that supports all businesses and industries. Low regulation and low taxes would allow UK businesses to thrive, trade and prosper.
Watch the full interview here. Segment starts at 47.13.