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20/01/04

Intellect says, "Government must do more to support knowledge driven economy"

Intellect, the trade association for the UK hi-tech industry, has today called on Government to develop a pan-Government policy framework designed to enable the UK to achieve its knowledge driven economy aims.

Giving evidence to the Trade and Industry Select Committee inquiry 'Progress Towards a Knowledge Driven Economy', Intellect Director General, John Higgins, Deputy-President, John Woodget and Board Member, Phillip Hargrave argued that technology is a key enabler of the knowledge driven economy - the power tools of its construction.

Commenting following the meeting John Higgins, Intellect’s Director General said, "Intellect firmly believes that technology underpins the tools and processes needed to support a knowledge economy and is fundamental to process and product innovation across all industries and government."

"The benefits of technology however, will not be achieved unless it is implemented with the necessary skills and understanding of change management processes. Education of policy makers on how to best utilise technology to reach knowledge driven economy aims is essential and regulatory impact assessment must be improved to ensure that technology can be fully exploited to the benefit of UK plc."

In facing these challenges, Intellect has identified clear objectives and priorities, for Government and Industry, informed by the White Paper and subsequent experience, these objectives were laid out during today’s committee:

  • The need to articulate a clear vision for where we would like the UK to be in five years time.
  • The development of a policy framework across Government, driven by No.10 and Treasury, to achieve knowledge driven economy aims.
  • To put in place a single Ministerial 'owner' of this "big picture" based in The Treasury, matched by a single owner (on the industry side).
  • The need to recognise and exploit the importance of technology as an enabler for the knowledge driven economy.

The response to the Trade and Industry Select Committee is the first stage of the Intellect's Campaign "Technology - Enabling the UK Knowledge Driven Economy".

Background
In September 2003 the Trade and Industry Select Committee announced that it was to review progress towards the Government's objectives set out in the 1998 White Paper "Our Competitive Future: Building the Knowledge Driven Economy".

This paper was created under Peter Mandelson’s tenure within the Department of Trade and Industry. It aimed to outline the role Government and Business needed to play in order to close the performance gap between the UK and other major trading nations. This aim was set within the context of an increasingly competitive global market and the rise of the "knowledge driven economy".

Knowledge, skills and creativity were identified as the most valuable assets, fundamental to designing high value goods and services and advanced business practices.

The White Paper stated "The programme of action announced in the Competitiveness White Paper represents only the first steps in the Government’s drive to make the UK a world leader in the digital economy". Intellect believes that this inquiry provides the ideal opportunity to review and refocus the objectives set out within the paper.

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