A new political landscape

As of 5 July we have a new government and a quite different set of MPs in Essex. For all of us, there will be new policy initatives to get used to, following the King’s Speech and a raft of new announcements. The Chambers will continue to engage with local MPs, maintaining relationships with those returning to Westminster and supporting those new to the House of Commons so that they can become familiar with the business landscape and the concerns of local businesses as soon as possible. Where previously Essex was represented by 18 Conservative MPs, there are now 10, alongside 5 Labour, 1 Liberal Democrat and 2 from Reform. This is probably a richer mix than most counties.

Devolution is back on the agenda, with the government making it clear it would like devolved arrangements across the country. For Essex this means reviving and updating the proposals which were developed over the past couple of years for a devolution settlement covering Essex County, Southend and Thurrock – which ultimately could not command sufficient support among MPs and local authorities to go forward before the election. The business community was very disappointed with this outcome but we have another opportunity now. The Chambers is very involved with the three local authorities in putting together a new business board which will have genuine influence over the direction of a growth strategy for Essex. A slidepack sets out the key points in regard to the devolution process.

The government announced the launch of a new body - Skills England - to bring together the fractured skills landscape and create a shared national ambition to boost the nation’s skills. The Chambers has led the production of the Local Skills Improvement Plan (LSIP) for Essex and will continue to be deeply involved in addressing the skills needs of the Essex economy, working with the grain of these new arrangements (themselves critical to the growth strategy which will be taken forward under devolution). Skills are crucial to economic growth, with a third of productivity improvement over the last two decades explained by improvements to skills levels – but between 2017 and 2022 skills shortages in this country doubled to more than half a million, and now account for 36% of job vacancies.

The government has also announced a new National Planning Policy Framework. The British Chambers of Commerce, to which the Essex Chambers is affiliated, has given this a qualified welcome, believing the framework has the potential to unlock the planning system in England and boost economic growth, but recognising that the proof of success will be judged in its delivery and outcomes.  Whilst it welcomes plans for more housing where it is needed, it must not come at the expense of land for business use, which is sorely needed to release firms’ pent-up ambitions to expand. The government’s clear intention to speed up the planning system for large scale infrastructure can feed business confidence, if it can be delivered.

We will want to watch closely how this and indeed all the new policy initiatives and changes bed down and work - or don’t work - in practice so any reactions or comments are always welcome. 

Please feel free to contact me at iainmcnab@essexchambers.co.uk.