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UK Economic Growth Strategy – 2025 and Beyond

1. ■ Boost Productivity
• Invest in Skills & Training: Expand vocational training, digital apprenticeships, and reskilling programs in AI, healthcare, and green tech.
• SME Digital Support: Provide tax incentives and grants for small businesses to adopt automation and digital tools.
• Infrastructure: Upgrade transport and broadband infrastructure, especially in underserved regions.

2. ■ Fiscal Policies to Encourage Investment
• Capital Allowances: Offer higher tax relief for business investment in machinery, R&D;,
and clean technologies.
• Simplify the Tax Code: Streamline compliance to attract FDI and boost
entrepreneurship.
• Public-Private Partnerships (PPPs): Fund housing, energy, and transport with co-investment strategies.

3. ■ Export & Trade Expansion
• Strategic Trade Deals: Improve access to EU markets and expand trade with CPTPP and emerging economies.
• Export Support for SMEs: Provide logistics, financing, and market intelligence
assistance.
• Port & Customs Investment: Modernize ports and streamline post-Brexit border checks.

4. ■ Innovation & Technology
• Invest in AI & Life Sciences: Fund R&D; and foster university-industry partnerships. • Spinout Commercialization: Support academic research startups with venture capital
and patent support.
• Green Tech Startups: Provide grants and incubators for climate-focused innovation.

5. ■ Housing and Planning Reform
• Speed Up Planning: Reform housing approval systems to accelerate development.
• Public Housing Investment: Create affordable housing to stimulate construction and
reduce costs.
• Homeownership Schemes: Promote rent-to-own and first-time buyer incentives.

6. ■ Energy Policy & Sustainability
• Scale Renewable Infrastructure: Accelerate wind, nuclear, and hydrogen energy
investments.
• Retrofit Programmes: Improve building energy efficiency and create local jobs.
• Green Workforce: Retrain workers into energy and sustainability careers.

7. ■■ Monetary & Central Bank Coordination
• Interest Rate Management: Balance inflation control with pro-growth lending.
• Access to Credit: Expand regional development banks to fund small businesses.

8. ■■■■■■■ Labour Force Activation
• Skilled Immigration: Enable targeted migration in healthcare, logistics, and tech.
• Affordable Childcare: Support working parents and increase female workforce
participation.
• Health & Wellbeing: Address long-term sickness and mental health through NHS
expansion.

9. ■ Regional Growth & High Street Revival
• Local Growth Zones: Offer tax reliefs and grants in deprived areas.
• Tech Outside London: Fund digital and innovation hubs in regional cities.
• Boost Tourism: Promote UK destinations globally and support the hospitality sector.

■ Summary
Improving the UK’s economic growth requires a multifaceted strategy: smarter public
investment, private sector dynamism, and social inclusion. By investing in people, digital
transformation, sustainable energy, and export capacity—while ensuring stable monetary
policy—the UK can secure long-term, inclusive growth.

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