>>how Europe is working for UK business - Denis MacShane, Minister of state (Europe)
As Europe Minister, I enjoy the opportunity to travel the UK and speak to British business about the benefits they are gaining from a single market of 450 million people. I also value discussing business concerns over what impact EU legislation and changes in Europe will have. Politicians talking in Westminster is one thing, but it is business that drives our relationship with Europe.
First, Europe matters to the food and drink industry, because the industry matters to the UK. Here’s why: three million people in this country are employed in the retail sector. In Yorkshire & Humberside, which includes my own constituency of Rotherham, food and drink is the second largest economic sector, employing more than 200,000 people.
More widely, between 1992 and 2002, the single market has generated nearly E900bn in extra prosperity.
Second, the EU has brought about a breadth of significant legislation:
n Saving money - goods move freely across Europe. For example, abolition of Customs duties saves British businesses £135m a year.
n Protecting business - one in four bankruptcies in the EU are caused by late payments. The EU has one set of rules for all member states to address this issue.
n Cutting bureaucracy - UK companies can protect their trademarks and designs with a single application for EU-wide registration.
Then there are general rules from fair and open competition and health and safety to specifics. The EU is undoubtedly working for business, yet media stories continue to fall under the fantasy reporting category, such as the shape of cucumbers.
The EU expansion this year to 25 countries demonstrates my point. Before May 1, newspapers were full of stories about floods of migrants and concerns that British business would suffer. But when I travel around the UK I find optimism and dynamism. There will always be cheaper labour somewhere, but single market countries compete on a level playing field.
Competition is good for Britain and good for Europe. Take William Jackson & Son, which I visited in Hull last month. The company exports its bread to France, Germany, Greece, the Netherlands, Scandinavia and Spain. And why does it lead the way in its field? Not through low wages but because of technology, talent and innovation. This is how British business can
reap the benefits of an enlarged Europe. Christopher Oughtred, group chairman of William Jackson, tells me the company no longer thinks in terms of UK sales and exports. All sales are sales, and all customers are the same. Oughtred credits this simple change of mindset with making a vast difference, and I hope it is one that is repeated throughout the industry.
The European single market’s greatest achievement is that it turns the EU into prosperous ‘domestic’ markets. Suppliers and retailers have many opportunities. The Grocer’s recent report on Central Europe (October 9) highlighted the success of Tesco, which pre-empted EU expansion.
And it’s not only big players who benefit. Mr Lucky Bags is a confectionery supplier that has featured in The Grocer. This 12-year-old Stoke-based company has pushed into
Europe by obtaining licensing rights to big names like Action Man and Barbie.
Now, the latest issue the British media has been in a frenzy about is the new EU constitution, which gives Westminster the power to scrutinise every proposed EU regulation to see if it’s really needed. This means parliament, government and industry can work together to ensure regulations offer protection without placing an unnecessary burden on business.
Mr Lucky Bags couldn’t succeed if its toys could be counterfeited without redress in France, if Estonian companies didn’t have to implement similar health and safety standards, or if customers in Spain weren’t protected from shoddy goods, like the UK.
The EU does this through a single market and a constitution will ensure it continues to work in the interests of the retail industry.
As Europe Minister, I enjoy the opportunity to travel the UK and speak to British business about the benefits they are gaining from a single market of 450 million people. I also value discussing business concerns over what impact EU legislation and changes in Europe will have. Politicians talking in Westminster is one thing, but it is business that drives our relationship with Europe.
First, Europe matters to the food and drink industry, because the industry matters to the UK. Here’s why: three million people in this country are employed in the retail sector. In Yorkshire & Humberside, which includes my own constituency of Rotherham, food and drink is the second largest economic sector, employing more than 200,000 people.
More widely, between 1992 and 2002, the single market has generated nearly E900bn in extra prosperity.
Second, the EU has brought about a breadth of significant legislation:
Then there are general rules from fair and open competition and health and safety to specifics. The EU is undoubtedly working for business, yet media stories continue to fall under the fantasy reporting category, such as the shape of cucumbers.
The EU expansion this year to 25 countries demonstrates my point. Before May 1, newspapers were full of stories about floods of migrants and concerns that British business would suffer. But when I travel around the UK I find optimism and dynamism. There will always be cheaper labour somewhere, but single market countries compete on a level playing field.
Competition is good for Britain and good for Europe. Take William Jackson & Son, which I visited in Hull last month. The company exports its bread to France, Germany, Greece, the Netherlands, Scandinavia and Spain. And why does it lead the way in its field? Not through low wages but because of technology, talent and innovation. This is how British business can
reap the benefits of an enlarged Europe. Christopher Oughtred, group chairman of William Jackson, tells me the company no longer thinks in terms of UK sales and exports. All sales are sales, and all customers are the same. Oughtred credits this simple change of mindset with making a vast difference, and I hope it is one that is repeated throughout the industry.
The European single market’s greatest achievement is that it turns the EU into prosperous ‘domestic’ markets. Suppliers and retailers have many opportunities. The Grocer’s recent report on Central Europe (October 9) highlighted the success of Tesco, which pre-empted EU expansion.
And it’s not only big players who benefit. Mr Lucky Bags is a confectionery supplier that has featured in The Grocer. This 12-year-old Stoke-based company has pushed into
Europe by obtaining licensing rights to big names like Action Man and Barbie.
Now, the latest issue the British media has been in a frenzy about is the new EU constitution, which gives Westminster the power to scrutinise every proposed EU regulation to see if it’s really needed. This means parliament, government and industry can work together to ensure regulations offer protection without placing an unnecessary burden on business.
Mr Lucky Bags couldn’t succeed if its toys could be counterfeited without redress in France, if Estonian companies didn’t have to implement similar health and safety standards, or if customers in Spain weren’t protected from shoddy goods, like the UK.
The EU does this through a single market and a constitution will ensure it continues to work in the interests of the retail industry.
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