John Prescott says enterprise zones do not work

 
John Prescott Former Deputy Prime Minister John Prescott has cast doubt on job creation in enterprise zones

The former Deputy Prime Minister Lord Prescott has cast doubt on whether enterprise zones will succeed in bringing new jobs to economically deprived areas.

John Prescott was responsible for regional development in Tony Blair's government and he admits to being sceptical about the new generation of enterprise zones.

Speaking to BBC Look North, Lord Prescott said: "They've been tried before under Thatcher. I didn't think they worked too well.

"They can create jobs, but sometimes firms just move from around the corner into an enterprise zone to get the rates etc. The problem is the government scrapped the regional development agencies, which did very well for Hull."

Welcome jobs

Start Quote

They can create jobs, but sometimes firms just move from around the corner into an enterprise zone to get the rates etc”

End Quote Lord Prescott Former Deputy Prime Minister

The government has just revealed the latest wave of new enterprise zones - the largest of which will span the Humber.

Business leaders say the Humber Enterprise Zone will create up to 5,000 new jobs in the renewable energy sector - a welcome figure in an area of high unemployment.

Sites in Hull and North Lincolnshire have been earmarked for the manufacture of wind turbines, from where they can be shipped to offshore wind farms in the North Sea.

Engineering giant Siemens has already named Hull as its preferred site for a turbine plant.

Thousands more jobs could also be created by smaller firms which will service the offshore wind industry.

Relevant skills

On a visit to Hull, the Minister for Cities, Greg Clark said:

Humber Bridge Hull and North Lincolnshire have been earmarked for the manufacture of wind turbines

"People in this area have benefited from skills that are relevant here such as marine engineering and logistics that come with ports operation, so these skills are here and it's very important that people make the most of them."

Companies locating to enterprise zones will benefit from a number of incentives such as tax breaks, business rate discounts, simpler planning rules and the capacity for super-fast broadband.

Expectation is high that these areas can deliver job creation on a grand scale.

Anything less will be seen as a failure.

 
Tim Iredale, Political editor, Yorkshire & Lincolnshire Article written by Tim Iredale Tim Iredale Political editor, Yorkshire & Lincolnshire

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  • rate this
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    Comment number 13.

    Why oh why oh why oh why do you at the BBC continue to give airtime to this washed up, big-mouthed, class-obssessed, two faced dinosaur???

  • rate this
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    Comment number 12.

    What he meant to say: "of course we in gnuliebour truly fracturized the industry and invested billions in a really productive pubic sector, helping millions of poor Poles and building a really strong deficity under Gordon. All this is the usual tory upper-toff payoffs for fat-cat bankers who rob th' wurking class and s**g their secretaries- oops, can we do that bit again, Pauline will kill me...."

  • rate this
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    Comment number 11.

    Time to call time on another scheme that has no proven ability to stimulate growth or real innovation!

    The UK Economy as a whole needs total transformation and the existing political parties have shown they are totally inept at enterprise generation.

    We all know it is time to rebuild British Industry on a massive scale and this will not happen under Conservative/Liberal/Labour leadership.

  • rate this
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    Comment number 10.

    I actually think for once the point He makes about firms relocating is probably true.But is this the best spokesman on this subject that Labour can manage ?
    He is just a constant reminder of previous Government failings.

  • rate this
    -1

    Comment number 9.

    Lord P. may not have been the smartest pea in the pod but while he was in charge of the country during the MP's holiday season, there was no problems in the country unlike Mr C. who managed to allow senior ministers like Osborne, Clegg etc to be on holiday at the same time which lead to riots and a further economic down turn. come back Lord Prescott.

 

Comments 5 of 13

 

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