In the Budget the Government is planning to announce a package of support for new high-tech industries such as biosciences and renewable energy. However, unlike our competitors in Europe, they are failing to take any action to protect skills in the high-tech chemical industry that underpins all of these new sectors.

A survey of European countries by the Chemical Industries Association (CIA) reveals that all 11 respondents offered some support to companies and workforces to help with short time working and temporary layoffs during the recession.

The survey found that in the Netherlands, public funds are available to cover 70% of the salary costs of permanent workers who are temporarily laid off, or put on short time working and in Germany state funding replaces between 60 and 67 percent of the loss in net income for up to 18 months. There is also considerable support for training or wages Austria, Bulgaria, France, Hungary, Italy, Slovenia and Spain.

This leaves the UK Government alone in not supporting companies who do their best to retain their workforce during tough times.

Steve Elliott, Chief Executive of the CIA said, "We are calling on Government to redirect existing funds into upskilling workers on temporary lay off or short time working. Countries that invest in the essential technical skills of its workforce during the recession will have a competitive advantage over the UK as global trade picks up."

The chemical industry is the start of all manufacturing supply chains, without a healthy chemical sector there cannot be a new industrial activism as promised by the Government.

Contact Name: Fiona Ferguson