From the file marked ‘no sh*t Sherlock’ comes the report from the Independent Review of Economic Policy (IREP) which is critical of InvestNI, the organisation tasked with improving the business environment in Northern Ireland.
Reading the report it would appear that it’s not a reorganisation that is required but a wholesale clear out of staff and a reassessment of priorities. The list of dubious decisions include the fact that of the £3/4 billion invested since its creation, InvestNI has
- spent less than 10% in attracting new business to Northern Ireland (FDI) and yet they have offices in 14 locations outside of Northern Ireland and manage to run numerous trade missions around the world.
- spent 40% on business expansion projects despite the fact that this money was largely invested in already profitable companies
- given 33% of the total invested to only 10 companies and only 3 of these are locally owned
- effectively driven down wages by encouraging call centres to come to Northern Ireland because of it low costs
The responses to the report seem to prove the disconnect from reality InvestNI suffers from
“As a Board, we are encouraged that many of the recommendations in the Report are consistent with changes which we have lobbied for in recent years. In particular, increasing our focus on innovation and increasing levels of R&D, widening the reach of our support for business and encouraging the development of higher added-value sectors are all central elements of our current Corporate Plan.”
Stephen Kingon, Chairman of Invest NI
So the chairman’s response to the report that says you’re not doing enough for innovation, nor investing in a range of business, nor raising waging is to say that it’s encouraging that Invest have noticed the same failings as the report.
“This is illustrated by performance in the first half of this year when, despite still being in a period of recession, almost 1,600 separate offers of assistance have been made, offering almost £70m in support towards planned total investment of £237m by our clients who, with our support, are continuing to take steps to preserve their current position and plan for future market recovery.”
Alastair Hamilton , Chief Executive Invest NI
More numbers with no explanation of why they’re good. Has the £70m been used to support local companies, or improve innovation or secure jobs or what? These might look good in the press office but in the real world they mean nothing without evidence of how they’re actually contributing to the economy not only today but tomorrow.
As a closing point, the report itself doesn’t set the bar too high.
“Furthermore, a more commercially orientated view would help switch the emphasis from Innovation and newness per se toward the introduction of products and processes new to the region. Hence the encouragement of imitations, adaptations, improvements and adoptions of products and processes into the region would appear to be much more relevant to the promotion of productivity growth in NI than the pursuit of newness per se.”
This is from a report which suggests more innovation and R&D are essential but recommends that copies and a few tweaks with probably do instead. Why did they bother?