CBI: Political change makes for uncertain future for businesses

News Article - 03 January 2007
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Businesses will face uncertainty in 2007 amid political change, according to the Confederation of British Industry (CBI).

A new prime minister and bolstered Conservative party must ensure that they do not take the business sector for granted over the next 12 months, the CBI's president Martin Broughton has said.

"As UK firms face intensifying global competition, stability on the domestic stage is increasingly important. The coming year will see significant changes in British politics," he said.

Such changes will create prospects for businesses but will also generate uncertainty as the sector attempts to plan strategies and long-term investments in the midst of political variation.

Speaking on the first day in his new role as CBI's president, Mr Broughton said that business is likely to experience a positive reaction to initiatives which enable companies to increase their abilities to carry out their jobs.

However, "politicians cannot afford to take business for granted, any more than companies can take political or public trust for granted," he added.

Last month, the director of CBI Scotland advised the nation's political parties to focus on what they could achieve in 2007 rather than "well-rehearsed" discussion on constitutional reform.

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