{"text":[[{"start":6.4,"text":"Speaking, perhaps inevitably, in his home base of Manchester, Britain’s prime minister-in-waiting Andy Burnham on Monday outlined a 10-year vision for the country that was heavy on plans to devolve power from Westminster, reindustrialise the economy and revive high streets. As a political exercise, it arguably hit the right notes. The central message will undoubtedly resonate with “left-behind” regions that have increasingly turned to Nigel Farage’s poll-leading Reform UK party. But whether Burnham’s radical localism will be enough to lift the country out of its long-running economic malaise is the bigger question."}],[{"start":43.9,"text":"An ambitious devolution plan can be part of the answer to driving faster productivity growth. The UK is one of the most fiscally centralised nations in the rich world. This contributes to its vast regional economic inequalities, and helps to explain why the country’s second cities lag so far behind their international peers. Greater regional autonomy would allow policy to be tailored more closely to local needs, while giving local authorities a stronger incentive to foster economic growth. "}],[{"start":72.9,"text":"But how decentralisation is delivered matters, too. If local authorities are to drive growth they will need the resources, personnel and, above all, the right tax and spending tools. National levies will also need reforming. The taxes that many regions can currently tap for funding, including council tax and business rates, are poorly designed to begin with. Burnham will need to set out more detail beyond his gimmicky proposal for a “No 10 North” coordinating body — his plan to move part of the Downing Street operation to Manchester. Otherwise, his agenda risks becoming little more than a rebrand of previous governments’ unsuccessful attempts at “levelling up” regional economies."}],[{"start":115.65,"text":"Either way, devolution is a long-term project. It should not become a distraction from the more immediate need to rebuild private sector confidence. On this front, Burnham has sensibly reiterated his commitment to sound public finances and Labour’s fiscal rules. That said, business and investors will remain concerned that higher tax rates, particularly on capital gains, may be needed to fund his costly plans to bring utilities, housing, transport and energy further into public control. "}],[{"start":145.3,"text":"Businesses want to hear more from Burnham about how the Greater Manchester authority has supported the city region’s revival by empowering the private sector, through policy stability, looser planning rules and the pursuit of foreign direct investment. In his speech he emphasised the more socialist elements of what he dubs “Manchesterism”."}],[{"start":165.65,"text":"On industrial policy, his ambitions to boost young people’s technical skills, build up industrial capabilities in critical sectors and use public procurement to support the growth of UK companies are all sensible ideas. But Burnham must define more clearly what he means by backing “re-industrialisation” or it risks turning into yet another wasteful and poorly targeted growth strategy, spanning everything from the steel sector to town centre retailers and life sciences. Indeed, his speech made little mention of how he would strengthen Britain’s existing comparative advantages in financial services and technology, and align the country to future growth sectors. AI was notably absent."}],[{"start":205.7,"text":"Burnham’s emphasis on devolution speaks to a genuine structural problem in the UK economy. But it is no panacea for the country’s long-running struggle to raise productivity. What the country needs is a forward-looking growth model, centred on the private sector, rather than the statist and industrial nostalgia that coloured large parts of his foundational speech."}],[{"start":234.7,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1782803302_9443.mp3"}