CBI calls for more technology

bankers-2The Confederation of British Industry (CBI) has called for companies to splash out on technology to close the productivity gap between the UK and neighbouring countries.

In a move which can be quoted by sales teams, the CBI said that there were significant reasons for companies to adopt a more technological framework and called on the government to help out.

In a new report, with the slightly surreal title “From Ostrich to Magpie”  the business group is urging the government to make funds available for small businesses to invest in technologies such as cloud, mobile technology, e-purchasing and cybersecurity.

The report said that the UK’s productivity lags almost a decade behind that of Denmark in some areas, and is behind France and Germany.

Encouraging more businesses to behave like ‘magpies’ – by picking the best tried-and-tested technologies on the market – rather than ‘ostriches’, would help reduce inequality between UK firms’ productivity and add over £100bn to the UK economy, the report argues.

CBI director-general Carolyn Fairbairn said the diffusion of technology had been a “serial blind spot” for the government in its efforts to boost productivity.

“At a time when the public purse is tight, encouraging new technology uptake is one of the most effective routes to raising productivity”,  she said.

“With the government committed to creating a Shared Prosperity Fund using funds previously allocated to EU membership, there are few better priorities than this for where to invest it.”