Before the general election the political parties lulled voters into a false sense of complacency. There was hardly a hint of the draconian cuts that must inevitably now follow. For the Conservatives
and Liberal Democrats, excited to govern, the task could turn out to be a poison chalice. They will be forced to make decisions that are difficult and very unpopular, including savage cuts in public services and tax rises.
Britain faces a period of painful austerity, perhaps on a par with the post-war years after the defeat of Hitler. The Institute of Fiscal Studies has estimated that, to wipe out the deficit, a Conservative government would need to make cuts of over £63 billion. That eye-watering figure is not far short of the entire annual budget for the NHS.
Details of cuts were announced by the government after this issue of CFJ went to press. Hopefully it isn’t a case of simply slashing spending; there must also be clear steps to generate real economic growth. The main parties have traditionally courted the bankers who got us into this mess. To make his mark, the new business secretary Vince Cable must keep the financial institutions at bay and foster the construction sector on which many in flooring rely.
Indiscriminate cuts could further damage the building industry which through the recession lost over 200,000 skilled jobs, including many in flooring. Public spending is the lifeblood of construction and vital for any sustainable recovery. This is illustrated in a recent report (I mentioned last month) revealing that every £1 spent on construction leads to a GDP increase of £2.84, while at the same time
stimulating economic growth elsewhere worth £1.84. Despite the pressures to make savings, the government must invest in key infrastructure projects which will help to
bring about an upturn and leave a lasting legacy for future generations. And in anticipation of a bull market (whenever it occurs) funds must also be allocated for the training of a new generation of skilled workers.
Training has never been a priority for flooring contractors and the recession has become an ideal excuse to avoid it. Sadly, this is very short-sighted. While individual flooring firms cannot influence government policy, they can do a great deal to boost the success of their own businesses. Investing in the skills of their workforces is essential.
The value and benefits of training should be obvious to every contractor, but many still just don’t get it. Untrained workers are less productive, require more supervision, waste more materials, are more prone to injury, are liable to cause problems which are costly to rectify and harm your company’s reputation and are less motivated, etc.
Finding money for training is a no brainer whereas making cuts willy nilly is sheer madness.

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