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BAD NEWS AND WORSE TO COME!

It was sad to hear that Carpets of Kidderminster went into administration last month, yet another nail in the coffin of Britain’s once proud carpet manufacturing industry. Although based in Stourport, the company is closely associated with Kidderminster, which was once the centre of carpet making in the UK.
In its 1960s heyday Kidderminster was home to over 20 major carpet manufacturing companies whose products were recognised and acclaimed worldwide. Today they are all gone. Their locations, once echoing to the clattering of carpet looms, have been taken over by the likes of Tesco and B&Q. Thankfully, the town’s precious heritage is being preserved by the Kidderminster Carpet Museum Trust, which relies for its very existence on charitable donations.
Fifty years ago Britain boasted scores of companies involved in making carpets, including yarn spinners and allied trades. This was reflected in what was known as the Harrogate Carpet Fair. In 1984, my first visit to Harrogate, carpets still predominated, but the demise had begun. Famous carpet names were disappearing one by one.
Last month we were afflicted by a further stream of more depressing economic data, including a sharp slowdown in UK manufacturing, the worst trade deficit since the Second World War as imports exceeded exports by a new record, plus plunging house prices. As a result experts forecast that next year may be even worse with business failures mounting and further devastation of the flooring industry, including another big contractor among recent casualties.
The Government has the power to provide a financial stimulus to generate growth to help lift the country out of recession. Instead it is determined to slash everything in sight. Cuts are the Conservative credo. Even during the 1980s boom years, Mrs Thatcher’s Tory Government was starving public services of vital investment while giving succour to the banks and financial institutions. Now, with their Liberal Democrat cronies in tow, they risk presiding over a crumbling infrastructure and mass unemployment.
Construction, which could be one of Britain’s major wealth generators, is heading for a double dip recession, according to latest surveys (see page 20). In 18 months nearly 250,000 skilled construction jobs have been lost, including many in flooring.
It’s been clearly shown that every £1 of public spending on construction leads to a GDP increase of £2.84, while stimulating economic growth elsewhere worth £1.84. Yet even this, in addition to urgent appeals from all quarters of construction, has apparently failed to persuade the Government as it prepares to reveal the extent of the cuts in its comprehensive spending review in a couple of weeks.
Widespread deep public anger will hardly be surprising.

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