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UK.gov stuck in 'old economy' mindset

Time to wake up and smell coffee, says Intellect

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The government is stuck in an "old economy" mindset and is using the wrong tests to check on the health of UK Plc, according to IT trade body, Intellect.

The organisation has warned that continued measurement of the wrong indicators will lead to the wrong policies being written, and says because of this, the country is treading water - unable to move forward.

Ministers looking for quick solutions to this problem should not ask Intellect what it should be doing, just yet. The body is launching a twelve-month research project that will uncover the gaps in government thinking, and suggest additional "new economy" indicators that should be monitored.

"The UK is facing rising competition from low-cost economies using new technologies, highly educated and skilled workforces and mobile capital within a rapidly changing global market," said John Higgins, Intellect Director General.

He argues that the government has failed to act quickly enough to help the UK compete in a knowledge driven economy, and calls for the creation of more supportive policy.

The results of Intellect's analysis of Government's current data collection practices are due for release in early 2005. ®

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