Digital communications, advanced manufacturing and energy efficiency car and building design were all mentioned in the Chancellor’s investment plans for 2009/10 in today’s Budget.
The Chancellor underlined the government’s commitment to maintain its investment projects to tackle the downturn.
“It is better to grow rather than cut our way out of recession,” said Chancellor, Alistair Darling.
High tech business will be supported by new investment grants totalling £2.5bn.
This breaksdown as £1.5bn for new eco-technology initiatives and a further £1bn to support high tech companies.
The Chancellor committed the government to implement the improvements in the UK’s broadband communications infrastructure as outlined in the Digital Britain Report.
But no specific projects or investment numbers were mentioned.
However, there will be £405m for companies investing in advanced energy-efficient manufacturing technologies.
A further £435m of support will also be available for energy efficiency schemes.
There will be also £525m for new off-shore wind farm investments.
There will also be £100m for local authorities to build energy efficient homes.
“The Chancellor is right to try and paint a picture of how technology can provide the high value jobs and economic growth of the future," said John Higgins, director general at IT and manufacturing industry body Intellect.
"We welcome action on science and STEM (Science Technology Engineering Maths) skills that underpin the knowledge economy; we welcome action on trade credit insurance that will help local electronics and electrical retailers; we welcome the action to fill in the remaining gaps in broadband provision; we also welcome the new Strategic Investment Fund: all these are part of the picture of the UK’s future," said Higgins.
On the business side, the Chancellor also announced measures to help loss-making companies to reclaim more taxes paid in the last three years.
And there was a doubling of capital allowance to 40%.
The Budget also outlined new investment in the skills base, with £260m to be spent on training for school-leavers. This should create 54,000 new places in higher education next year.
The car industry gets a European-style car scrappage scheme where a £2,000 handout is available for anyone scrapping and replacing a 10 year old car.