We spoke with Two Cities' Prospective MP Tim Barnes on the role and impact of the City of London within the UK economy. Tim explains
"Different economies around the world have different strengths and weaknesses, things that they're really pretty good at and things that they're not so good at. Over the course of the last few decades, the UK has really come to excel in a whole series of areas which are really about people with deep expertise who are able to not worry so much about the basic cost of labour.
"We've left behind the era where we just specialise in manufacturing jobs of certain types and certain industries that are based on just getting cheap labour and moved much more towards a high yield, high knowledge based economy. So we are global leaders in areas of aerospace, for example, and high-end engineering. That's why all the Formula One teams, or nearly all the Formula One teams - all the good ones anyway - are based in the UK and have major engineering bases.
"It's why we have excellent expertise in areas like special effects. I’m here in Soho, an area with more Oscars for Special Effects than Hollywood. And on the edge of London we have wonderful world class studios like Pinewood and Elstree, and hopefully a few more to come. We've also got in the centre of London, world class restaurants, bars, FnB offers as it’s known.
"It's now a great tourism industry and a wonderful creative sector that is exemplified by world leading institutions from the National Gallery. and the Royal Opera House, right the way through every form of cultural expanse. But it is the City of London that is the great story behind the UK success. I know that it isn't always popular to say that bankers are a good thing, but they are.
"They have two fantastic roles in our society. The first is they provide the finance that helps all the other industries to grow. It's vital that the city flourishes as a centre for capital provision. The ability to borrow, lend and invest money that will help the businesses of the future grow. Now, the City's had a bit of a bad time over the last couple of years, buffeted by the same international forces as have been a problem for everybody else in society. But it's great to see that over the last couple of weeks, the UK markets, those London markets, exemplified by the City, have retaken the position as the number one market in Europe, overtaking Paris and we've seen new listings for the floor, the root business of the Stock Exchange and of many of the markets for the traders, such as, you know, Raspberry Pi, makers of the world's leading small, cheap computers.
"And these processes are things that we all need in order for the country to pay the taxes, because that's the second great thing that the City does - pay so much in tax, it supports a large part of our public sector and we need that engine to grow, to produce the investment for everybody else. And to pay the taxes that is core to our public services. And I'm delighted that over the last couple of years, we've taken meaningful steps to reform, and increase the provision of support for the City through things such as the Mansion House reforms. And I was delighted, as one of the first acts, actually, after I was selected as candidate here in Cities of London & Westminster to have a meeting with some of the Aldermen, from the City of London Corporation and indeed the likely next Lord Mayor to discuss some of what might need to be there, including Mansion House 2. The city is a vital engine of the UK economy.
"We must ensure that it's well supported and it continues to grow, and I'll be delighted to be the MP to represent that and to fight for it in whatever field may be necessary."
You can find out more about Tim via his website.
