'Business in South Tyneside'

Financial services. Fashion. Web design. South Tyneside boasts successful businesses in these unexpected sectors, as well as historic strengths in electrical components and marine industry.

Now is the time for public and private sectors to work together to build a brighter economic future for South Tyneside. We know our potential - notably the riverside, but also in small business and new creative industry. We also know our challenges - skills, business development, location.

I believe that South Tyneside can develop economic dynamism as part of a growing Tyne and Wear and thriving North East. To do that we need to combine local entrepreneurialism with a serious attempt to build ourselves into the networks that drive economic development across the region.

It is obvious where we need to start. We need the riverside to combine estuarial and offshore industry with leisure, which is a growing source of employment, as well as enjoyment and housing. We need big projects that have waited for a long time for development to reach fruition - at Harton Quay, at Keppell Street, on Frederick Street.

I hope that Central and Local Government will help business development. At national level we need to keep a stable macroeconomic environment, fending off the dangers of global economic downturn, helping to keep businesses competitive - and of course keeping open our options on the Euro because Europe is such a key trading market for our country.

I also know that Central Government is working hard to stimulate economic activity in areas of economic deprivation. That means, notably, cutting taxes for businesses in areas like South Tyneside, for example by reductions in Stamp Duty and by a new Social Investment Tax Credit.

At local level there is new impetus on planning, on employment support, and on skills and training from local public sector agencies, like the Council, the Small Business Service and the Learning and Skills Council. This is all critical to our future, because in truth there are big opportunities.

I believe the public sector is ready to respond to private sector demand for more skills, better planning policy, better transport and reduced red tape. All are key to our prosperity. When they come together they offer real hope.

South Tyneside has waited for a long time to be proactive in the face of economic change, rather than just sheltering from it. Our old industries may have gone, but old virtues of skill, hard work and entrepreneurialism need to be matched to new requirements for innovation and flexibility.

That is the challenge. I believe we can rise to it.