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North poised to reap benefits of innovation

Government minister Ian Pearson is charged with transforming Britain into a world leader in new technologies and he could play a key role in shaping the future of the region’s digital businesses. Andrew Mernin spoke to him when he visited the region.

WITH a skills shortage which continues to blight our technology sectors, a games industry in the midst of a mass exodus to cheaper overseas markets and a growing need to upskill the nation to compete with booming Asian economies, Ian Pearson is a busy man.

As Minister of State for Science and Innovation at the Department for Innovation, Universities and Skills, he is charged with transforming Britain into a world leader in new technologies on a commercial and educational level.

On a recent visit to the region, as the Government unveiled its Innovation Nation plan, he spoke to The Journal on the challenges facing digital industries in the region.

“The North East economy has grown faster than the national average over the past two years and that’s demonstrated with the fact that you have a lot of innovation in the North East,” he said.

“The region has a big role to play in helping the UK become an innovation nation.

“It has world-class universities and is very well-placed to take advantage of the changes that are taking place in the global economy – I’m also very impressed with what I’ve heard is going on in Teesside with the process industry through the North East Process Industry Cluster.”

The Government has embarked on a drive to make Britain the best place in the world to run an innovative business – a movement in which the North East could feature heavily.

As well as a burgeoning video games industry, the region’s five major universities continue to flex their innovative muscles by launching more and more courses aimed at turning original ideas into profitable businesses – something which is not lost on Pearson who believes our higher education institutions have a huge role to play in plugging the technological skills gap which has seen North East IT firms struggling to fill high-skilled jobs.

He said: “I’ve seen the strength of the region’s five universities here. It’s also highly important for the North East to ensure that it develops and retains skills through Government programmes by encouraging companies to sign up to the skills pledge.”

According to the Minister, one of the country’s most innovative sectors is the video games industry.

For the North East, which is home to scores of flourishing firms and several heavyweight developers such as Ubisoft and Eutechnyx, the lack of Government subsidies for games businesses is a major hindrance to our economy.

In Canada, France, the US, Australia and China, governments give games firms various financial incentives in a bid to generate investment and jobs through international video games companies.

Unfortunately for our games developers, the same support is not available which has led to the creation of a lobbyist campaign called Game’s Up?

However, Pearson claims Westminster is willing to enter into discussions with industry representatives to come to some form of agreement.

He said: “I think the games industry has proved itself to be incredibly innovative in the UK and we have developed games software through the sheer initiative and brilliance of many mainly young people.

“As a Government we are always open to talking to industry about issues they may have, whether it’s the case for tax credits for research and development, and we need to look very closely at the evidence, but we are open to discussion with games makers.”

BIG INVESTMENT

THIS week the Department for Innovation Universities and Skills announced details of a multi-million pound investment programme to develop large-scale research facilities throughout the UK.

Almost £400m will be made available through the Government’s Large Facilities Capital Fund to provide support for the development of nine multi- disciplinary research projects.

The funding will enable the UK’s Research Councils to meet the costs needed to build new infrastructure and, where necessary, redevelop existing research facilities, to provide world-leading research environments.

Science and Innovation Minister Ian Pearson said: “Investment in the development of cutting-edge research facilities will help retain existing talent and attract the world’s best scientists to the UK.

“Once completed, the facilities given the go-ahead today will rival those of our main international competitors such as the United States and Japan.”

Among the agreed facilities is a £24m plan for a new imaging solutions centre to develop new imaging technologies and a collaboration plan to create a network of European computer systems, providing an internationally competitive resource available to researchers all over Europe.

PAGE TWO: More on the Government's plans for new research facilities.

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