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‘WORKSHOP OF THE WORLD’

Labour leadership contender Owen Smith promises ‘new industrial revolution’

The challenger to Jeremy Corbyn urged for a focus on 'jobs of the future' in areas like green energy

Owen Smith

LABOUR leadership contender Owen Smith has called for "a new industrial revolution" saying the UK is on the “edge of another recession”.

The challenger to Jeremy Corbyn said he wanted to make Britain into "the workshop of the world" and urged for a focus on "jobs of the future" in areas like green energy.

 Owen Smith said he wants to make Britain the 'workshop of the world'
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Owen Smith said he wants to make Britain the 'workshop of the world'Credit: North News and Pictures

In a speech in Newcastle, Mr Smith also restated his demand for a second referendum to approve the terms of Brexit once negotiations on leaving the EU are completed.

He pledged that if he becomes Prime Minister he would seek to bring about "fundamental structural reform" of the economy.

The Pontypridd MP accused successive governments since the 1980s of allowing manufacturing to dwindle, while favouring the growth of the financial service sector and the creation of low-skill, low-pay jobs.

 He is urging investment in the 'jobs of the future'
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He is urging investment in the 'jobs of the future'Credit: North News and Pictures

Speaking at a tech start-up centre, Mr Smith said: "The unprecedented action taken by the Bank of England to cut interest rates to a 300-year low and expand quantitative easing shows that the British economy is on the cliff edge of another recession, with ordinary people, again, set to pay the price.

"Under the Tories, we face the prospect of our country being the sick man leaving Europe - unless urgent action is taken by government."

Mr Corbyn, who is holding a campaign rally in Bristol later, has called for "radical solutions" such as "injecting £500bn into our economy".

The leftie leader has said he would invest in infrastructure, manufacturing and new industries backed by a publicly-owned National Investment Bank and regional banks.

 The MP is battling to topple Jeremy Corbyn for the Labour leadership
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The MP is battling to topple Jeremy Corbyn for the Labour leadershipCredit: Reuters

It comes as the executive of the shopworkers' union Usdaw have decided to nominate Mr Smith in the Labour leadership election.

It is the second union in a few days to back the challenger rather than Mr Corbyn, following support last week from the steelworkers' union Community.

But the leader has won the backing of other unions including those representing rail workers, Post Office and BT workers and construction employees.

 USDAW chief John Hannett, far right, is backing Owen Smith in the leadership contest
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USDAW chief John Hannett, far right, is backing Owen Smith in the leadership contestCredit: PA

John Hannett, general secretary of Usdaw, said: "Owen Smith offers the best opportunity to unite the Labour party and lead us into government at the next general election. The decision of our executive council reflects that.

"Workers' rights, pay and standards of living continue to be at risk under a Conservative Government that is taking us out of the EU, so it is crucial that we elect a Labour government at the next general election.

"Our members cannot afford years of principled opposition, with a Labour party divided and unable to secure the confidence of voters."

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