Pictured above: Will Rogers

Birmingham and Solihull business leaders say the revised improvement in GDP figures to 0.8% announced yesterday should not divert attention from the real challenges facing UK plc.

Will Rogers, policy adviser at Birmingham Chamber Group said: "We are not out of the woods yet and there is still the threat of a double dip recession.  

"The Office for Budget Responsibility has estimated that the public sector spending cuts will result in the loss of 490,000 public sector jobs by 2014/2015.  In Birmingham the total employment reduction, direct and indirect, is predicted to be 19,880, equivalent to 4.1% of total employment.  It is unreasonable for government to expect the private sector to take up this slack unless conditions are created which will encourage businesses to create jobs and wealth.

"The Government must play its part by supporting capital investment. If access to finance continues to hinder the business community, the Government will come under pressure to implement further measures, such as fresh stimulus through quantitative easing that will help grow the economy further. 

 "Less red tape and cutting down on legislation is what Chamber member businesses are asking for."