Continuity or change in business representation in Britain? An assessment of the Heseltine initiatives of the 1990s

Britain has a fragmented, overlapping, and underresourced system of business representation. Attempts at reform, however, have proved difficult and largely unsuccessful. A coherent and logical system is relevant, in terms of both an effective dialogue between government and business, and the promotion of competitiveness and productivity. Through interviews and archival evidence, I look at how government has attempted to reform business associations. The main focus is the Heseltine initiatives of the 1990s: I outline the various initiatives taken, reveal the extent to which policy represented continuity or change, and consider whether the initiatives were effective. I show that they had a degree of success but that they would have made greater impact if they had been sustained over a longer period of time. A consideration of the historical context, moreover, suggests there may be limits to the role of government intervention in business association reform

Exploring the use of trade and professional association services

This article examines how the services offered by sector business associations are used and the impact that they offer. A large-scale survey of small- and medium-sized businesses is used to infer how association services operate. An important focus is to determine the level at which the fixed costs of association services are covered: this defines a minimum-size level for associations. This is found to be between one-half and one member of staff per thousand businesses in that sector. This is a fairly low barrier to market entry by an association, which helps to explain the fragmentation of associations. This is further indicated by the existence of declining internal economics of scale and scope for larger association sizes. This suggests that efforts to stimulate association merger and co-operation will continue to meet with limited success.