NEARLY three-fifths of the growth in jobs under Labour during a decade in power was directly or indirectly created by the state, new research shows.
Across the country as a whole, it says 57% of new jobs created during the period 1997-2007 were state or “para-state” — dependent on government spending .
In the West Midlands these jobs accounted for all of the rise in employment, with no new private sector jobs generated overall. More than 80% of new jobs for women nationally depended on the state.
The research, which was carried out at Manchester University’s Centre for Research on Socio-Cultural Change, concludes that Britain’s business model before the financial crisis in 2007 was “undisclosed and unsustainable”.
“We more or less knew that finance had made a negligible contribution to employment,” said Professor Karel Williams, one of the report’s authors. “We were intellectually curious about the gap between the official figures on public sector employment and what we call the para-state.”
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