Prime Minister Theresa May has announced 4 billion pounds ($5.28 billion) of spending on research and development and regional growth strategies, setting out plans to help the economy grow after Brexit. Ciara Lee reports.
How to help the British economy grow after Brexit Prime Minister Theresa May is banking on a new industrial strategy Announcing 4 billion pounds of spending on research and development - Britain wants to carve out a new global role as a leader in areas including artificial intelligence and driverless cars. It also wants to build 300,000 new homes every year. (SOUNDBITE) (English) IG, MARKET ANALYST, CHRIS BEAUCHAMP, SAYING: "I think actually it's the kind of bigger picture thinking you need from a country committed supposedly to being global. It is the kind of thing you need to see pushing on, building more houses, doing more to prove itself, and it remains a major player within the global economy." May wants to stir up some optimism to help her government through the Brexit uncertainty. As usual it didn't take long for questions to turn to Britain's divorce bill from the bloc. (SOUNDBITE) (English) BRITISH PRIME MINISTER, THERESA MAY, SAYING: "We have been very clear that we will honour our commitments. But what I want to see is developing that deep and special partnership with the European Union for the future. And I want to see us moving together." It comes ahead of finance minister Philip Hammond's budget on Wednesday He's battling Britain's persistently weak productivity. (SOUNDBITE) (English) IG, MARKET ANALYST, CHRIS BEAUCHAMP, SAYING: "There is very little room for manoeuvre for the Chancellor. A lot of the departments where he's tried to put tax cuts on, they've been pushing back." The new funding is part of a push to create more skilled, high-paying jobs - to protect it against Brexit. But it's only playing catch up - other leading economies are already spending as much as Britain on R and D.