25th January, Reykjavik. Political Crisis <ul><li>January: Iceland's government became the first global political casualty of recession </li></ul><ul><li>February: Latvia’s government felt following violent street protests </li></ul><ul><li>March: Hungary PM Ferenc Gyurcsany resigned last week after strugling to impose austerity measures requerid under the termas of a 2 billion $ baillout FMI </li></ul><ul><li>April: Check PM Mirek Topolanek lost vote of confidence (in the mid of EU Presidency) </li></ul>
Governments: Two Sets of Challenges <ul><li>The first set: the challenge of a deepening recession with all the frustrations, fears and dilemmas it's bringing – whether to nationalise banks, what to do with toxic assets, and how to stop major employers disappearing </li></ul><ul><li>The second set, less visible but no less pressing, are the slower burn challenges of ageing, climate change, diversity and poverty . </li></ul>The solutions to the first set of challenges need also to address the second.
<ul><li>Banksy, West Bank, Sept 2008 </li></ul>
A Time to Fix the Future A Manifesto for Recovery through Innovation
Fixing the Future: 10 Principles <ul><li>Reshape recovery plans to address the long-term challenges that Europe faces, in particular adaptation to climate change, ageing and chronic disease </li></ul><ul><li>Prioritising sectors with the prospect of jobs growth - including health and care, education, environmental services, tourism and the creative industries. </li></ul><ul><li>Promoting pluralism and local creativity , shifting investment to many small scale local and regional initiatives rather than putting all resources into grand but risky national projects </li></ul>Cities need quick learning on how to mitigate recession
Fixing the Future: 10 Principles <ul><li>Investing in innovation with a significant share of investment directed to creating new products and services, including innovation in the public, social, educational, creative and tourism sectors. </li></ul><ul><li>Banking on entrepreneurship , whether through tax incentives and guarantees, or provision of space for microenterprises </li></ul><ul><li>Support new infrastructures , accelerating investment in the decisive new infrastructures for the future, like universal high speed broadband and low carbon energy grids </li></ul>“ It’s leadership rather than ownership that matters” (J. Schumpeter)
Fixing the Future: 10 Principles <ul><li>Promoting solidarity : Social spending needs to be sustained through the crisis, as the precondition to preserving solidarity </li></ul><ul><li>Rewarding responsibility by reshaping policies to support those institutional and private investors who have invested long term in sound enterprises with high standards of governance and risk management </li></ul><ul><li>Mobilising public creativity by using the radical potential of web 2.0 and social networks to develop public ideas for mitigating the impact of the recession . </li></ul><ul><li>Learning fast with more systematic ways of evaluating and learning from Europe and the world about what works . </li></ul>“ The future’s already here – it’s just unevenly distributed” William Gibson
“ The financial and economic crisis makes social innovation even more important to foster sustainable growth, secure jobs and boost competitiveness .” Jose Manuel Barroso President of the European Commission January 2009 http://europa.eu/rapid/pressReleasesAction.do?reference=IP/09/81&format=HTML&aged=0&language=EN&guiLanguage=en