Ecommerce dropped in ministerial reshuffle

The tech industry has reacted with disappointment to the downgrading of the role of ecommerce minister in the post-election ministerial reshuffle.

Industry group Intellect had been calling for a minister with the single remit of boosting the knowledge economy.

Before the election Mike O'Brien's title was minister for energy and ecommerce. But ecommerce has been dropped from the title of the new minister with the brief - Alun Michael - who is listed as minister for industry and the regions.

His portfolio also includes issues such as regional economies, small business and social enterprise, as well as ecommerce and Communications and Information Industries.

Intellect's director of public affairs Tom Wills-Sandford told silicon.com: "I'm disappointed in the portfolio. We thought we had a good case - we were pleased with the announcement of the government's digital strategy which was a step towards our overall goal of the knowledge economy."

He added: "What is really needed is political leadership. Alun Michael is very capable of giving that but he needs the space to give it and with all the other stuff [in the portfolio] he's not going to be able to do that."

Dr Jeremy Beale, head of the e-business group at the Confederation of British Industry, said: "It would be nice to have a knowledge economy minister because what we don't have is someone who will drive across government now we don't have the e-Envoy."

Beale added that Michael was a good choice for the role: "He's no shrinking violet and will fight his corner on the issues."

Jim Norton, policy adviser at the Institute of Directors, welcomed the appointment: "We think Alun Michael is quite good news. He has a track record of tackling tricky briefs and handling them well."

Norton said that an increased emphasis on productivity by the renamed DPEI could be a good thing: "Ecommerce is a tool that should be used to increase productivity."