UK management have long been devoid of vision.
But I do not think you can ascribe that to New Labour - as much as I hate them, I think it has been a generic British thing. Yes, New Labour helped out in certain ways (IR35, for example) - but I think the UK would not have been much better off under the Conservatives - or any other government, for that matter.
There are simply not enough UK managers who have come from an engineering background - people who possess that unique and important trait - curiosity - that is so important in driving a technology business forward. Many are still distrustful of IT, so much so that IT has become a dirty word in many management groups - and management want to be seen as having distanced themselves as much as possible from IT.
In computing terms, I have long thought of the UK as being a "read-only" nation. They love shiny Apple products and Sony PlayStations, but have zero interest in learning how to make something better. It seems that many in the UK still regard technology as something to be played with, rather than something that is actually worth learning about. This is why inventors will continue to flock to other countries, where their technical knowledge is actually taken seriously by the people with money.
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