CBI says Britain risks cycle of low growth without higher investment

Director general to tell ministers they must raise skills, cut red tape and exploit opportunities of green economy

Britain risks becoming trapped in a vicious cycle of low growth and high taxation unless the government takes radical steps to boost investment, raise skills, cut red tape and exploit the opportunities of the green economy, a leading business lobby group is warning.

Tony Danker, the director general of the CBI, will use a speech on Thursday to criticise ministers for a lack of ambition as he outlines a five-point plan to restore the UK's underlying growth rate to the levels seen before the financial crisis of 2007-09.