Eventia delegates in Glasgow this morning heard there will be fundamental change in the drivers of growth for the UK economy.
A strong focus on private sector, profit-driven growth, rather than the public sector will resonate throughout the events industry, explained Henley Business School professor Dominic Swords, who has worked for the Bank of England.
"The amount of squeeze being put on the public sector is much bigger than that required to deal with the deficit," said Swords, speaking at the SECC in Glasgow.
"I don't think they should have cut things so far. The rise in VAT then wouldn't have been so necessary.
"It will fundamentally shift growth drivers away from the public sector to the private sector. But SMEs are winners. Firms with flexible mindsets will realise where the growth is happening and be quick to move. SMEs will really rule the roost over the next seven years."
However, Swords warned there was not going to be an easy ride ahead, with more Government cuts to come over the next five years.
"There will be a temptation this year to be focused on sales and growth, but if you only do that then you risk not being at the next Summer Eventia," he said. "You need to stand back and look at where the opportunities are."
Growth is likely to be achieved through global relationships, leading to export business, and in areas of high tech manufacturing, added Swords.
At the opening of Summer Eventia, immediate past chair Mark Taylor handed over to his successor, Mark Saxby.