Our second installment in the ‘Plan B’ series tries to distill what it is that has made the German economic model so successful and what Britain can learn from it. It argues that the two vital factors that have enabled the Germany economic model two flourish are firstly, the German state knows that it inevitably has a vital role in determining the economic future of the country and does not shy away from this. Secondly, Germany has institutions and institutional arrangements which can embed and control capital to ensure it is harnessed to work in the interests of society. It briefly examines five key areas: local banking, employee empowerment, working hours, employee protection and industrial policy that are emblematic of this approach.