Prime Minister Keir Starmer has called on global business leaders to "back Britain" during a high-stakes International Investment Summit in London, designed to inject vital funds into the economy following the upheaval of post-Brexit challenges.
Addressing a room of industry giants on Monday, Starmer outlined his vision for a more business-friendly Britain, vowing to "rip out the bureaucracy that blocks investment" and streamline regulations. His freshly elected Labour government aims to strike a delicate balance, being both pro-business and pro-worker, with new workplace protections promised alongside efforts to bolster the economy.
The summit, a key event in Starmer’s strategy to revitalise the UK’s global standing, resulted in securing a reported £63 billion in foreign investment for UK projects. However, much of this funding had been previously announced, somewhat tempering the excitement.
Starmer, who led Labour to a landslide victory in July, is currently facing a dip in popularity, with only 18% of respondents in a recent YouGov poll approving of his government’s performance. Despite this, the Prime Minister remains steadfast in his mission to stimulate economic growth.
"My focus is not the news cycle but the golden opportunity our electoral victory provides," Starmer declared. "Private-sector investment is the way we rebuild our country and pay our way in the world. Make no mistake, this is a great moment to back Britain."
In a bold speech, Starmer pledged to dismantle barriers to development, whether it be homes, data centres, or infrastructure projects. "We will get rid of the red tape that stops us building the future. Every regulator in this country must take growth as seriously as this room does," he insisted, aiming to reshape the UK into a thriving, outward-facing trading nation.
Major green energy deals worth £24 billion have already been announced, including £12 billion from Spain’s Iberdrola and £8 billion from Denmark’s Orsted. On Monday, US firms CyrusOne, ServiceNow, CloudHQ, and CoreWeave added to the momentum with a £6.3 billion commitment to build data centres, while Manchester Airports Group pledged £1.1 billion to expand Stansted Airport.
Summit Shadowed by Controversy
However, the summit was not without its challenges. A high-profile row with shipping company P&O’s Dubai owners, DP World, loomed over the event. Tensions flared after UK officials labelled the company’s employment practices as "unscrupulous" and "exploitative", threatening to derail a £1 billion investment project. Last-minute negotiations salvaged the deal, ensuring that DP World’s expansion of a London container port would move forward.
Despite the presence of around 200 private-sector leaders, many top multinational bosses chose to skip the summit, even with the allure of a closing reception hosted by King Charles III. The timing of the event, just two days after Labour marked 100 days in office, has caused some discomfort in business circles. Attention now shifts to Labour’s first budget, set to be unveiled in two weeks by finance minister Rachel Reeves, where companies are bracing for a potential increase in capital gains tax.
Reeves assured the summit that corporation tax would remain capped at 25% for the entire five-year parliament, offering some certainty to businesses.
As the dust settles, Starmer remains focused on delivering his economic vision, determined that this moment is the catalyst to reset Britain's path to prosperity.
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