Labour Pledges to be More Pro-Business Than Blair, Plans £22B Green Investment

The Labour Party, led by shadow chancellor Rachel Reeves, has pledged to be the "most pro-business government the UK has ever seen." Reeves plans to raise £22 billion in private investment for green energy projects and work closely with businesses to drive economic growth and tackle climate change.

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Labour Pledges to be More Pro-Business Than Blair, Plans £22B Green Investment

Labour Pledges to be More Pro-Business Than Blair, Plans £22B Green Investment

Rachel Reeves, the shadow chancellor, has pledged that a future Labour government will be more pro-business than Tony Blair's administration. Reeves plans to raise £22 billion of private sector investment in green energy projects in the UK. She stated that business groups and financial institutions will be involved in key decision-making as part of Labour's mission to make the UK the fastest-growing economy in the G7.

Reeves emphasized that if she becomes chancellor, the next Labour government will be the most pro-business administration the country has ever seen. "We're going to grow the economy by understanding business," she said. Labour intends to commit £7.3 billion in public funding to attract £22 billion in private investment for new and risky green technologies, with the government acting as a 'backstop' to guarantee the purchase of green hydrogen.

This marks a shift from previous Labour parties, but Reeves believes it is the best way to improve living standards and achieve the country's potential. She hinted that the party would listen to concerns over its plans to reform workers' rights, saying the policy has to work for businesses as well. Labour is considering increasing workers' rights, such as offering rights from the first day of employment and ending zero-hour contracts, though Reeves said they will consult with businesses to find suitable solutions.

Why this matters: Labour's pro-business stance and ambitious green investment plans could significantly reshape the UK's economic and environmental landscape. The party's commitment to working closely with the private sector signals a new approach to driving growth and tackling climate change.

Reeves' consultative and business-friendly approach would be replicated across Whitehall, with ministers working to cut through public sector red tape. She stated, "The government's 'No 1 mission is to grow the economy' and that they will work closely with businesses to understand their needs and unlock private sector investment across all sectors." Labour's overall focus is on creating a business-friendly environment and collaborating with industry leaders to foster economic growth and improve living standards in the UK.

Key Takeaways

  • Labour pledges to be the most pro-business UK govt ever seen.
  • Plans £22B private investment in green energy via £7.3B public funding.
  • Aims to make UK the fastest-growing G7 economy, consult businesses.
  • Considers expanding workers' rights, but seeks business-friendly solutions.
  • Labour's pro-business stance could reshape UK's economic, climate landscape.