Introduction: Global investors and CEOs head to London for investment summit
Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy.
Sir Keir Starmer will pledge today to scrap regulation that holds back company investment, as the UK welcomes major business leaders and investors to the new government’s first international investment summit.
Today’s summit will see Labour pitching the UK as a place where economic stability has been restored, creating the right conditions for growth and investment.
Starmer will address CEOs and investors at London’s Guildhall this morning, and vow to do “everything in my power to galvanise growth”. He’ll pledge to end the “chop and change” that has riddled Britain in recent years, deterring investment.
And on the issue of regulation, the PM is expected to promise to look at rules that “needlessly” hold back the investment the country needs, by saying:
“Where it is stopping us building the homes, the data centres, warehouses, grid connectors, roads, trainlines, you name it then mark my words – we will get rid of it.
“We will rip out the bureaucracy that blocks investment and we will make sure that every regulator in this country take growth as seriously as this room does.”
One person’s needless red tape is another’s vital standards, though, and there are fears that cutting regulation could be unsafe.
One union source has likened Starmer’s words to former PM David Cameron’s “bonfire of red tape”, telling us:
“The coalition also had a massive shake-up of red tape, and ended up taking out loads of safety regulations.”
About 200 senior executives are signed up to participate in the summit, as well as a string of cabinet ministers, including Starmer and his chancellor, Rachel Reeves.
The government’s argues that securing new investment from major companies will help it deliver economic growth, create jobs, lift living standards, and make communities and families across the country better off.
It says ministers set to unveil billions worth of major investment deals in AI, life sciences and infrastructure.
According to the Financial Times, Starmer will unveil commitments from the private sector to invest more than £50bn into the economy. Last week, the leaders of the world’s biggest green energy companies got the ball rolling by pledging more than £24bn of new private investment.
The build-up to the summit was marred, though, by the row with Dubai-based ports company DP World, after Louise Haigh, transport secretary, called its P&O Ferries division a “rogue operator” due to its sacking of 800 employees without notice in 2022.
The government rowed back, after DP World threatened to pause a £1bn investment in its London Gateway port, with business secretary Jonathan Reynolds and Starmer placating the company, so the company’s executives should now be attending.
After Starmer gives his speech, he’ll hold a conversation with the former Google chief executive Eric Schmidt, “moderated” by Emma Walmsley, the chief executive of pharmaceutical firm GSK.
Other panels will involve the chief investment officer of Google owner Alphabet, the chair of investment firm BlackRock, Larry Fink, and Amanda Blanc, the boss of insurance group Aviva.
The agenda
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10am BST: UK international investment summit opens
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10.05am BST: Prime minister Sir Keir Starmer gives keynote speech, followed by an “in conversation” event with former CEO and chairman of Google Eric Schmidt.
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11am BST: Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel is awarded in Stockholm
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11.20am BST: Culture Secretary Lisa Nandy hosts a panel on the creative industries
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4.20pm BST: Chancellor Rachel Reeves gives closing speech at the investment summit
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Evening: An investment summit reception at St Paul’s Cathedral attended by His Majesty The King.
Key events
Elon Musk, the world’s richest person, will not be at today’s summit.
It emerged last month that Musk would not be invited, following his controversial social media posts during last month’s riots.
Peter Kyle, the UK’s Secretary of State for Science, Innovation and Technology, has defended Musk’s non-appearance.
He told Sky News this morning that Elon Musk had not attended any investment summits under the previous government either.
Q: So it’s not because he calls the prime minister ‘two-tier Keir’?
Kyle denies it, saying:
Absolutely not. Our PM puts country first, party second, he’s said that numerous times.
Kyle says the summit is focused on companies who are already actively looking to make investment around the world, engaging with them and getting them here.
He says £40tn of global assets are represented in London, looking for places to invest their money; the government wants to showcase the country and win investment.
The first ministers from the British nations are all expected to attend the investment summit, as well as many regional mayors.
Mayor of London, Sadiq Khan, will be there, and says:
“I’m delighted to be attending the International Investment Summit. With a new government, we are reclaiming Britain’s reputation as a magnet for global investment – bringing with it new technology, new ways of thinking and, crucially, new jobs across our country, meaning higher living standards.
“London and the UK are open for business, trade and investment. I will continue working with the Government to forge new partnerships, reset relationships and seize the opportunity to secure long-term investment so that we can build a better London for everyone and deliver the change Britain needs.”
The former England football manager and keen Labour supporter Gareth Southgate is expected at the investment summit today.
Southgate will join actor and director Adjoa Andoh, Lucian Grainge, the chief executive of Universal Music Group, the company behind artists including Lady Gaga and Lana Del Rey, and an executive from Netflix on a panel exploring investment opportunities in the UK’s creative scene.
More here:
Business leaders: We’re optimistic about Britain, and it’s time to invest
Labour have received a boost ahead of today’s investment summit, with 14 top business leaders declaring that Britain has a “very real opportunity” to grow its economy.
Senior executives from some of the world’s largest investors, including Goldman Sachs, JP Morgan, Aviva, Fidelity and Legal and General, have signed a letter declaring they are “optimistic” about Britain’s economic future.
They cite Britain’s traditional strengths – education, the legal system, the City and the English language – before pointing out that “greater stability” makes the country even more attractive to invest in.
The letter says:
Sir, As global investors, we believe that there is a very real opportunity for the UK to grow its economy by attracting international investment. Britain’s educational establishments, legal system, financial services sector and language form the bedrock of a strong investment proposition.
Technological developments, advances in the energy system and greater freedom in capital flows have further enhanced Britain’s position.
With greater stability, its attractiveness is increased even further. We are optimistic about the future of the economy, and believe it is time to invest in Britain.
It’s been signed by: Amanda Blanc, Aviva; Anne Richards, Fidelity International; António Simões, Legal and General; Beatriz Martin Jimenez, UBS; Bernard Mensah, Bank of America; Bill McDermott, ServiceNow; Cath Bowtell, IFM Investors; David M Solomon, Goldman Sachs; Dr Markus Krebber, RWE AG; Filippo Gori, JP Morgan; Jonathan D Gray, Blackstone; Philipp Freise, KKR; Steve Rigby, Rigby Group; and Viswas Raghavan, Citi.
Their point about ‘stability’ will be welcomed by Starmer, who is expected to argue today that stability leads to growth, and that growth leads to stability.
Introduction: Global investors and CEOs head to London for investment summit
Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy.
Sir Keir Starmer will pledge today to scrap regulation that holds back company investment, as the UK welcomes major business leaders and investors to the new government’s first international investment summit.
Today’s summit will see Labour pitching the UK as a place where economic stability has been restored, creating the right conditions for growth and investment.
Starmer will address CEOs and investors at London’s Guildhall this morning, and vow to do “everything in my power to galvanise growth”. He’ll pledge to end the “chop and change” that has riddled Britain in recent years, deterring investment.
And on the issue of regulation, the PM is expected to promise to look at rules that “needlessly” hold back the investment the country needs, by saying:
“Where it is stopping us building the homes, the data centres, warehouses, grid connectors, roads, trainlines, you name it then mark my words – we will get rid of it.
“We will rip out the bureaucracy that blocks investment and we will make sure that every regulator in this country take growth as seriously as this room does.”
One person’s needless red tape is another’s vital standards, though, and there are fears that cutting regulation could be unsafe.
One union source has likened Starmer’s words to former PM David Cameron’s “bonfire of red tape”, telling us:
“The coalition also had a massive shake-up of red tape, and ended up taking out loads of safety regulations.”
About 200 senior executives are signed up to participate in the summit, as well as a string of cabinet ministers, including Starmer and his chancellor, Rachel Reeves.
The government’s argues that securing new investment from major companies will help it deliver economic growth, create jobs, lift living standards, and make communities and families across the country better off.
It says ministers set to unveil billions worth of major investment deals in AI, life sciences and infrastructure.
According to the Financial Times, Starmer will unveil commitments from the private sector to invest more than £50bn into the economy. Last week, the leaders of the world’s biggest green energy companies got the ball rolling by pledging more than £24bn of new private investment.
The build-up to the summit was marred, though, by the row with Dubai-based ports company DP World, after Louise Haigh, transport secretary, called its P&O Ferries division a “rogue operator” due to its sacking of 800 employees without notice in 2022.
The government rowed back, after DP World threatened to pause a £1bn investment in its London Gateway port, with business secretary Jonathan Reynolds and Starmer placating the company, so the company’s executives should now be attending.
After Starmer gives his speech, he’ll hold a conversation with the former Google chief executive Eric Schmidt, “moderated” by Emma Walmsley, the chief executive of pharmaceutical firm GSK.
Other panels will involve the chief investment officer of Google owner Alphabet, the chair of investment firm BlackRock, Larry Fink, and Amanda Blanc, the boss of insurance group Aviva.
The agenda
-
10am BST: UK international investment summit opens
-
10.05am BST: Prime minister Sir Keir Starmer gives keynote speech, followed by an “in conversation” event with former CEO and chairman of Google Eric Schmidt.
-
11am BST: Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel is awarded in Stockholm
-
11.20am BST: Culture Secretary Lisa Nandy hosts a panel on the creative industries
-
4.20pm BST: Chancellor Rachel Reeves gives closing speech at the investment summit
-
Evening: An investment summit reception at St Paul’s Cathedral attended by His Majesty The King.