Reeves: Businesses at heart of our ‘growth mission’

Reeves said that the Treasury remains open to insights from the business community

• Pramod Thomas
• 30 August, 2024

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By: Pramod Thomas

CHANCELLOR Rachel Reeves has pledged to collaborate closely with business leaders to address economic challenges and boost growth in the country.

In her first meeting with major business organisations since taking office on Thursday (29), including the British Chambers of Commerce (BCC), Confederation of British Industry (CBI), Federation of Small Businesses (FSB), Make UK, and the Institute of Directors (IoD), Reeves stressed that businesses will be central to the government’s economic strategy.

Ahead of the upcoming October Budget, Reeves committed to working in partnership with businesses to “co-design” policies on shared growth priorities.

She said, “I want to continue the strong partnership we built with business in opposition now we are in government to deliver on our shared goal of fixing the foundations of our economy, so we can rebuild Britain and make every part of the country better off.”

She highlighted the approach taken with the National Wealth Fund as an example of this collaborative method. The chancellor announced plans to establish a British Infrastructure Council to advise the government on increasing investment in UK infrastructure projects and to work with businesses to reduce barriers to growth and investment.

Reeves said that the Treasury remains open to insights from the business community, ensuring that their perspectives on opportunities and challenges are considered. She also noted the commitment of the business secretary to include strong business representation in the new Industrial Strategy Council and in consultations on the Plan to Make Work Pay.

Stephen Phipson, CEO of Make UK, expressed support for the chancellor’s emphasis on delivering an Industrial Strategy and stressed the need for further details to build business confidence.

Shevaun Haviland, director general of the BCC, stressed the importance of a balanced fiscal environment that supports business competitiveness and welcomed the focus on infrastructure investment.

Tina McKenzie, policy chair of the FSB, underscored the critical role of small businesses in driving growth and job creation, calling for their needs to be reflected in government policy-making.

CBI CEO Rain Newton-Smith said that businesses are key to economic growth and productivity, and praised the Chancellor’s commitment to co-developing policies with the business sector.

Jonathan Geldart, director general of the IoD, called for a stable tax and policy framework to support business confidence and investment, particularly as the government approaches the upcoming budget.