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- author, Faisal Islam
- role, Economics Editor
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Ahead of the July 4 general election, dozens of business leaders signed a letter supporting Labor’s economic plans, saying “it’s time for change”.
In a letter published in The Times on Tuesday, 121 founders, CEOs and former leaders from a range of companies across financial services, retail and manufacturing said Labour wants to change and “work with businesses” for long-term growth.
Earlier, shadow chancellor Rachel Reeves is due to deliver her first major speech of the campaign to a crowd of business supporters, including former Conservative voters, in the East Midlands.
She is expected to say she will lead the most “pro-growth Treasury Department” in our country’s history.
Labour is borrowing from the Conservatives to get business leaders to endorse its economic plans.
Ahead of the 2015 election, 100 business leaders endorsed the Conservative Party.
One of them, Malcolm Walker, founder of supermarket chain Iceland, plans to support Labour from now on.
Other former Conservative business letter signatories told BBC News they planned to remain silent amid disappointment over Leader Liz Truss’s mini-Budget, the Brexit deal and general hopes of a change in government.
Among those signing the Times letter are TV chef and restaurateur Tom Kerridge, several small business CEOs, former Heathrow Airport chief executive John Holland-Kaye, JD Sports chairman Andrew Higginson and Wikipedia founder Jimmy Wales.
The CEOs of Britain’s biggest FTSE 100 companies have tended to avoid taking sides in elections, and continue to do so today.
It is also unclear to what extent this group of Labour supporters is representative of business in general, and its industry in particular.
But Reeves believes a public show of support for Labour would demonstrate the party’s credibility to the public.
Some Conservative business figures say there is no effort to produce a Conservative pro-business letter like in 2015.
Advisers to Chancellor of the Exchequer Jeremy Hunt are known to be warning businesses about moving towards French-style workers’ rights if Labour wins.
Some major retailers have expressed concern about the Conservative government’s plans, which include repealing anti-strike laws.
Chancellor of the Exchequer Laura Trott said: “Rishi Sunak and the Conservative Party have a clear plan that businesses can trust.”
“We took bold action to implement the biggest corporate tax cut in modern history.”
“After years of chaos and mismanagement under the Conservative government, businesses want stability and certainty,” the Liberal Democrats told BBC News.
“The Liberal Democrats will launch an industrial strategy to boost investment, reform our dysfunctional business rates system and support our high streets,” a spokesman said.
Drew Hendry of the Scottish National Party accused Labour of “ignoring the most fundamental causes of the UK’s economic decline – the UK is broken and Brexit broke it”, adding: “Only the SNP can fight for a future back at the heart of the European Union.”
The Green Party in England and Wales told the BBC it would “invest in the technologies we need to ensure a sustainable and safe future”.
“We need to ensure our economy works in a way that protects the climate and allows nature to thrive,” said co-chair Adrian Ramsay.
