The shadow city minister says Labour recognises that our financial services industry, both in London and across the country, is one of Britain’s greatest assets and will be key to returning the country to growth
Tomorrow the British people will go to the polls, faced with a clear choice.
Five more years of low growth, stagnant wages and chaos with the Conservatives. Or a vote for stability with a changed, pro-business Labour Party.
The Conservatives claim that their plan for the economy is working. They claim that the chaos and instability wrought by Liz Truss’s disastrous mini-budget was just a blip. That the deep problems Britain faces are down to global events – not the fault of the Conservatives.
The people and businesses of Britain are not so easily fooled.
Britain’s unique exposure to global crises and the reasons we have been hit harder by inflation and rising energy prices than other countries can only be explained by the choices made by successive Conservative governments.
This general election is a chance for the British people to pass judgement on this record of fourteen years of economic chaos and decline.
Fourteen years that have seen peoples’ taxes reach a record high, national debt increase by over 100 per cent and the typical homeowner facing £240 more a month on their mortgage.
If the UK economy had grown at the average rate of OECD economies under the Conservatives, it would now be £150bn larger. This translates into an additional £5,000 for every household, and an additional £55bn more investment in our public services.
Instead, wages are flat, growth is on the floor and public services are on their knees. This is the cost of Conservative government.
Unable to run on their own record, the Conservatives have resorted to announcing unfunded promise after unfunded promise, with no plan or explanation of where the money is coming from.
With the tax burden at its highest in 70 years, British families and businesses simply aren’t buying it.
Britain needs change. And under Keir Starmer and Rachel Reeves’ leadership, a changed Labour Party is ready to provide it. It is Labour that is now the natural party of business.
Over the last two and a half years as shadow city minister I have had the privilege of meeting world-leading financial services businesses both in our capital and across the country.
Labour understands that the future success of our country depends on supporting businesses such as these to grow and thrive, to deliver investment and jobs in every part of the UK.
That’s why Labour’s plan for growth has a renewed partnership with business at its heart.
A Labour Government will build all our plans for the future on the bedrock of economic stability because that’s what our businesses need. This will be underpinned by robust fiscal rules that get debt falling by the end of the parliament, and by respect for strong and independent economic institutions.
And stability will also mean certainty for businesses in our tax system. That’s why corporation tax will be capped at its current rate for the duration of the next Parliament – the lowest rate among G7 economies. And should our competitiveness be under threat, Labour will act to cut it further.
But stability alone is not enough. Under the Conservatives, Britain is the only G7 country with investment below 20 percent of GDP.
Labour’s ambitious plans to unleash business investment – embodied in a modern industrial strategy and a new National Wealth Fund – will see government invest to crowd in ten of billions of private investment in the industries of the future.
And Labour recognises that our financial services industry, both in London and across the country, is one of Britain’s greatest assets and will be key to returning the country to growth.
Earlier this year, after consulting extensively with the sector, I was proud to publish Labour’s Financial Services Review setting out how we would streamline the regulatory burden on the City to unleash billions of pounds in investment.
And Labour won’t shy away from reform to deliver growth. This will start with a major update to our planning system to get Britain building again.
It’s time to turn the page on the economic chaos and decline. Only Labour can deliver the change that Britain needs.
Tulip Siddiq is Labour candidate for Hampstead and Kilburn and shadow city minister