Business group calls for clear growth plan to attract investment post-election.
The Confederation of British Industry (CBI) has urged the incoming UK government to prioritise a robust economic growth strategy within the first 100 days of taking office. With a turbulent few years behind UK businesses, the CBI stresses the need for a comprehensive plan to draw investment and secure sustainable growth.
Following the General Election in July, the business group is calling for immediate action, particularly in light of the challenges posed by rising interest rates, which have hit a 16-year high of 5.25%, and a fragile consumer market after high inflation levels.
Rain Newton-Smith, CBI’s chief executive, emphasised that the government must act swiftly to revitalise ‘brand Britain’ and boost the UK’s competitive edge in global markets. She stated, “The first priority should be sharpening the pitch for investment in the UK to ensure we remain at the top for global investments.”
The CBI is urging the new administration to focus on three critical areas: tax, planning, and the labour market, all within the first 100 days. By addressing these key enablers, the government can provide a clear roadmap for businesses to thrive.
“Now is the time for bold leadership,” said Newton-Smith. “We need a fresh investment strategy that not only supports the UK’s competitiveness but also tackles our climate commitments and unlocks opportunities in the green energy sector.”
In its pre-election “business manifesto,” the CBI also called for a net-zero investment plan, aimed at creating jobs tied to energy security and efficiency. Additionally, the organisation highlighted the importance of aligning future industrial and trade strategies with regional priorities to harness the potential of UK regions and local mayors.
Newton-Smith pointed out that the UK economy has endured multiple shocks in recent years, from Brexit to the COVID-19 pandemic, and now the global energy crisis. As a result, economic efforts have focused more on stabilising than on growth.
“However, a change in government presents an opportunity to shift focus and prioritise the long-term decisions that can secure a decade of sustainable growth for the UK economy,” she concluded.
