International Investment Summit

Sarah Jones Excerpts

Thursday 17th October 2024 Commons Chamber

[The Minister for Industry (Sarah Jones)]

The hon. Member for Grantham and Bourne (Gareth Davies) was doing so well. [Laughter.] He was doing so well in the first half of his comments and then he returned to the same old tired lines that got the Conservatives defeated in the general election.

I am so pleased to be closing this debate today, which in a parliamentary context draws to a close a hugely positive and successful week for the United Kingdom. I thank all hon. Members who contributed to the debate. I am disappointed that only one Conservative MP managed to make it here to speak in the Chamber and that nobody from the SNP managed to come. I am surprised that they are not here to welcome the week we have had so far.

The Prime Minister made this Government’s guiding mission clear from day one: we will go for growth at every opportunity, and we are doing that in spades. A week ago today, we launched our landmark Employment Rights Bill to create more secure employment and a happier and more productive workforce. On Monday, we launched our industrial strategy Green Paper, something business has been crying out for, which lays strong foundations for 10 years of growth and investment in our most important sectors. Also on Monday, the Prime Minister hosted some of the world’s biggest investors to show them why, under this growth-driven Government, UK plc will be a blue-chip company that they should invest in. As was mentioned, Elton John was there to speak. I should tell the House that he took no fee—he took no fee. He wanted to come and celebrate with us the commitment of companies from across the world coming to the UK.

Before I talk a bit more about the investment summit, I want to pay tribute to the Members who spoke today, in particular those who made their maiden speeches. As someone who wells up quite often and quite easily, this was a difficult debate for me. There were many moments when we looked up at the Gallery and saw parents and other family members wiping tears from their eyes. It was lovely to see.

I loved the motto of my hon. Friend the Member for Ossett and Denby Dale (Jade Botterill). Working hard and talking straight is a great motto for this new Government.

My hon. Friend the Member for Congleton (Mrs Russell) gave us a wonderful tale of her constituency and its people, including a slightly odd story, I have a say, about Beartown. [Laughter.] But there we go; that’s Congleton!

My hon. Friend the Member for Buckingham and Bletchley (Callum Anderson) gave a great speech, telling us about the importance of Bletchley Park and its influence not just in world war two but on the technical age we are in today, and talking about the advanced manufacturing in his constituency.

My hon. Friend the Member for Banbury (Sean Woodcock) was a Labour Student. I do not know how many members of the Cabinet were Labour Students —I was not—but it is quite a good stomping ground for future Cabinet members. He paid wonderful homage to the people and the place of Banbury.

Diolch to my hon. Friend the Member for Bangor Aberconwy (Claire Hughes) for an incredibly beautiful speech about her constituency, its proud industrial history, and the ingenuity and innovation that it still shows.

My hon. Friend the Member for Bournemouth West (Jessica Toale) spoke without notes and made a really impressive speech. The passion with which she wants to reignite pride in her town and in our country was very well understood.

My hon. Friend the Member for Earley and Woodley (Yuan Yang), who has incredible experience, not least working at the Financial Times, talked about the life sciences in her constituency and how important they are. I look forward to meeting her next week to talk about that more.

My hon. Friend the Member for Vale of Glamorgan (Kanishka Narayan) also spoke without notes. He spoke lovely words about his predecessor, told a lovely story about the history and beauty of his constituency, and paid tribute to his constituents. Many of us have spent many happy days in Barry island—I certainly have.

At the investment summit, £63 billion of investment was announced, more than double what was raised at the Opposition’s summit last year. Iberdrola doubled its wind energy investment in the UK from £12 billion to £24 billion; there was £10.5 billion from Orsted and Greenvolt, and more than £200 million from SeAH Wind. There was £8 billion for carbon capture, which will create 4,000 jobs and support 50,000; £2 billion from Octopus Energy and £1.3 billion from Macquarie for solar projects; £6 billion of new money for data centres, on top of the £10 billion recently committed by Blackstone and £8 billion from Amazon; £1 billion for DP World’s London Gateway, and £200 million for a new freight ferry terminal at the Port of Immingham; more than £300 million for Holtec’s advanced engineering plant in South Yorkshire; £500 million from BMW Group for battery energy storage; more than £2 billion for rail and air projects from Network Rail and Manchester Airports Group respectively; and £400 million for life sciences and healthcare innovation. Moreover, our fantastic Imperial College London will put £150 million into a new R&D campus.

On top of these transformational investments, we have proved our credentials as a pro-business Government. Thanks to the Chancellor’s announcement that the UK Infrastructure Bank would be turned into the national wealth fund, we are catalysing tens of billions of pounds of private investment into the UK’s clean energy and growth industries, including green hydrogen, carbon capture and gigafactories. We are establishing an industrial strategy advisory council, led by Clare Barclay, to help deliver the pro-business environment on which our industrial strategy will depend. We are creating a British growth fund that will fuse pension investments and venture capital markets. We are expanding the Office for Investment to ensure that international investors receive the information and guidance they need to invest in Britain, and we are cutting red tape to remove redundant reporting requirements, while making it easier for companies to re-domicile themselves in the UK—and all this within 100 days of our taking office.

From more rights for a more productive workforce, to a pioneering industrial strategy for our sectors of the future, to scores of investments worth tens of billions of pounds, this Government are delivering change. The last Government’s scattergun approach to growth left our country starved of investment, economically divided and struggling to maintain our competitive edge in the global economy. Growth was anaemic; wage growth flatlined on their watch. Productivity was down; the gap between France, Germany and the United States doubled since 2008. We saw the lowest investment share as a percentage of GDP in the G7, and we ranked 27th out of 30 in the OECD last year. That is on top of the state of the public finances that the Conservatives left us, with public services starved of investment, millions of days of work lost to strike action, and rocketing debt.

However, in just 100 days this Government have already laid down the blueprint for 10 years of growth through our biggest and most innovative sectors; secured £63 billion in new investments that underline our potential as a world leader in renewable energy, life sciences, technology and clean growth; and brought forward a raft of reforms to create a happier, more secure and more productive workforce.

[Adam Jogee (Newcastle-under-Lyme) (Lab)]

The Minister is making a very interesting and important speech, and she has set out exactly what this Government are doing to benefit my constituents. Could she find some time to meet me so that we can discuss how together we can ensure that the people of Newcastle-under-Lyme and Staffordshire more widely can benefit from the investment secured at the summit this week?

[Sarah Jones]

I am always happy to meet and to talk about what more we can do in our next 100 days, and indeed—we hope—our next five to 10 years in government.

Some Conservative Members have questioned whether some of these investments were teed up under the last Government. They know perfectly well that business confidence can rapidly change investment decisions. All the announcements included are of new, firm commitments being made by companies to invest in the UK either when final investment decisions have been taken or when announcements have been accelerated or unlocked because of actions taken and support provided by this Government.

I am sure that Conservative Members will have seen the letter, published in The Times at the start of the week, from five of the world’s biggest banks, joined by private equity firms, insurers and tech giants, saying that it was

“time to invest in Britain”,

and that Britain’s “greater stability” had increased its attractiveness to investment, which was of course a reference to Labour’s decisions when we took office. They concluded:

“We are optimistic about the future of the economy, and believe it is time to invest in Britain.”

The fact that scores of investors attended our summit on Monday, with tens of billions of pounds being firmly committed to new projects, shows that under this Labour Government, business and investors have a great deal of confidence in our growth mission.

[Kevin Hollinrake]

The Minister is talking about confidence, but if confidence is rising, can she explain why the Institute of Directors has stated that confidence has gone from plus 30 in June to minus 7 today?

[Sarah Jones]

The shadow Minister knows that we are working very closely with businesses, business organisations and others to ensure that the changes we bring in grow our economy. We have huge confidence from a raft of people. For every quote the hon. Gentleman can find, I can find 10 that say the opposite. He can pick on one if he wants to, but I suggest that £63 billion does not lie. Let us not forget that our summit on Monday was organised in a matter of weeks. The Conservative party had two years between their investment summits, yet we secured double the amount of investment compared with its summit last year.

To respond to a couple of other points, the Lib Dem spokesperson, the hon. Member for St Albans (Daisy Cooper), rightly mentioned business rates. We are looking at that and will deliver on the commitments in our manifesto. She was right to raise skills, which are a huge challenge for us. We see huge opportunities for growth across the entire country but we must ensure that we have the skills landscape, which is why we are setting up Skills England. She also talked about the national wealth fund and its ability to crowd in funding for the green sector and green technologies; it absolutely will do that.

To summarise, across the House we are united in the belief that Britain needs to facilitate growth. Let us face it, we have been severely starved of it. Only through growth can we keep taxes lower for working people, invest in our public services and create secure, well-paid, high-skilled jobs. Of course, this is against a backdrop of the poor economic inheritance left by the Conservative party, who lurched repeatedly from Prime Minister to Prime Minister, gave us seven growth plans in 14 years, made millions of people pay the price of a Trussonomics Budget and saddled the people of Britain with a low-growth, low-productivity, low-investment economy. The steps that this Labour Government have taken in just 100 days show that we are overturning the Conservatives’ legacy of inaction, stagnation and deterioration, and creating a country of stability, innovation and prosperity.

Question put and agreed to.

Resolved,

That this House has considered the International Investment Summit.