Starmer vows bonfire of red tape to get Britain building ahead of investment summit

Sir Keir Starmer will promise a bonfire of red tape to get Britain building as he gathers global chief executives at an investment summit in the City of London on Monday.

The prime minister is pledging to “rip out the bureaucracy that blocks investment” and ensure regulators prioritise economic growth in their decision-making.

It comes as five of the world’s biggest banks joined private equity firms, insurers and tech giants in declaring it is “time to invest in Britain”.

They said increased political stability since Labour’s general election win made the UK a more attractive place for investment. In a letter to The Times, they added: “Britain’s educational establishments, legal system, financial services sector and language form the bedrock of a strong investment proposition.

“Technological developments, advances in the energy system and greater freedom in capital flows have further enhanced Britain’s position.”

The group, which includes bosses from JP Morgan, Goldman Sachs, Bank of America and UBS, said: “We are optimistic about the future of the economy, and believe it is time to ­invest in Britain.”

Laying the groundwork for a wave of deregulation, Sir Keir will say: “We’ve got to look at regulation where it is needlessly holding back the investment, to take our country forward.

“Where it is stopping us building the homes, the data centres, warehouses, grid connectors, roads, train lines, you name it, then mark my words – we will get rid of it.”

After a chaotic first 100 days in government, Sir Keir will pitch to business leaders attending the gathering that Labour’s historic election win has given the government a “golden opportunity… to end chop and change, policy churn and sticking plasters that make it so hard for investors to assess the value of any proposition”.

He will tout the value of a steady, stable government, saying: “We have the determination, the focus on clear, long-term ends, a mission-led mindset that thinks in years, not the days or hours of the news grid, needed to unlock that potential. Do not doubt that.”

Sir Keir will plead for additional investment from business chiefs, telling them “private sector investment is the way we rebuild our country and pay our way in the world”.

Sir Keir will be joined at the historic Guildhall in the City of London by chief executives from Blackrock, GSK and pioneering automated driving start-up Wayve.

The summit will see ministers and business leaders take part in sessions discussing how the UK can boost growing industries such as AI, clean energy and the creative sector.

Attendees will then be invited to an exclusive reception at St Paul’s Cathedral with the King.

The summit was hit by controversy on Friday after a key attendee, Dubai-based DP World, threatened to pull out over disparaging comments made by transport secretary Louise Haigh about its subsidiary P&O Ferries.

Ms Haigh had called the firm a “rogue operator” and said it should be boycotted over its sudden sacking of 800 British seafarers in 2022, replacing them with cheaper, mainly overseas, staff.

After a 24-hour scramble inside Downing Street which saw Sir Keir distance himself from Ms Haigh’s comments, DP World confirmed its chair Sultan Ahmed bin Sulayem will attend the summit and a planned £1bn investment in the capital would go ahead.

Part of the PM’s deregulation drive will see the competition watchdog ordered to prioritise growth, investment and innovation in its work. He will also launch a review of the remit of other major regulators to ensure they are focused on growth.

Ahead of the summit, Downing Street said it had secured £24bn of private investment commitments from firms in the clean energy sector. Consumer health firm Haleon has announced a £130m investment in a new global oral health innovation centre in Weybridge, Surrey, to coincide with the summit.

The event has been welcomed by various business leaders who are attending. Wayve chief executive Alex Kendall said he was “delighted to join the inaugural International Investment Summit”.

“The UK has a strong opportunity to lead in Embodied AI, especially in automated vehicles. We look forward to continuing to work with the government to harmonise global regulations and scale UK innovation internationally,” he added.

Google owner Alphabet’s chief investment officer, Ruth Porat, added that Britain is “well-positioned to capture the many opportunities that AI can deliver”.

Ms Porat added: “The Investment Summit is an important moment to reflect on the progress to date, and how to best position the UK as a global leader in AI, with the economic and societal benefits this transformative technology can deliver today, and in the years ahead.”

Ahead of the summit, Sir Keir appointed Poppy Gustafsson, former head of cybersecurity firm Darktrace, to be his new “investment minister” in a bid to demonstrate the government’s commitment to strengthening ties with business.

She said: “It’s never been a better time to invest in Britain. This summit is a hugely significant moment to showcase the UK’s economic strengths on the world stage and I’m delighted to be part of the government’s important work to drive growth and investment across the UK.”