Key facts
- Andy Burnham will host business leaders in Downing Street on Monday to advocate for a "culture shift" to support entrepreneurs.
- The government aims to present itself as a "partner for growth" offering a stable investment platform.
- Burnham stated Britain has the potential to succeed but needs a change in its business approach.
- Attendees at the event include founders of Octopus Energy, Revolut, and Starling Bank, as well as CEOs from HSBC, Rolls-Royce, Morrisons, BAE, and Shell.
- Burnham and Chancellor John Healey are considering options for their first Budget on October 28.
- The UK economy grew by 0.4% in July, but rising energy costs may have slowed momentum in subsequent months.
Andy Burnham will host business leaders and entrepreneurs at Downing Street on Monday, calling for a "culture shift" to unlock Britain's economic potential. The government aims to position itself as a "partner for growth" and a stable platform for investment.
Burnham stated that Britain possesses the necessary elements for success but requires a change in its business approach. He emphasized the need to support risk-takers, company founders, job creators, and innovators, ensuring ambition is rewarded and businesses have the confidence of government support.
The event will feature a roundtable with founders from companies like Octopus Energy, Revolut, and Starling Bank, followed by a reception for chief executives from major British businesses including HSBC, Rolls-Royce, Morrisons, BAE, and Shell.
This gathering occurs as Burnham and Chancellor John Healey prepare for their first Budget on October 28. Healey faces economic headwinds, including rising borrowing costs and persistent low growth, despite a 0.4% economic expansion in July. Economists caution that rising energy costs may have impacted growth in August and September, potentially creating a "Budget headache" for Healey.
Burnham and Healey are committed to fiscal rules requiring day-to-day spending to be covered by taxation and overall government debt to fall as a share of the economy by 2029/30. They are also bound by Labour's manifesto pledge not to increase income tax, national insurance, or VAT.
Shadow business secretary Julia Lopez MP urged Burnham to cut welfare spending to enable tax reductions for businesses and stimulate economic growth, criticizing Labour's current approach as detrimental to businesses and the job market.