British Chambers of Commerce welcomes the Chancellor’s push for growth

The Chancellor’s vow to go “further and faster” than previous governments to deliver growth has been welcomed by the British Chambers of Commerce (BCC).

In a speech on 29th January, Rachel Reeves made a series of announcements including the confirmation of the Government’s support for a third runway at Heathrow Airport, a vow to build “Europe’s Silicon Valley between Oxford and Cambridge” and nine new reservoirs, and to redevelop Manchester United’s Old Trafford football stadium.

Alan Rides said in his SKY interview immediately after the announcement

“The Chancellors’ historic announcement, to support a new runway at Heathrow, the first full length runway in the South for 70 years, will be a springboard for economic growth across the whole of West London and the UK.

“This will bring private sector funding to create around 100,000 new jobs in all industries and is simply historic.

Acknowledging that there will be winners and losers, and all need to be looked after, this once-in-a-lifetime project could be the spark that delivers growth to the whole of the UK economy.

“With Heathrow being the only UK hub airport, this will also help all of the UK for both passengers and cargo (70% of UK air cargo is via Heathrow, which also makes Heathrow the UK’s biggest port by value)

“Many of the companies based around West London are international PLCs, others homebuilders, exporters and cargo and logistics companies. They will all be seeing huge benefits from this, so let’s get behind the project to invest in the UK infrastructure for growth.”

Shevaun Haviland, Director General of the BCC, said: "The Chancellor has laid down a clear marker on her intent to push for growth and these proposals can light the blue touchpaper to fire up the UK economy.

“Expanding our international airport capacity, investing in modern roads and railways, and rebalancing the planning system all send signals that the UK is building for a better future.

“These pledges will make businesses and international investors sit up and take notice. They can lift the gloom that has settled over the economy and give firms real confidence.

“We must also use this moment as a springboard to develop further ambitions around large scale infrastructure. Projects like Sizewell C, additional elements of Northern Powerhouse Rail, the Ely/Haughley rail junctions and the Rampion 2 windfarm must also be greenlit.”

She added that “well-planned, financially and environmentally sustainable” infrastructure programmes boost competitiveness, create jobs and generate lasting economic benefits for regions and the whole country.

“They increase capacity and reduce journey times, forge stronger business connections, expand labour markets and create opportunities for millions,” she said.

“They are a massive stimulus to their local economies.

“They support the obvious industries — construction, manufacturing and logistics

— but they also feed into retail, hospitality for visiting workers and technical support.

“While projects on this scale may take years to complete their economic impact is much more immediate.

“They give firms involved in their supply chains real confidence to start planning and making their own investment decisions.

“But we must make sure the reality does not fall short of the promise. We must have action to back up the words and make sure this commitment sticks. That means getting on with these projects as soon as possible and delivering them quickly and effectively.

“Many firms will have the HS2 debacle in the back of their minds, so we need continued engagement from Government on problemsolving and support to keep these projects on track.

“With many businesses struggling with increasing costs, these proposals must also be backed up by business rates reform, better export support and an employment rights package that works for firms.”