Business and Labour
The Conservatives pulled off something of a coup yesterday by engineering an impressive list of UK business leaders who stated publicly in The Telegraph that the Conservative-led Coalition Government has been 'good for business and has pursued policies which have supported investment and job creation.
The problem for Labour is that list of signatories includes well-known and respected figures like Duncan Bannatyne who previously supported the Labour Party until Ed Miliband took over as leader.
The other striking fact is that the Coalition Government has managed to create 1.85 million new jobs despite claims by the Labour leadership at the beginning of this parliament that UK unemployment would rise by 2 million.
Little wonder then that Labour is losing the economic argument hands down as Ed Miliband pursues a 'core vote' strategy which is not even trying to win over people and voters who propelled the party to power between 1999 and 2010.
100 business chiefs: Labour threatens Britain's recovery
In a letter to The Telegraph, senior executives from companies employing more than half-a-million people hail Conservative economic policies which they say show that “the UK is open for business”
(Clockwise from top left) Baroness Brady, Tidjane Thiam, Sir George Iacobescu, Duncan Bannatyne, Sir Ron Dennis, Cassie Hutchings, Sir Stuart Rose and T Ramachandran have all signed the letter
By Peter Dominiczak, Political Editor
A Labour government would “threaten jobs and deter investment” in the UK, a coalition of more than 100 of the country’s most senior business figures warn.
In a letter to The Telegraph, senior executives from companies employing more than half-a-million people hail Conservative economic policies which they say show that “the UK is open for business”.
The letter, signed by 103 business leaders, praises David Cameron and George Osborne’s decision cut to Corporation Tax and warns that a “change in course” would “put the recovery at risk”.
Corporation tax will fall to 20 per cent. Mr Miliband and Mr Balls have said that Labour will reverse the cut if the party wins the May 7 general election. When the coalition took office it was 28 per cent.
The letter is the biggest ever endorsement by business leaders of a political party and will further undermine the economic credibility of Ed Miliband, the Labour leader, and Ed Balls, the shadow chancellor.
In a further blow to Mr Miliband, the letter has been signed by at least five business leaders who previously backed Labour, including Sir Charles Dunstone, the chairman of Dixons Carphone and Talk Talk plc, and Duncan Bannatyne, a former star of Dragons’ Den.
The list also includes Peter Grauer, the chairman of Bloomberg, the corporation where Mr Miliband chose to unveil his business manifesto on Monday.
The letter comes just a day after official figures showed that the UK economy is growing faster than expected and that household disposable income in back to pre-2010 levels.
It came as Labour said that it would introduce a new law to ban zero hours contracts for staff after 12 weeks in work, in a move that will further harm it's relationship with British businesses, which has become increasingly strained under Mr Miliband's leadership.
On Monday Mr Miliband faced a backlash from company bosses who had featured in a Labour advertisement about the risks of leaving the EU and he has faced repeated accusations from company bosses that he is anti-business.
In a further blow to Mr Miliband, the letter has been signed by at least five business leaders who previously backed Labour, including Sir Charles Dunstone, the chairman of Dixons Carphone and Talk Talk plc, and Duncan Bannatyne, a former star of Dragons’ Den.
The list also includes Peter Grauer, the chairman of Bloomberg, the corporation where Mr Miliband chose to unveil his business manifesto on Monday.
The letter comes just a day after official figures showed that the UK economy is growing faster than expected and that household disposable income in back to pre-2010 levels.
It came as Labour said that it would introduce a new law to ban zero hours contracts for staff after 12 weeks in work, in a move that will further harm it's relationship with British businesses, which has become increasingly strained under Mr Miliband's leadership.
On Monday Mr Miliband faced a backlash from company bosses who had featured in a Labour advertisement about the risks of leaving the EU and he has faced repeated accusations from company bosses that he is anti-business.
The signatories believe Ed Balls and Ed Miliband will reverse the current corporation tax cuts (Getty Images)
Previous election campaigns have been marked by interventions from business leaders and under the leaderships of Tony Blair and Gordon Brown, Labour regularly received the backing of Britain’s biggest companies.
However, the letter says that the last five years of Conservative-led government have “supported investment and job creation”.
The signatories include senior executives from nine FTSE 100 companies and 21 FTSE 250 companies as well as small and medium sized businesses and entrepreneurs.
On the second official day of the general election campaign:
Dear Sirs,
We run some of the leading businesses in the UK. We believe this Conservative-led Government has been good for business and has pursued policies which have supported investment and job creation.
David Cameron and George Osborne’s flagship policy of progressively lowering Corporation Tax to 20% has been very important in showing the UK is open for business. It has been a key part of their economic plan.
The result is that Britain grew faster than any other major economy last year and businesses like ours have created over 1.85m new jobs.
We believe a change in course will threaten jobs and deter investment. This would send a negative message about Britain and put the recovery at risk.
The executives who have signed the Telegraph letter belong to retail companies including Primark, Iceland, Ladbrokes, Costa Coffee, Ted Baker, Mothercare and LK Bennett.
Consumer brands represented include Kingsmill, Cobra beer, Robinsons, Tango and London Pride.
Well-known signatories include Bob Dudley, the CEO of BP Plc, Tidjane Thiam, the CEO of Prudential Plc, and George Weston, the CEO of Associated British Foods, which own Primark, Silver Spoon, Kingsmill and Ovaltine.
Previous election campaigns have been marked by interventions from business leaders and under the leaderships of Tony Blair and Gordon Brown, Labour regularly received the backing of Britain’s biggest companies.
However, the letter says that the last five years of Conservative-led government have “supported investment and job creation”.
The signatories include senior executives from nine FTSE 100 companies and 21 FTSE 250 companies as well as small and medium sized businesses and entrepreneurs.
On the second official day of the general election campaign:
- Figures from the ONS confirmed that families are better off than when the Coalition came into power and the economy is growing faster than expected.
- BlackRock, the world’s largest fund manager, warned that Mr Miliband will create a “constitutional crisis” if he leads Labour into a power-sharing agreement with the SNP, which would leave Britain like a “pre-crisis Spain”.
- Mr Miliband played a low profile on the campaign trail.
- The Prime Minister said that he “makes no apology” for campaign tactics perceived as negative, including his personal attacks on Mr Miliband.
- Nicola Sturgeon, the SNP leader, said that her party would not support a minority Labour government whe agrees to abandon Britain's Trident nuclear defence programme.
- It emerged the Conservatives will publish their election manifesto on Monday April 13.
Dear Sirs,
We run some of the leading businesses in the UK. We believe this Conservative-led Government has been good for business and has pursued policies which have supported investment and job creation.
David Cameron and George Osborne’s flagship policy of progressively lowering Corporation Tax to 20% has been very important in showing the UK is open for business. It has been a key part of their economic plan.
The result is that Britain grew faster than any other major economy last year and businesses like ours have created over 1.85m new jobs.
We believe a change in course will threaten jobs and deter investment. This would send a negative message about Britain and put the recovery at risk.
The executives who have signed the Telegraph letter belong to retail companies including Primark, Iceland, Ladbrokes, Costa Coffee, Ted Baker, Mothercare and LK Bennett.
Consumer brands represented include Kingsmill, Cobra beer, Robinsons, Tango and London Pride.
Well-known signatories include Bob Dudley, the CEO of BP Plc, Tidjane Thiam, the CEO of Prudential Plc, and George Weston, the CEO of Associated British Foods, which own Primark, Silver Spoon, Kingsmill and Ovaltine.
Bob Dudley of BP
Other signatories, who have signed the letter in a personal capacity, include Lord Rose, the former head of Marks & Spencer, Sir Nigel Rudd, the chairman designate of engineering firm Meggitt, and Malcolm Walker, the founder of Iceland.
Other signatories, who have signed the letter in a personal capacity, include Lord Rose, the former head of Marks & Spencer, Sir Nigel Rudd, the chairman designate of engineering firm Meggitt, and Malcolm Walker, the founder of Iceland.
Iceland's Malcolm Walker (Rex Features)
Labour on Monday launched its business manifesto in London but immediately faced criticism over a full-page advert the party had taken out in the Financial Times featuring quotes from a number of UK business leaders.
However, within hours four of the six company bosses had distanced themselves from the advertisement and Labour because of concerns they were being used for political ends.
Siemens UK, the electronics company, accused Labour of “overstepping the line” and said it had not been told that the quote would be used in a political advert.
Kellogg’s, the breakfast cereal company, said that “eyebrows had been raised” when the quote was used.
Mr Miliband has faced months of criticism from business figures after he criticised the tax status of Stefano Pessina, the Boots boss who warned that the Labour leader would be a “catastrophe” for Britain.
Mr Balls was also embarrassed earlier this year when he failed to name a single businessman that back Labour, instead referring to “Bill somebody”.
Meanwhile, George Osborne on Tuesday hailed official ONS figures which disclosed that GDP has increased by 2.8 per cent over 2014, up from forecasts of 2.6 per cent.
Average household incomes are now higher than they were in 2010, a milestone hailed by Mr Osborne as "good news for families and businesses across the country".
The ONS also disclosed that household spending has grown by 0.6 per cent, or £1.6 billion, in the fourth quarter of last year, driven by a huge rise in people buying life insurance as the economy recovers.
Mr Osborne said: "We've got a hat-trick of good news about the British economy and with 37 days to go the election it's another sign that changing course would put recovery at risk.”
He added: “So voters now face a stark choice: do we stick with a plan which is working, delivering growth and jobs, or do we put all that at risk with Ed Miliband whose policies of more spending, more borrowing and higher taxes will lead to economic chaos."
Full list of signatories:
Labour on Monday launched its business manifesto in London but immediately faced criticism over a full-page advert the party had taken out in the Financial Times featuring quotes from a number of UK business leaders.
However, within hours four of the six company bosses had distanced themselves from the advertisement and Labour because of concerns they were being used for political ends.
Siemens UK, the electronics company, accused Labour of “overstepping the line” and said it had not been told that the quote would be used in a political advert.
Kellogg’s, the breakfast cereal company, said that “eyebrows had been raised” when the quote was used.
Mr Miliband has faced months of criticism from business figures after he criticised the tax status of Stefano Pessina, the Boots boss who warned that the Labour leader would be a “catastrophe” for Britain.
Mr Balls was also embarrassed earlier this year when he failed to name a single businessman that back Labour, instead referring to “Bill somebody”.
Meanwhile, George Osborne on Tuesday hailed official ONS figures which disclosed that GDP has increased by 2.8 per cent over 2014, up from forecasts of 2.6 per cent.
Average household incomes are now higher than they were in 2010, a milestone hailed by Mr Osborne as "good news for families and businesses across the country".
The ONS also disclosed that household spending has grown by 0.6 per cent, or £1.6 billion, in the fourth quarter of last year, driven by a huge rise in people buying life insurance as the economy recovers.
Mr Osborne said: "We've got a hat-trick of good news about the British economy and with 37 days to go the election it's another sign that changing course would put recovery at risk.”
He added: “So voters now face a stark choice: do we stick with a plan which is working, delivering growth and jobs, or do we put all that at risk with Ed Miliband whose policies of more spending, more borrowing and higher taxes will lead to economic chaos."
Full list of signatories:
