Liz Truss has beaten Rishi Sunak to become the new Conservative Party leader and Prime Minister, seeing businesses and organisations react.
David Findlay, lead director for Nottingham at JLL, said: “Businesses in the East Midlands will be hoping Liz Truss’s confirmation as Prime Minister signals a return to the priorities set out by this Government in 2019. Ensuring the £1.14bn devolution deal signed last week is delivered upon will be top of the wish list for many as a means of levelling up the region, but it’s not the only ask they’ll have.
“Companies in the East Midlands also need the confidence to invest to grow in the coming years. Only by seeing a significant spending uptick in infrastructure, transport links, education and Net Zero schemes in the region will firms feel able to recruit and commit to the East Midlands as a base for business in the long run. A new government means a fresh start, but action is needed sooner rather than later.”
Ben Dorks, CEO of Ruddington-headquartered global software business Ideagen, said: “The immediate focus for the new Prime Minister has to be the cost-of-living crisis, which is impacting every inch of society. Longer term I’d like to see policies that enable British businesses to remain competitive globally, leading to jobs and growth, plus a commitment to initiatives that promote greater social mobility and aspiration for young people, especially those from lower income communities.”
East Midlands Chamber Chief Executive Scott Knowles said: “We would like to congratulate Liz Truss on winning the Conservative Party leadership vote to be appointed Prime Minister and wish her all the best in the role as she seeks to take our country forward.
“She will be well aware there is a mountain of pressing issues awaiting her on arrival at 10 Downing Street but we would urge Ms Truss to prioritise the escalating energy prices that are the most significant factor in the twin crises in the cost of doing business and cost of living.
“While we understand there is no easy remedy, the worsening economic projections being published daily mean we can’t afford to wait any longer without practical support measures being put in place. Without them, we risk businesses being forced to scale back or shut down altogether – resulting in people losing their jobs and livelihoods.
“We would hope to see an immediate announcement that energy bills will be frozen at an affordable level for both households and businesses. Exclusively tackling residential energy bills would only solve half of the problem as businesses are being forced to raise their prices in response to the increasing costs they face in energy, fuel, people and raw materials.
“There is currently no energy price cap for businesses and this must be urgently addressed if our economy is to prosper, while in the long term we hope Ms Trust’s administration in collaboration will work with businesses to create a long-term solution to the various challenges we face.
“Going forward, we hope to see a genuine commitment to levelling up by investing in regions like the East Midlands, which has been left behind the rest of the UK when it comes to public investment for far too long. There is fantastic untapped potential in our region and we would be only too happy to welcome the Prime Minister to show her what we can offer our country.”
Jennifer Thomas of the Federation of Small Businesses (FSB) said: “Congratulations to Liz Truss, whose campaign included small businesses, the self employed and unleashing enterprise.
“The challenge now is to deliver action that is big and bold enough to match the scale of the crisis threatening the existence of many small firms, and the jobs, livelihoods and communities which depend upon them.
“Small firms, not protected by an energy price cap, are seeing bills soaring out of control. This is at a time of sky-high taxes, rampant inflation and supply chain disruption, creating a toxic mix which must be addressed urgently.
“Small businesses are crying out for a comprehensive response which cuts taxes, limits spiralling bills, and provides direct cash support for the smallest businesses.
“During the leadership campaign we were pleased that Liz Truss listened to our calls to reverse the recent hike in National Insurance and to look at lifting more small firms out of business rates.
“As she prepares her full package of emergency plans, we are ready and willing to work with the new Prime Minister and her team to protect the UK’s 5.5 million small businesses and the 16 million jobs within them, in communities in all parts of the UK.”
Tony Danker, CBI director-general, said: “Congratulations to the new Prime Minister. This is an extraordinarily difficult time to be leading the country, and she has businesses’ full support in meeting shared challenges together, head on.
“Most immediately, support for struggling households and firms in jeopardy is top of the in-tray. This may not be the pandemic, but the exceptional circumstances we now face mean Government must play a central role in supporting our economy.
“And if we’re serious about getting the UK growing again, ensuring any slowdown is short and shallow, we need a serious plan for growth. It needs to be bold, unconventional and rooted in the very real opportunities that still exist for the UK to thrive.”
Stephen Phipson, CEO of Make UK, the manufacturers’ organisation, said: “We congratulate Liz Truss on her appointment and look forward to discussing the critical importance of manufacturing, a sector that delivers millions of well-paid, highly skilled jobs across the whole of the UK. Britain’s manufacturers are an excellent example of a growing success story, contributing billions of pounds to GDP every year and vital in implementing the Government’s levelling up agenda, creating jobs where they are most needed.
“But industry at this time needs decisive action from the new Government to help it through a prolonged period of unprecedented hikes in energy bills, rising cost of raw materials and critical labour shortages in order to keep Britain’s place as a leader of innovation on the world stage.”
