Investment summit LIVE: Labour civil war errupts over Elon Musk snub

Sir Keir Starmer said he was "determined to repair Britain's brand" as a "stable, trusted, rule-abiding partner" as he accused the Tories of having made people "less sure of that".

The Prime Minister said: "I see this as a diplomatic necessity and I think it's clear how much priority I've given it in the first 100 days of Government all around the world, whether it's countries or investors, people want to know that Britain can be a stable, trusted, rule-abiding partner, as we've always been.

"But, somehow, during the whole circus that followed Brexit, the last government made a few people less sure of that, needlessly our closest allies, and of course, a few choice Anglo-Saxon phrases for business.

"Well, no more. We turn the page on that."

The Prime Minister said the Government would "run towards the fire to put it out" as he vowed to "quickly" stabilise the economy to avoid the problems of Labour's inheritance "misting up the shop window of Britain".

After a bruising few weeks of headlines dominated by turmoil in Number 10 and a row over freebies given to Cabinet ministers, he promised to "think in years" rather than "the days or hours of the news grid".

In his keynote speech at Guildhall, he said: "We've got our problems, of course we have, as I've said our public services need urgent care, our public finances need the tough love of prudence - challenges we can't ignore.

"Because we know, just as every leader here knows, that those early weeks and months are precious, and no matter how many people advise you to ignore it, you must run towards the fire to put it out, not let it spread further.

"So, we will fix our public services, we will stabilise our economy, and we will do it quickly, because we don't want any of the problems associated with our inheritance misting up the shop window of Britain, distracting you from all those assets that I just listed."

He said it was "a mission-led mindset that thinks in years, not the days or hours of the news grid, needed to unlock potential".

On industrial strategy, the Prime Minister said: "In this country, there's been a long, rather arcane political debate about picking winners.

"Well, we're not in the business of picking individual winners, but we are in the business of building on our strengths, mowing the grass on the pitch, making sure the changing rooms are clean and comfortable, the training ground is good so that when our businesses compete, they are match fit.

"To put it simply, we give the businesses of this country the best conditions to succeed."

Business secretary Jonathan Reynolds told summit attendees: “The UK is back. It’s back at the global table”.

Some have suggested that in order to make Britain a more attractive destination post-Brexit, the Government will need to regulate less than the EU.

Asked whether ministers would be open to doing so, Technology Secretary Peter Kyle told BBC Radio 4's Today programme: "Actually, I would say you need to regulate smartly and you need to regulate creatively."

Asked whether he believed that was essentially the same as regulating less, he said: "It's different. You don't have to cut corners to get innovation through the regulatory landscape."

Mr Kyle pointed to the Regulatory Innovation Office, which was announced last week and seeks to draw on the learnings of the Covid vaccine task force to expedite the deployment of new products, as an example of the Government's approach.

He insisted: "Not cutting corners or lowering standards, but making sure that the Government takes on some of the burden of compliance so that our nation can benefit."

The Technology Secretary downplayed the prospect of concerns among traditional Labour supporters, including some within the trade union movement, over the Government "speaking the language of the Tories".

He insisted there would be "high standards" for "everyone who invests and employs people in our country," citing the recently introduced Employment Bill as an example of Labour's commitment to workers' rights.

DP World has revealed a £1billion plan to expand the London Gateway container port at the Government's investment summit.

It comes after reports the P&O Ferries owner was set to shelve the announcement over calls from a Government minister to boycott its subsidiary.

On Wednesday last week, Transport Secretary Louise Haigh described P&O Ferries as a "cowboy operator".

The criticism was aimed at the company's actions in March 2022, when it suddenly sacked 800 British seafarers and replaced them with cheaper, mainly overseas staff, saying it was necessary to stave off bankruptcy.

But Prime Minister Sir Keir Starmer later said calls for a boycott of the ferry firm was "not the view of the Government" following reports DP World would pull out of the summit.

The company, which specialises in logistics and shipping cargo, confirmed over the weekend that it would still attend the summit.

On Monday, DP World marked its involvement in the event by confirming the investment plan, which it said would expand London Gateway to become Britain's largest container port within five years.

It would increase the capacity of the port by building two new shipping berths, bringing the site to six berths which could receive the world's largest container ships.

A second rail terminal would also be added to the site to deal with increased container trade.

The expansion would create a further 400 permanent new jobs, the company said.

Sultan Ahmed bin Sulayem, group chairman and chief executive of DP World, said: "DP World London Gateway will help make Britain's trade flow in the future by connecting domestic exporters with global markets and delivering vital supply chain resilience for the whole economy.

"I am proud of this major investment which underlines DP World's long-term commitment to the UK."

The Technology Secretary has left the door open for more laws to protect children online, including a ban on some social media.

Peter Kyle told LBC: "Everything is on the table when it comes to keeping young people safe and I'm looking very carefully at the powers that we might need to do so in the future."

Asked whether a ban on some social media products was not off the table, he said: "When it comes to the safety of people who live and work and use the online world here in this country, nothing will be off the table.

"I want to work constructively with these companies, that's what I am doing."

A Cabinet minister has dismissed suggestions the UK Government is seen as a "soft touch" by unions after reports the Transport Secretary has authorised a bonus for rail workers working five days a week.

Peter Kyle told LBC: "This Labour Government is a soft touch to no one."

He said he could "not comment on things that I'm not party to" but added: "I am broadly in favour of investing in our workforce, investing in our country and making sure we can get out of this doom spiral that the last Tory government left us with - high tax, low growth, an economy that is going nowhere."

A Cabinet minister has said he stands "absolutely ready to engage" with Elon Musk and insisted the Government has "good engagement" with "some" of the tech tycoon's companies.

Technology Secretary Peter Kyle suggested Mr Musk, who was criticised by Downing Street over his social media posts in relation to the summer riots, was not invited to the international investment summit because "he doesn't tend to do these sort of events".

It was previously reported that the X owner was snubbed because of his posts suggesting civil war was "inevitable" in Britain during the widespread disorder.

Asked whether the Government should have invited Mr Musk, Mr Kyle told Times Radio: "Let me just send my very best to him on the safe landing of the booster rocket yesterday, it was a stunning achievement and I did watch slack-jawed at the staggering achievement that that represented.

"Elon Musk has never come to any of the past investment summits that have been held under the previous government, he doesn't tend to do these sort of events, but I stand absolutely ready to engage with him, to talk about any potential global investments he's making - I'm not aware of any at this moment in time."

He added that "we have good engagement with some of his companies".

On the summit, Mr Kyle said: "By the end of the day, I think you'll see some pretty significant commitments."

Technology and Innovation Secretary Peter Kyle was asked by Times Radio how businesses looking to invest in Britain could know they would not get "slagged off by a random minister" after Transport Secretary Louise Haigh criticised the ferry company.

He said: "Like your listeners, I was angry with the way P&O acted back then.

"But, actually, P&O has changed because last week we introduced workers' rights legislation which would stop that kind of thing happening again and P&O were right there, right behind it.

"DP World, their parent company, were right behind it. They will be here today and they are continuing their £1 billion investment.

"That means we've all turned a corner. They've turned a corner, our country has turned a corner and we are looking to the future."

In his keynote speech opening the summit, the Prime Minister is expected to pitch Britain as a stable bet for investors, with a vow to “do everything in my power to galvanise growth including getting rid of regulation that needlessly holds back investment.”

He is expected to say not enough has been done to make sure the UK is keeping pace with emerging industries. He will pledge to “upgrade the regulatory regime to make it fit for the modern age, making Britain fit to harness all opportunities.”

On the value of stability, the Prime Minister is expected to say: “It’s not just that stability leads to growth – though we all recognise that. It’s also that growth leads to stability. Growth leads to a country that is better equipped to come together and get its future back. That’s why it’s always been so critical to my project.

“We have a golden opportunity to use our mandate, to end chop and change, policy churn and sticking plasters that make it so hard for investors to assess the value of any proposition.

“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.

“We are focusing on investment because the mission of growth, in this country especially, demands it. Private sector investment is the way we rebuild our country and pay our way in the world. This is a great moment to back Britain. This is a great moment to back England, Scotland, Northern Ireland and Wales.”

On regulation, he is expected to 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.

“We will rip out the bureaucracy that blocks investment and we will make sure that every regulator in this country takes growth as seriously as this room does.”

The Government will ask the CMA to prioritise growth, investment, and innovation through their work as a priority and it will also be reviewing the focus of other major regulators.

We’ll be bringing you all the latest developments on today’s International Investment Summit. Please get in touch with me if you have a story or tips to share. Your thoughts are always welcome.

Email: katie.elliott@reachplc.com