Liz Truss is the next UK Prime Minister: Reactions from the business community

Following the announcement that Liz Truss will serve as the country’s next Prime Minister, Bdaily has collated a range of commentary spanning all manner of industries, with many leaders outlining their expectations for the latest PM. Read on to find out more…

British Chamber of Commerce:

Sarah Howard, Chair of the BCC, noted: “We would like to congratulate Liz Truss on running a successful campaign to become the UK’s new Prime Minister. She must now take immediate steps to support the economy. The last few months have been difficult for everyone, time is running out and urgent action is needed to deal with the costs’ crisis.

“We believe the country has already entered a recession and that inflation will hit at least 14 per cent in the months ahead. Like households, firms have been telling us of unsustainable rises in their energy bills and how difficult it is to find new fixed term contracts to buffer against further price hikes.

“Unless the new Prime Minister addresses these problems head-on then the economy will drift further into dangerous waters and the outlook for both businesses and consumers will be bleak indeed.

“The BCC set out a five-point action plan to support businesses at the end of August and sent it to the Treasury and Liz Truss’s team. It is now imperative that we see movement on our proposals. The plan is not just about ensuring support for businesses. It is also about protecting jobs, securing livelihoods, and creating a vibrant and prosperous society.”   

Cost of living:

Stephen Patterson, chief executive of NE1 Ltd, reacted: “The new Prime Minister and her cabinet need to hit the ground running to deliver a radical package of support to tackle the cost-of-living crisis for people and businesses.

“Swift, bold, and decisive action is needed now, without delay, to avert a crisis that, if not addressed, could leave many hundreds of thousands of people without jobs. Leaving many families not just with concerns about how they pay the fuel bills, but how they pay any bills.

“Make no mistake, the crisis facing business is every bit as severe as that presented by Covid. Businesses are planning for the winter now and they need reassurance, clarity, and solutions from the Government immediately.

“As such, we call on the Prime Minister and her cabinet to work with BIDs and business on solutions to the collective challenges we face. Our new Government cannot afford to dither and fumble this ball at such an important time.”

The housing industry:

Simon Cox, managing director of Walter Cooper, added: “When it comes to housing, resolving the issues in planning needs to be one of the top items on the next PM’s agenda, and that will mean making some unpopular decisions.

“Truss now needs to shift her focus from pandering to the NIMBY masses and publicly turn away from previous statements made by other Conservative MPs such as Michael Gove, regarding the so-called ‘cartel’, or face alienating the housebuilding community entirely.

“However, with a general election likely on the horizon I’m doubtful these difficult choices will be put into action any time soon.

“Housing plays a major part in supporting the economy, and as we head into a predicted recession this will prove more important than ever. I’d therefore implore the new PM to work with those in the industry to provide support in promoting an ‘open for housebuilding’ agenda.”

Tech:

Russ Shaw CBE, founder of Tech London Advocates and Global Tech Advocates, contributed: “The confirmation of Liz Truss as our new Prime Minister provides welcome clarity for a tech industry which is eager to hear how she intends to strengthen the UK’s position as a home for investment and innovation.

“On a lengthy to-do list, one of the most pressing challenges for Truss will be attracting talent to a sector which is growing rapidly but also experiencing record vacancies.

“Solving this issue will require the new Prime Minister to make it easier for foreign workers to apply their skills in the UK through expanding schemes like the Scaleup Visa, while also investing in homegrown digital education to improve the domestic talent pipeline.

“Nearly two years on, a number of recommendations from the Kalifa Review are yet to be implemented – this is an area where Truss can make immediate progress if she wants to position herself on the side of UK fintech.”

Independent professionals and the self-employed:

Andy Chamberlain, director of policy at IPSE, proclaimed: “IPSE looks forward to working with the new Prime Minister and her cabinet.

“The country faces a number of problems, and we hope that she outlines her plans to tackle the cost-of-living crisis, as well as the many issues facing thousands of freelancers and small businesses such as IR35, employment status, and Managed Service Company legislation.

“We also look forward to working with Truss on the promised review of the dreaded off-payroll working rules: IR35. These rules are destroying businesses and holding back the economy - and they need to change now.

“During the leadership race Truss talked about ‘tackling orthodox Treasury thinking’. If this review is to deliver meaningful change – which previous reviews haven’t – she will need to do exactly that: challenge the thinking that has led to this wretched legislation being enacted.

“If she makes real progress on this issue, she will achieve something that the previous three Conservative Prime Ministers couldn’t, enabling one of the most dynamic and innovative parts of the UK economy to thrive.”

By Matthew Neville – Correspondent, Bdaily

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