Rishi Sunak’s Committee of Business Advisers Declines to Publicly Endorse Government’s Economic Policy Record
Amidst an ongoing dispute over the Labour Party’s attempts to claim the Conservative Party’s long-standing position as the “party of business”, Rishi Sunak’s committee of business advisers chose not to publicly support the government’s economic policy record on Tuesday.
In an effort to gauge the support of these businesses, Sky News reached out to all 15 companies represented on the prime minister’s business council, but none were willing to publicly endorse the Tories.
Among the companies whose executives sat on the council, including BT Group, ITV, Nationwide, and Unilever, Rolls Royce Holdings stood out for allowing its Derby headquarters to be used for a campaign speech by Rachel Reeves, the shadow chancellor. However, the company maintained its neutrality and its chief executive, Tufan Erginbilgic, has been a member of Mr. Sunak’s business council since its launch in January.
When contacted by Sky News, some of the 15 companies did not respond, while others stated officially or anonymously that they would remain politically neutral during the election campaign.
One company, speaking on the condition of anonymity, stated that their chief executive’s involvement in the council was to contribute views with the aim of influencing government policy. They emphasized that their participation was not a direct endorsement of any political party’s views.
While it is not uncommon for the heads of major public companies to remain neutral during an election, it highlights the challenge the Tories face in securing public support from major corporate names leading up to July 4th.
The Conservative Party has historically been able to secure public endorsements from big businesses, but this time, they were outdone by a pro-Labour letter signed by over 120 businesspeople, which was published on Tuesday. Notably, none of the signatories of the letter are current FTSE-100 chief executives, with the only current public company heavyweight being Andy Higginson, chairman of JD Sports Fashion.
Further scrutiny came when Sky News’s business presenter, Ian King, revealed that some of the companies listed as supporters were inactive, and one of the signatories, WPP executive Karen Blackett, had already left the company she was cited as working for.
Labour also faced criticism from Unite, the trade union, for highlighting the involvement of John Holland-Kaye, former CEO of Heathrow Airport, due to his use of controversial “fire and rehire” practices during the pandemic.
In their pro-Labour letter, the business signatories expressed their concerns about the state of Britain’s economy, stating that it was “beset by instability, stagnation, and a lack of long-term focus”.
Last week, it was revealed that the Tories have been reaching out to business leaders since Mr. Sunak called for the election, asking for their participation in broadcast media opportunities, providing quotes in support of manifesto pledges, and hosting events and visits for cabinet ministers. These efforts have been led by Lord Petitgas, former Morgan Stanley executive and the prime minister’s special adviser on business.
Tory insiders dismissed the Labour letter as “a damp squib”, stating that it showed Sir Keir Starmer and Ms. Reeves had “completely failed to win the trust of major companies in the UK”.
