Labour Calls on Company Bosses to Endorse New Skills and Growth Levy Plan
In the lead-up to the general election, the Labour Party is reaching out to company executives to endorse their proposed Skills and Growth Levy. This request comes just days after the party faced backlash for claiming widespread private sector support.
According to a letter obtained by Sky News, the party is seeking backing from business leaders who are critical of the current Apprenticeship Levy. The letter states that the existing levy “isn’t doing enough for our economy, for young people entering the job market or for adults needing to learn new skills”. It also highlights a decline in apprenticeship starts and billions of unspent funds despite skills shortages.
“We need a fresh approach to ensure everyone has opportunities, businesses have the right skills, and our economy thrives,” the letter asserts. “We therefore support Labour’s plans for a Skills and Growth Levy to both protect apprenticeship funds and give us the flexibility we need for workforce training.”
The letter goes on to explain that Labour’s plan is in line with the changing business landscape. The party is asking for signatures from executives by the end of Friday, with plans to publish the letter next week.
While the letter itself is not new and has been circulating among business leaders this week, Labour officials are seeking additional signatories. This comes after the party faced criticism for a public letter released on Tuesday, which was signed by 120 company chiefs in support of Labour. The letter sparked a debate over the party’s claim to be the new “party of business”. Further scrutiny revealed that only one signatory, JD Sports Fashion chairman Andy Higginson, holds a senior position at a FTSE-100 company, and others were associated with dormant businesses.
Sky News reached out to Labour for comment on the letter and their plans for the Skills and Growth Levy. This move by the party highlights their determination to address skills shortages and support businesses in the changing economic landscape.
