As Labour leader and Shadow Chancellor touch down in Davos for the
World Economic Forum, they sent a clear message that they are
committed to pulling in more business investment in Britain from
overseas – especially when it comes to the vast green investment
opportunities of the future.
And they revealed that while the UK accounted for an average of
8% of world FDI in the years between 1997 and 2010 when
Labour was last in power – since the Tories have been in
government, the country has accounted for just 4%.
Not only that, but in 2021 the UK accounted for just 1.7% of
world FDI - the worst result since the UN records began in 1990.
The call comes against the backdrop of Starmer and Reeves’
mission to use the World Economic Forum to promote Labour’s Green
Prosperity Plan, an ambitious plan to decarbonise the economy,
create good jobs, boost energy security and to have Britain lead
globally on some of the green industries of the future.
Labour say the UK risks missing out on huge growth in sustainable
finance, as the UNCTAD World Investment report says that one area
of growth is sustainable funds. Global assets under management of
such funds rose by 53 per cent in 2021.
They claim their plans will also transform the UK into the green
finance capital of the world, creating jobs across business and
setting the framework for others to use.
Speaking ahead of a day of meetings with business
leaders, government leaders and influential figures in the
financial world, Labour’s Shadow Chancellor said:
“With Labour in government, Britain will be open for business. We
have the ambition and the practical ideas to have our country
lead on the global stage again, especially in those green
industries of the future that are so vital for our energy
security.
“We will restore economic growth to the UK, improving living
standards and creating jobs, and bring global investors back to
drive our economy forwards – all built on the rock of economic
stability and certainty.
“Labour will work in partnership with business to boost
investment in the UK economy, to make sure the jobs of the future
are in the UK, and to ensure the UK is a world leader in the
climate transition.”
Ends
Notes
· The United Nations
Conference on Trade and Development (UNCTAD) 2022 World
Investment Report provides analysis of the trends in Foreign
Direct Investment. Annex Table 01: https://unctad.org/topic/investment/world-investment-report
· This provides FDI
totals for the UK and for the world since 1991.
· Between 1997 and 2010
the UK accounted for 8% of world FDI.
· Between 2010 and 2021
the UK accounted for 4% of world FDI.
· In 2021 UK FDI
accounted for 1.7% of world FDI, this is the lowest since records
began.
