The Prime Minister opened Cabinet with an update on last night’s
strikes which have further degraded the Houthis ability to attack
civilian and military ships, endanger lives and disrupt trade in
the Red Sea. The Prime Minister said the initial signs are that
the strikes were effective.
The Prime Minister said that we took this action, together with
our allies, because we continue to see an ongoing and imminent
threat to UK vessels, and those of our partners, with the Houthis
launching at least 12 attacks on shipping in the Red Sea in the
last 10 days.
He added that while we are not seeking a confrontation, we will
not hesitate to act in self-defence to protect British lives and
interests.
The Prime Minister said that the UK acted alongside the US, with
support from Australia, Bahrain, Canada and the Netherlands, and
he had spoken to President Biden in advance.
He ended by thanking armed forces personnel for their
professionalism and bravery as they work to keep the UK safe.
The Foreign Secretary noted the strong international support for
action, and that the UK was also focused on supporting the Yemini
people who rely on shipping from the Red Sea for vital goods, and
the 100,000 people a month supported by UK food aid.
The Transport Secretary noted the support of the shipping
industry, and protecting the vital global principle of freedom of
navigation.
Cabinet then turned to the importance of backing businesses and
making 2024 the year of small and medium-sized enterprises
(SMEs). The Prime Minister said that business investment in the
UK has grown second fastest in the G7 since the introduction of
the super-deduction, and that last year we showcased the UK as a
top global investment destination - with £4bn investment from
Tata Group for a gigafactory, £2bn from Nissan and £2.5bn from
Microsoft for AI infrastructure.
He said that we must now build on the success of the Global
Investment Summit, and the momentum from the Autumn Statement, to
build a more prosperous Britain for the SMEs which constitute
99.9% of businesses in the UK.
The Business Secretary reflected on the action government has
taken to support SMEs, including on late payments, access to
finance, the £1m Annual Investment Allowance, and skills reforms.
She called for a whole of government approach to supporting SMEs.
The Chancellor noted that SMEs had been crucial in driving the
overall creation of 3.9m jobs since 2010, equivalent to around
1000 a day, and the success of UK start-ups had resulted in the
UK having the largest tech sector in Europe.
The Work and Pensions Secretary highlighted the role of the
government’s Back to Work Plan in supporting SMEs recruit the
staff they need. And the Health Secretary highlighted the role of
SMEs in creating the largest life science industry in Europe.
The Prime Minister summed up and said that there must be a
stepped-up and cross-Government effort in every department, and
with SMEs in every sector, to help us deliver on our priority to
grow the economy by supporting SMEs.
