Business leaders turn on Sunak, back new start under Labour

Labour has won the endorsement of a coalition of business leaders who have said that a ‘new outlook’ is needed for Britain.

Prime Minister Rishi Sunak poses for a selfie with supporters at a Tory party rally in Amersham, England. Picture: Getty Images.

Labour has won the endorsement of a coalition of business leaders who have said that a “new outlook” is needed so Britain can “break free” from a decade of economic stagnation.

In a letter to The Times, 120 executives say the economy has been “beset by instability, stagnation and a lack of long-term focus”, adding that the July 4 general election represents “the chance to change the country”.

The signatories, who include senior executives from the City, entrepreneurs, investors, figures from the world of technology and leading retailers, say that change is needed “to achieve the UK’s full economic potential”.

The letter is signed by past and present executives from JP Morgan, Heathrow, Aston Martin, JD Sports and the advertising giant WPP. Sir Jimmy Wales, the founder of Wikipedia, and the restaurateur Tom Kerridge have also signed, along with the founder of a childcare company in which the Prime Minister’s wife previously held shares.

It represents the culmination of years of intense lobbying by Rachel Reeves, the shadow chancellor of the exchequer, and Sir Keir Starmer, the Labour leader, as they seek to position Labour as the party of business before the general election.

The letter came as Rishi Sunak pledged to cut income tax for eight million pensioners by £100 ($190) next year as he sought to reassure them that he was “on their side”. He pledged that the aged pension would never be subject to income tax under a Conservative government.

In other developments:

- An outgoing Tory MP was suspended after endorsing the local candidate for the right-wig Reform UK party to succeed her.

- The Tories started quarrelling over Mr Sunak’s plans for national service as a minister claimed that the plans had been “sprung” on MPs.

- Mr Sunak said claims that he would leave Britain for California if he lost the election were untrue and that he would stay on as an MP.

- Sir Keir rejected Tory claims that he was “Sir Sleepy” and lacked the energy for the campaign, saying he “couldn’t care less”.

- MI5 issued official advice to candidates about cybersecurity, warning of deepfakes and interference from states such as Russia and China.

Signatories to the letter from business leaders include Andy Palmer, the former chief executive of Aston Martin; John Holland-Kaye, the former chief executive of Heathrow; Andrew Higginson, the chairman of JD Sports; Charles Harman, formerly a vice-chairman at JP Morgan Cazenove; and Charles Randell, the former chairman of the Financial Conduct Authority.

Rachel Carrell, the founder of the children’s company Koru Kids, also signed the letter. Akshata Murty, Mr Sunak’s wife, previously held shares in the business.

The letter says: “We, as leaders and investors in British business, believe it is time for a change. For too long, our economy has been beset by instability, stagnation, and a lack of long-term focus.

“The UK has the potential to be one of the strongest economies in the world. A lack of political stability and the absence of consistent economic strategy have held it back. The country has been denied the skills and infrastructure it needs to flourish.”

It adds: “Labour has shown it has changed and wants to work with business to achieve the UK’s full economic potential. We should now give it the chance to change the country and lead Britain into the future. We are in urgent need of a new outlook to break free from the stagnation of the past decade and we hope by taking this public stand we might persuade others of that need too.”

The Times