Election 2024: Next government must back London as an ‘engine of growth’

The next government must back London as an “engine of growth” for the UK, including a greenbelt review and supporting airport and rail hub expansion, a lobby group is urging.

Lobbying group BusinessLDN is calling for the next government to prioritise economic growth and leverage private investment, in its manifesto ahead of the July general election. 

The body has set out a package of recommendations for quick wins and regulatory reforms, including: scrapping stamp duty on share transactions; reforming the Apprenticeship Levy; and putting London on an equal devolution footing with longer-term block funding.

Chief executive John Dickie said: “As an engine of growth for the whole UK, London has a critical role to play in improving our economic fortunes.

“The next government should work in close partnership with the capital and the private sector to deliver the jobs, growth and investment that the UK needs.”

BusinessLDN is also urging whoever forms the next government – widely anticipated to be the Labour Party under Sir Keir Starmer – to undertake an urgent review of the capital’s green belt in a bid to boost sustainable high-quality development.

They also want to see sustainable expansion of London’s airports and support for expansion at international rail hubs such as St Pancras to ensure the city remains a global travel hub.

Labour has already announced, if elected, it plans to encourage building on the so-called grey belt, or low-quality green belt areas, to boost development and rip up planning red tape.

“Although the public finances are heavily constrained, there are a number of measures that the government can take to boost the economy quickly at no or low cost,” Dickie added.

“Implementing these reforms – together with longer-term growth measures – is vital to get our economy firing on all cylinders.”

Other measures advocated by BusinessLDN, which represents firms across the capital, include: setting out a credible tax roadmap; scrapping the proposed infrastructure levy; funding long-term affordable housing; championing the UK’s universities.

They also want to see the ending of tax-free shopping for international visitors reviewed, and are calling for the creation of a business-led UK carbon offset fund for net zero.

Additional policy asks relate to making better use of existing funding, such as consolidating ring-fenced funding pots to streamline processes, and unlocking private sector investment in Transport for London (TfL), housing, childcare and adopting sustainable aviation fuels (SAF).