In a speech made in Liverpool on Monday, Sir Keir Starmer proclaimed that the future Labour government’s goals would be “Growth, growth and growth.”
The Labour leader is anticipated to propose the formation of an Industrial Strategy Council as part of a more comprehensive economic policy, as well as a vow that growth under his party would be “Strong, safe and fair.”
His visit to Liverpool coincides with the Tory leadership election and the campaign for No 10, with the two contenders sparring in a BBC discussion on Monday night.
Keir Starmer’s economic policies guaranteed “Sound finance” and “Strong, secure and fair growth” alongside Shadow Chancellor Rachel Reeves (PA).
Keir Starmer Speaking on Labour’s Growth Plan
Starmer gave his speech on Labour’s plan for growth, together with Rachel Reeves, the shadow chancellor who wants to be the first “Green Chancellor” in the country. Labour says it will address growth as the October energy bill hike is looming large and will hit families hard. Labour’s approach to levelling up would be based on a workable plan, in contrast to the present administration, claims Starmer.
According to Starmer, Britain may gain from Germany’s plan to put more battery installations in underdeveloped areas. He also promised “No magic money tree economics” under Labour.
Starmer contends that Labour would set a goal to lower debt as a proportion of GDP in terms of fiscal constraint. The Conservatives want to spend more money inefficiently, but he asserts that Labour will continue to offer secure financial support.
Keir Starmer Says the Next Election Will Be a Battle over Economic Growth
A Labour government would be focused on “Growth, growth and growth” according to Labour Leader Keir Starmer.
As Tony Blair did in 1996, Starmer in the speech he delivered in Liverpool said “Making Britain and its people better off” is the most important task for the country. It is, therefore, highly likely that Labour will fight the next election based on Starmer’s economic policies.
He argued that the pandemic and the high cost of living have shown how “Brittle” the British economy is right now.
The speech comes amid expectations that the economic growth in the UK will slow as the Conservative leadership election is marked by heated discussions on the issue, with Rishi Sunak dismissing Liz Truss’s ideas to borrow billions to pay for tax cuts as a “Fairytale.” For the fiscal year ending in June, consumer price inflation was 8.2%.
On Sunday, Rebecca Long-Bailey, Jeremy Corbyn’s former shadow business secretary, urged Labour to reject the conservative economic strategy of Keir Starmer in favour of a radical one that calls for state ownership and a people-government living standards pact.
“You will always have sound finances, sensible expenditure, and robust, secure, and fair growth with me and Rachel Reeves [the shadow chancellor],” said Starmer who has been striving to present Labour as the party of fiscal discipline. “We will not engage in ‘magic-money-tree’ economics”, he added.
Starmer continued his speech by saying: “The growth I want for Britain is strong, secure and fair:
Strong, because it will build a foundation where every business and every person plays a role.
Secure, because it will produce good jobs that don’t leave people feeling insecure.
Fair, because it will unlock the potential of every place – every community, every town and every city.”
Rory Stewart, a former Conservative cabinet minister, questioned Starmer on The Rest is Politics podcast last week about his economic policies.
Stewart said that even if you are elected prime minister, “You would have very little power as we face a 10-year global recession. What will you do about interest rates and inflation?”
“Growth, Growth, Growth” Is Labour’s Top Economic Priority
In his address, Starmer said that the economy would be his primary concern in the next national election. He criticised Tory leadership hopefuls, Rishi Sunak and Liz Truss, by commenting: “They rage against the dying of the Thatcherite light.”
Little information was provided on specific proposals, but the Labour leader reaffirmed his party’s pledge to spend £28 billion a year until 2030 on mitigating climate change if they win the next election. A growth strategy, according to Starmer, must address climate change; he added: “A plan for net-zero needs growth. A plan for growth needs net-zero.”
Labour will promote “Development, expansion and growth,” claims Starmer, and a future Labour government will be dedicated to “Growth, growth, growth.”
The Labour leader emphasised on an Industrial Strategy Council as part of a more prominent economic policy and to make the case that development under his party will be “Strong, safe and fair.”
His trip to Liverpool takes place as the race for the Tory nomination and No 10 heats up, with a discussion between the two contenders scheduled for Monday night on the BBC.
Starmer Outlines Five Principles as Part of Labour’s Growth Policy
According to Starmer, the government can pursue its net zero strategies by promoting growth.
There is a belief that growth and net zero conflict, he asserted. However, he rejected that argument outright: “A plan for net-zero needs growth. A plan for growth needs net-zero.”
Starmer asserts that the UK needs “Growth, growth, growth”.
He has told the shadow cabinet that each policy will be assessed based on whether it will promote growth. In his view, the government cannot fund decent public services, unite the country, provide national security, or promote social mobility without growth.
He outlined five principles as follows:
“1. We will be financially responsible.
- We will be distinctively British.
- We will work in partnership with business.
- We will re-energise communities and spread economic power.
- We will refocus our investment on boosting productivity.”
Labour leader Keir Starmer criticised the Conservatives in his Liverpool speech for creating a “Brittle” economy with “Too few businesses” that are successful. He said that in order to promote long-term growth, his party will create a new advisory council.
Sir Keir criticised the “Thatcherite cosplay” of the competition and charged the Conservatives with “Clinging to outdated principles.”
If elected, neither of the Conservative leadership candidates will hold an early election. The next election will take place in January 2025.
Starmer also slammed the Tory leadership hopefuls, calling Liz Truss “The newest graduate from the school of magic money tree economics” and former chancellor Rishi Sunak “The author of the cost of living crisis.”
Labour will “Invest to meet future difficulties,” according to Keir Starmer’s economic policy plan, and would not “Announce a single penny of day-to-day expenditure without defining how we would pay for it,” he stated.
Sir Keir indicated that his party will establish an Industrial Strategy Council in order to generate “Strategic national goals that transcend the electoral cycle.”
He went on to declare that the council’s purpose would be codified in law and that it would rely on the experience of industry, academia, and labour groups to advise and hold politicians accountable. He added that economic development could occur while still meeting the UK’s target of net-zero emissions, implying a reduction in greenhouse emissions.