Alessandro Georgiou is a member of the London Assembly.

As Britain faces an economic car crash, it is impossible to ignore that Rachel Reeves and the Labour Government are firmly in the driver’s seat. With each passing policy and day that they are in government, they seem determined to accelerate us further into an economic wreck.

With all the fiscal headroom set in her Autumn Budget gone, Rachel Reeves was back for more at the dispatch box this week. The very fact the Spring Statement needed to become an Emergency Budget tells you everything you need to know about how businesses and the economy have reacted to Labour’s disastrous policies over the last nine months.

However, the impact this is having on the wider economy goes far beyond the drastic measures announced this week. The Adam Smith Institute’s Annual Business Confidence Survey found that business confidence is down significantly, with 77 per cent reporting ‘low or very low’ confidence in the UK’s business environment. Meanwhile, analysis of Companies House data by GB News suggests that a staggering 203,000 UK businesses have closed their doors since Labour took office, and the economy is flatlining with little to no growth.

Even more concerningly, more than 70 retail bosses including the likes of Tesco, Asda and Sainsbury’s have voiced their concerns in an open letter to the Chancellor warning her budget will lead to job losses and higher prices. Labour’s higher taxation, reckless spending, and growing hostility towards businesses has managed to turn a difficult situation into an absolute crisis.

First and foremost, it’s crucial to remember that businesses are the backbone of our economy. They create jobs, drive innovation, and keep the wheels of the economy turning. Without businesses, there would be no employment, no tax revenue, and no prospects for growth. It is businesses that allow people to pay their bills, support their families, and plan for the future. Unfortunately, Labour, under Rachel Reeves’ purse strings, seem to have forgotten this essential truth. Instead of fostering an environment where businesses can grow and thrive, they’ve repeatedly meted out policies that stifle their progress.

During my time as a London-wide Assembly Member, I’ve met with business owners from across London, from independent retailers to entrepreneurs running startups, and the sentiment is clear; they are deeply impacted by the measures Labour has introduced.

Contrary to this, a Conservative government achieved:

• Between 2010 and July 2024, the business population in the UK increased by 23 per cent to 1 million businesses, with London capturing a significant portion of this growth.
• London’s economy saw an impressive rise in job creation, particularly within industries that require high levels of expertise and specialism.
• Between 2010 and 2019, the number of jobs based in London increased by around 1.2 million, a rise of 25 per cent.
• Between 2010 and 2024, average wages in London saw a significant increase, with lower-earning Londoners experiencing a larger percentage increase.
• The median gross annual earnings for full time employees in London also reached £37,430 by 2024.

And what about Sadiq Khan, the Mayor of London? His approach has been no better. He seems more interested in pleasing his Labour friends in government for table scraps than fighting for the businesses and workers of London who are being crushed by these policies. He has repeatedly bashed Conservative Chancellors over the years, but his silence on Labour’s anti-business agenda speaks volumes about his priorities.

Let’s be frank – the policies we have seen over the last nine months are a punishment to people who don’t vote Labour. They are a punishment to owners of small businesses terrified about national insurance increases. They are a punishment to entrepreneurs who have ambitions to start their own business. It’s the same punishment meted out to pensioners, farmers, and parents who chose to send their children to private school.

As the dust settles from the disastrous Emergency Labour Budget, it’s clear that Rachel Reeves and the Labour Party’s anti-business rhetoric are leading us further into economic turmoil, not out of it. The time has come to reject these reckless policies and stand up for business, jobs, and economic growth. If we don’t, we risk destroying the very foundation of our economy.

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