Business leaders react to new Prime Minister, Liz Truss

Business leaders have shared their reaction to the appointment of Liz Truss as Prime Minister, after winning the ballot to be named Leader of the Conservative Party.

Prominent Stockport businessman, Group CEO of musicMagpie, Steve Oliver expressed his hope that a change in Prime Minister would see a shift in culture and leadership style in government, as well as swift action on the economic challenges facing businesses of all sizes:

“I think the first and foremost thing we all hope for is some simple and straightforward honesty, integrity and communication from our leaders, that puts the nation and its people first, which feels like it has been missing in the last few years.

“Clearly there are a number of unprecedented, macro economic factors in play that await the new PM, not least the impending highest level of inflation in a generation and the worst ever cost of living crisis that we have arguably ever experienced.

“We need a clear and immediate plan for how businesses, in particular small to medium ones, are going to be supported in this unprecedented time of cost inflation, in particular in their energy costs. This is undoubtedly on a par with the challenges presented by the pandemic, and a similarly swift action plan and response is needed as to how we are going to support and protect those businesses most affected by the energy cost increases in particular.”

On a local level, Steve Oliver also called for Mrs Truss to take action on the ongoing rail disruption affecting Stockport and the wider North-west:

“An immediate government driven solution is also needed to the frankly unacceptable transport challenges currently faced by the region with the removal of key services by firstly Avanti and now Trans Pennine Express. If this government is serious about levelling up and the equality of services for all, we cannot allow this ridiculous situation to continue where the biggest city in the North of England only has one train line per hour to the capital”  

Sir Roger Marsh, chair of the NP11 group of the North’s eleven Local Enterprise Partnerships, also called on Liz Truss to back their plans for investing in the region to address national as well as local needs. He said:

“Prime Minister Truss has a full in-tray of issues needing urgent attention, which is why we have written to her to set out practical ways in which the North can help tackle national concerns such as energy cost rises and the imperative to develop secure, green domestic energy supplies in response to the Russia-Ukraine war, while also unlocking new sources of economic growth that will improve opportunity and living standards for people and help build a competitive, Global Britain.

“With the right, targeted investment and by working collaboratively with northern elected and business leaders, we can unlock this huge potential, not just for the benefit of the North but for the whole country. Our offers and asks are well-developed and based on solid evidence about what the North really needs to prosper, so we can help the Government bring forward plans at pace that will realise the promise of levelling up set out in its 2019 election manifesto.”

Chris Fletcher, Policy and Campaigns Director for the Greater Manchester Chamber of Commerce, highlighted the scale of the challenges facing Liz Truss at the start of her premiership, particularly over energy costs but also across a wide range of policy areas; he commented:

“It is highly unlikely that any new incoming PM has faced such a bigger challenge on day one than the current cost of living/cost of doing business crisis. It is vital that, after weeks of dither and inactivity, Ms Truss takes immediate decisive action to help people and businesses right across the country. There are a variety of options available from VAT cuts on energy, specialist price tariffs, grants or more drastic intervention along the scale and lines we saw during the pandemic. The seriousness of the situation cannot be underestimated and nothing should be ruled out at this stage.

“It’s important though that the new government doesn’t just focus all its attention on this one issue as important as it is. Everywhere you look and every business we talk to it feels like there is something that needs ‘fixing’. The impact of Brexit still resonates with many, staff recruitment is proving evermore difficult and large parts of the transport network – especially on the West Coast mainline and trans pennine rail routes – is an utter shambles with underinvestment and a litany of broken promises.

“There are no silver bullet solutions, but there will have to be a much more realistic approach taken than some of the promises we have heard throughout the hustings period. Simple tax cuts and soundbites about future economic growth won’t pay the energy bills people will be getting over the next few weeks. Any new premiership starts with hope but people’s patience is wearing very thin and any honeymoon period will be short lived if changes aren’t felt quickly.”

Greater Manchester-based property group, Bruntwood, also echoed comments that immediate action is needed across a wide range of issues: Jessica Bowles, Director of Strategy, Bruntwood, said: 

“Liz Truss faces a daunting list of economic crises to tackle. Understandably, this was the focus of much of the debate during the leadership race. But too little was said about the UK’s long-term productivity problem. 

“This urgently needs a new plan, and at its heart should be knowledge intensive sectors such as life sciences and tech and the role of places in supporting their growth. These are industries where the UK has impressive existing strengths to build on that are also thriving in the cities of the North, Midlands and Scotland.  

“Critical to unlocking their potential is fast, reliable, modern transport: from cities to cities, and cities to surrounding towns – backed by investment into promising firms and ideas, and a plan to upskill our communities.”