Chancellor Rachel Reeves is due to visit New York in early August to engage with major US investment firms, with the aim of securing billions of pounds for projects in the UK.
Her visit program includes a private dinner with Stephen Schwarzman, Chairman and CEO of Blackstone, a leading global investor in commercial real estate, and a breakfast meeting with Wall Street leaders.
The strategic trip underscores Reeves’ efforts to attract significant private investment to the UK, targeting sectors such as green energy, infrastructure and housing. Reeves also underscored her support for the UK’s financial services sector and the City of London, the two core areas of Wall Street banks.
Reeves’ visit follows the launch of the National Wealth Fund, which has allocated £7.3 billion of taxpayers’ money to support major projects and attract private financing. The fund has been described as a “concierge service” for investors interested in the UK.
The US remains the UK’s largest source of foreign investment, but support has been declining over the past four years. The latest EY survey found a 42 per cent drop in US investment projects in the UK in 2023 compared to 2019, while US projects across Europe are down 29 per cent.
Blackstone, a major backer of the company with more than $30 billion invested in the UK, is a key target of Reeves’s campaign. Earlier this year, Schwarzman attended the opening of Blackstone’s new European headquarters in London’s Mayfair.
The British government is preparing to hold a major conference in October to present its ideas to global investment leaders, with Labour hosting the Global Investment Summit to continue the tradition of attracting top Wall Street executives.
Rachel Reeves has a long history of engaging with business leaders, having led a campaign as shadow chancellor dubbed the “smoked salmon and scrambled eggs attack”. Inspired by President Biden’s industrial strategy, Reeves aims to revitalise the UK’s industrial regions and support sectors ranging from life sciences to green industries.
In a recent interview with Laura Kuenssberg on the BBC’s Sunday programme, Reeves highlighted her commitment to securing investment and creating jobs in the UK, saying: “I want to ensure that Britain gets its fair share of investment, that we create jobs in industries from life sciences to green industries like carbon capture and storage, and that we support our financial services sector, which employs over a million people.”