Angela Rayner Urged to Eliminate Planning Red Tape to Boost Economy
Legal & General CEO Antonio Simoes has called for Deputy Prime Minister Angela Rayner to expedite the planning approval process, citing its negative impact on economic growth. Simoes noted that lengthy delays have placed the UK at a competitive disadvantage compared to other developed economies.
Simoes warned that pent-up demand for UK investment could dissipate if the government fails to address the issue. "Planning reform is essential," he emphasized, adding that swift approvals are crucial for driving growth.
Prime Minister Sir Keir Starmer has pledged to reduce red tape and stimulate construction activity. However, economists have expressed skepticism about the short-term impact of these measures, as the Bank of England predicts a near-recession scenario for 2023.
Simoes's comments followed L&G's announcement of a £5bn shareholder distribution after selling its US life assurance business. The CEO emphasized the insurer's readiness to invest in the UK and urged Labour to adopt a more business-friendly stance.
"We need an environment that enables swift investment, especially in affordable housing, which is a key part of my strategy," Simoes concluded.