Trevor Abrahmsohn, CEO of luxury property consultancy firm Glentree International, responds to Rachel Reeves’ speech about growing the UK economy
I’m caught on two horns of a dilemma with Rachel Reeves. On one hand, not three months ago she designed a Budget which served to be a brake on growth and an exacerbation of unemployment and inflation. And here she is, fresh faced and bright eyed, extolling the virtues of positive growth and a rejuvenation of capital projects.
Unfortunately, it appears that she is the obstacle not the catalyst and although I applaud the extension to a third runway proposal for Heathrow, even if this is successful and passes the regulatory hurdles, the benefits will only be tangible in 10 year’s time.
The planning reforms she is so hell bent to push through in order to build more housing in the UK is very welcome, but they will also take time to implement, and the benefits will only be seen possibly at the end of her first Electoral term.
In the meantime, having imposed such draconian taxes on business in the autumn Budget, growth will suffer, unemployment will rise and the burden on the ‘working person’ will increase.
The Renters’ Reform Bill will frighten the few remaining private landlords to divest themselves of their buy-to-let properties which will only serve to reduce the supply and push up rents which will further disenfranchise the vulnerable.
Not three months ago the Prime Minister was warning us that conditions will get worse before they get better and now the Chancellor is telling us to ape the Trump positivity in order to believe that things will get better. These contradictory statements are becoming the usual mantra of this government and is no wonder that the Prime Minister is trawling new depths of dissatisfaction from the disillusioned Electorate in record time.