Proactive Investors - Rachel Reeves, the Labour shadow chancellor, declared she and her party will "unashamedly champion" the UK's financial services sector.
Ahead of a general election this year, her comments mark a pivot from Labour's previously strained interactions with the financial industry in past leaderships.
Heavily influenced by advice from City veterans, Labour seeks to streamline regulation, leverage technological advancements like artificial intelligence (AI), and solidify the UK's position on the global financial stage.
Reeves is set to launch Labour’s plans for the City and financial services on Thursday at a business event expected to be attended by leaders from companies such as AstraZeneca (NASDAQ:AZN), Google (NASDAQ:GOOGL) and Shell (LON:RDSa).
Notably, the strategy stops short of proposing any drastic political changes, reflecting an understanding of the sector's desire for stability post-Brexit.
“The last thing we need is a massive upheaval,” said a Reeves supporter. “Rachel recognises that stability and security are needed.”
Under the plans, Labour would welcome Conservative changes such as Jeremy Hunt’s Edinburgh reforms and the changes to the Solvency II regime.
“Too often in the last decade, British politicians have sounded embarrassed about the sectors we excel in… That will change with Labour,” Reeves said.
Additionally, the plans will tackle regulating 'buy now pay later' (BNPL) schemes, a review of City regulation, building relationships with the EU and the rollout of ‘banking hubs’ for free access to financial services, according to reports.