London Daily

Focus on the big picture.
Monday, Aug 10, 2026

Britain's Labour Party works to become 'the party of business'

Britain's Labour Party works to become 'the party of business'

After decades funding Britain's governing Conservatives, businessman Gareth Quarry has switched allegiance and started donating to the opposition Labour Party in the belief that it offers more certainty and stability.

The 63-year-old entrepreneur abandoned the Conservatives after what he called "a litany of misdemeanours" that destroyed Britain's centuries-old reputation for financial stability.

Quarry is one of a growing number of investors, company executives and bankers turning to Labour, which has a strong lead in opinion polls over Prime Minister Rishi Sunak's Conservatives before a national election expected in 2024.

"A lot of us are finding our way to Labour," Quarry, who made his millions from two legal recruitment companies and now heads a company that makes health supplements, told Reuters.

His view that Labour has taken the Conservatives' mantle as the "party of business" has been strengthened by meetings with Labour lawmakers and policy chiefs under leader Keir Starmer.

"I realised that in Labour we have a left-of-centre party that is about making society fairer and is adamantly pro-working with business - not just (paying) lip service but truly working with business," said Quarry, chair of LVDY Health and Wellbeing.

For years, company owners and business executives sided with the Conservatives, believing that the party of Margaret Thatcher was most likely to create the flexible working conditions and consumer confidence that is needed to grow the economy.

But for many that relationship was shattered by the party's support for Brexit and its decision to take Britain out of Europe's single market, the world's biggest trading bloc.

Aware that Labour enjoyed its greatest electoral success in modern times under the pro-business leadership of Tony Blair, senior party officials have set out to woo business people.

Executives at banks, investment groups and venture capital firms told Reuters they have met leading Labour figures led by Rachel Reeves, the party's finance policy chief and a former Bank of England economist.

"They're asking a lot of questions," one large international investor in Britain said.

Several sources in the finance industry said Labour, which also courted business leaders at its annual conference and at a recent sell-out London summit, wanted to better use the sector to snap the country out of years of stagnant economic growth.



GROWING DONATIONS
The heightened attention has helped drive up donations to a party that has long been backed by funds from trade unions.

In the three months to September, Labour received 4.8 million pounds ($5.8 million), including contributions from the unions, to the Conservatives' just over 3 million pounds, according to the electoral commission. That compares with 5.4 million to the Conservatives and 3.8 million to Labour in the earlier quarter.

Some Conservative lawmakers dismiss the data as little more than an aberration, triggered by a leadership crisis this summer in which the party ousted first Boris Johnson and then Liz Truss in a matter of weeks.

Individual Conservative groups, they say, are still doing well. The Conservative Party's headquarters did not respond to a request for comment.

Several Conservatives said they hoped to win back business support with the appointment of Sunak, the country's former finance minister and Goldman Sachs analyst who created the furlough scheme to support jobs during COVID-19 lockdowns.

But many business leaders are still seething after Johnson reportedly used an expletive when asked as foreign minister about business fears over Brexit, and after Truss sent the cost of borrowing soaring with plans for unfunded cuts.

Quarry, who as a donor once attended dinner parties with former prime minister David Cameron, withdrew his support over Johnson and has since become a Labour member and donated 50,000 pounds this year, a sum matched by his wife.

Labour said donors could see the party was "serious about getting into government and building a fairer, greener, more dynamic Britain". But it is taking nothing for granted.

The shadow cabinet team sticks to strict messaging on public spending to jettison any lingering doubts about its stewardship of the nation's finances, and they are navigating a fine line on strikes after tens of thousands of workers walked out from jobs on the railways, in the health service and at airports.

Starmer says he supports the right to industrial action but has refused to back the current walkouts, instead blaming the government for failing to prevent the action - a strategy one Conservative insider described as "clever".

But, for several business people, the Labour Party offers concrete change, albeit perhaps with the sobering suggestion that the wealthy might have to shoulder more of the tax burden.

Quarry points to Labour's plans to improve the Conservative's much maligned apprenticeship levy and a pledge to cut, and eventually scrap, business rates by replacing them with a new business tax system.

In return they want companies to invest more.

"That's something I've signed up to, but that's on the back of (the fact that) I am absolutely convinced that they are going to provide me with an environment that is certain, that is predictable, that encourages investment," Quarry said.
Newsletter

Related Articles

0:00
0:00
Close
Russia’s A7 Builds a State-Linked Payments Network Beyond Western Sanctions
Reports of Mark Zuckerberg-Linked Superyacht Declining Rescue Assistance Draw Maritime Scrutiny
Preserving Three Banksy Artworks in London Has Cost Taxpayers Nearly £150,000
Four Ugandan Athletes Disappear From Delegation After UK Sporting Events
French Authorities Report Channel Interventions as Cross-Border Migration Dispute Continues
Home Office Admits Error in Settled Status Case Involving Long-Term Italian Resident
Unite Calls for Independent Review of UK Budget Watchdog's Fiscal Forecasting Rules
Thinktank Calls for £175 Annual Energy Bill Cut for Low-Income Households
Foreign-Linked Social Media Accounts Amplified Recent Unrest in Belfast and Southampton, Analysis Finds
London Mayor Sadiq Khan Orders Westminster to Drop Proposed Soho and West End Hospitality Ban
Royal Navy Deployments to Monitor Russian Activity in UK Waters Rise 25 Percent
UK Economy Expected to Grow 0.4 Percent in Second Quarter Despite Geopolitical Pressures
Andy Burnham Launches Cost-of-Living Measures Targeting Subscription Traps and Misleading Discounts
Hyper-Realistic Reborn Dolls Draw Collectors Seeking Comfort and Craft
Gen Z Cuts Back on Dating as a Night Out Nears $200
Patients Turn to Artificial Intelligence for Therapy as Psychiatrists Warn of Privacy and Clinical Risks
Couples Embrace ‘Sleep Divorce’ to Protect Rest and Reduce Tension
Meta Ordered to Pay $567 Million and Change Facebook and Instagram Safeguards for Children
Up to only 10 Months in Prison for Swedish Officer’s Murderer Sparks Anger
Success: Nvidia Turned Gaming Chips Into the Engine of the AI Boom
Jorge Messi, Lionel Messi’s Father and Longtime Agent, Dies at 68
AI’s Next Bottleneck Is Power, Not Just Nvidia Chips
Advertising trick: Pepsi’s Harrier Jet Commercial Led to a $700,000 Court Fight
Meta Raises AI Spending Target to as Much as $145bn Despite Pressure Over Returns
Danube Drought Exposes Nazi Wrecks and Pushes Central Europe’s Power System to the Brink
Joe Biden’s Cancer Has Spread Beyond His Bones, Hunter Biden Says
Air Traffic Control Outage Grounded Flights Across the Midwest
Why 2027 Could Be a Strong Year for Stocks—and Why the Forecast Is Fragile
Why Markets May Look Quiet in August After Big Tech Earnings
Partial Solar Eclipse Expected to Draw Interest Across Southwestern UK
UK Graduate Job Postings Fall 7% as Entry-Level Opportunities Remain Scarce
UK Private Sector Returns to Growth as July Activity Reaches Highest Level Since April
UK Summer Drought and Wildfires Raise Pressure for Stronger Environmental Measures
UK Household Credit Stress Rises as Credit Card Lending Growth Hits 12.5%
London Stock Exchange Revises AIM Rules to Make Growth Capital More Accessible
NHS England to Expand Mental Health Services With 155 New and Upgraded Facilities
UK Overhauls £90 Billion Public Procurement System to Reward Domestic Jobs and Apprenticeships
Andy Burnham Holds Strong Approval as Labour Maintains Narrow Lead Over Reform UK, Opinium Finds
Royal Navy Monitored Russian Warships and Shadow Fleet Tankers for 21 Days in July
Australian Crew Evacuates Seriously Ill American From Antarctica in Midwinter Darkness
Trump’s Top General Seeks an Exit Strategy From Iran War, Report Says
Brock Lesnar Retires From Wrestling, Closing a Career of Rare Athletic Range and Lasting Controversy
Welsh First Minister Raises Independence With UK Prime Minister in First High-Level Call
UK Maintains Severe Terror Threat Level as Prevent Report Highlights Online Radicalization
YouGov Poll Shows Labour Favourability Improves as Reform UK and Greens Lose Ground
Brexit Campaigner Arron Banks Admits Hiring Private Investigator to Examine Journalist
Robert Jenrick Leaves Conservatives for Reform UK in Major Parliamentary Defection
July 2026 Was England and Wales’ Driest Month on Record, Met Office Says
UK Government Considers Public Inquiry Into Jeffrey Epstein’s UK Connections
Trump-Era Policy Shifts Test the Boundaries of U.S. Institutions
×