How more firms can invest and drive growth across the UK

We all face an uncertain macroeconomic backdrop and businesses and government need to cooperate to drive growth across the UK. This is a challenge – but it is one that can be met.

It means this year’s CBI Annual Conference comes at a crucial time for the country. I feel privileged to be speaking on a panel discussing what we need to help create an environment for UK businesses to invest and drive growth across the whole of the UK. And it’s important we have productive conversations like this.

Growth can’t simply be about numbers on a spreadsheet, it needs the policies to incentivise the right sort of investment in the UK, and its people.

As a nation, we have some of the largest pools of capital in the world. Our financial services are a key asset to achieving sustainable growth, particularly our pensions and insurance industries.

Phoenix Group, as the UK’s largest long-term savings and retirement business, has a significant role to play in an investment-led recovery and the country’s net-zero future. We are a major long-term investor, providing patient capital into the real economy, led by our purpose of helping people secure a life of possibilities.

We believe we can supercharge the UK’s levelling up agenda and increase our investment in productive sectors that can make a difference. Affordable housing, renewable energy, sustainable infrastructure, healthcare and education facilities, SMEs – we are driving capital into all of these areas to make a tangible difference to people’s lives.

The right regulation can unlock growth

We know we can do more. Phoenix Group has the ambition to invest £40-50bn over the next five years. But, this depends on having the right regulatory framework in place. A framework that can unlock large pools of capital to support growth, while also ensuring customer protections are maintained at the highest level.

Take the example of net zero. The transition to a zero carbon economy could require £2.7trn of investment by 2035. The UK insurance sector alone could provide up to one-third of this investment – helping to cut emissions while delivering strong returns and creating good green jobs. To make this happen, we need to see reforms to Solvency II regulation which will unlock capital investment, and new objectives for regulators – through the Financial Services and Markets Bill – to drive economic growth, net zero and customer protection.

Those changes would allow us to realise our ambition to invest more in UK infrastructure, venture capital and growth equity, and other long-term productive assets all across the country.

Business responsibility for people doesn’t stop with staff

Birmingham, where the CBI’s conference will be held, is emblematic of the thriving cities and regions that exist across UK. It’s also where a large proportion of Phoenix staff are based, so it’s a community where we have deep roots.

And at the other side of the investment coin is people. Getting growth in the economy and being able to invest in net zero is dependent on making our workplaces better and optimising the talents of everyone.

It starts with how we treat our own people. But given the company’s long-term savings and retirement focus, Phoenix is acutely tuned into the implications of people living longer lives. With approximately 13 million customers – around one in four of the UK’s adult population - we have a deep responsibility to help drive change and that informs our purpose as a business to help people achieve a life of possibilities.

Last year we formed Phoenix Insights, a think tank set up to transform the way society responds to the opportunities of longer lives. A key purpose is to inspire a culture of lifelong learning, which is why we are calling on the government to work with businesses to incentivise people to take learning opportunities throughout their careers.

In my role as the government’s Business Champion for Older Workers one of my activities is to co-chair a roundtable with the Minster for Employment. We convene business leaders, large and small, to tackle the issues facing employers and make recommendations to governments and businesses.

Achieving economic growth, ensuring society is set up to deal with increasing longevity, and doing so sustainability, must be our collective mission.

Here more from Andy Briggs on day one of the CBI Annual Conference.