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McDonnell: asset managers like our investment plans (but not the taxes)

McDonnell: asset managers like our investment plans (but not the taxes)

Labour’s manifesto pledge to invest in infrastructure has received a warm reception from asset managers, according to shadow chancellor John McDonnell.

Speaking at The World Transformed, a conference organised by grassroots Labour movement Momentum, McDonnell (pictured) said meetings held behind closed doors showed businesses were receptive to plans put forward in the party's manifesto earlier this year to invest £250 billion in UK infrastructure. 

‘[We] have been meeting various people, asset managers and others, privately. We will not name them, they would not want to lose their careers.

‘But we have been meeting them to [look at] scenario planning to a certain extent.

‘The message that comes across is they do not like some of our taxation policies, understandably, but what they do like is that approach of long-term investment in our infrastructure which enables them to participate in the economy effectively, in their terms,’ he said.

The talk was part of a panel discussion titled 'Governing from the Radical Left' and looked at what Labour would do in its first 100 days in power.

McDonnell said he wanted to get this underway quickly in the event Labour is voted in to government.

The shadow chancellor said looking ahead, scenario planning and even drafting legislation in preparation for forming a government was all underway. 

‘That is the kind of bureaucrat I am. That is the sort of bureaucratic work that has to be done in preparation for almost a traditional government. But we will not be a traditional government, we are going to be a radical government,' he said. 

McDonnell told Labour members scenario planning for all eventualities such as a run on the pound or capital flight was important partly because, ‘people want to know we are ready, they want to know we have a response to anything that can happen.’ 

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