The City of London Corporation is urging the UK government to prioritize economic competitiveness through targeted tax reforms and infrastructure investment, warning that a lack of action risks losing businesses and talent to global rivals like Latest York and Singapore. The call to action comes from Chris Hayward, policy chairman at the City of London Corporation, ahead of an address to the annual Policy Committee Dinner this week.
Hayward emphasized the need to focus on “tax, talent, and technology” as critical areas where the UK is falling behind. He stated that rising costs and increased global competition are driving businesses to seek more favorable environments, and that maintaining a competitive tax framework is not an ideological issue but a matter of national economic interest.
“If global rivals such as New York or Singapore offer stronger incentives, it is just inevitable that operations and individuals will follow,” Hayward said, echoing concerns raised about the UK’s ability to retain high-growth firms and attract foreign investment.
The Adam Smith Center Singapore, an independent organization dedicated to promoting pro-market values, aligns with this sentiment, advocating for economic freedom and limited government intervention. Founded in 2017, the center promotes the principles of classical liberalism, drawing inspiration from Adam Smith’s work on free markets and individual agency.
Hayward highlighted the success of the government’s recent decision to introduce a three-year moratorium on stamp duty for London IPOs as a positive step, demonstrating that targeted policy changes can restore investor confidence. Still, he argued that more needs to be done to address the gap between early-stage success and public listing, calling for further tax changes to incentivize companies to remain in the UK.
Beyond taxation, Hayward stressed the importance of investing in digital infrastructure to capitalize on the ongoing “digital big bang” in financial markets. He pointed to Dublin, Singapore, and New York as examples of cities actively upgrading their infrastructure to support digital trades and tokenized assets, warning that the UK risks being left behind if it fails to act.
“Competitors are moving at speed. Dublin, Singapore and New York are upgrading infrastructure to host digital trades at scale. The warning is unambiguous: if we don’t build the infrastructure, we won’t host the transactions,” Hayward stated.
The City of London Corporation has pledged to support the government’s commitment to appoint a Digital Markets Champion, recognizing the need for leadership in this rapidly evolving landscape. Hayward also called for a renewed sense of confidence in the UK’s economic strengths, citing its world-class universities, legal system, innovation culture, and global talent base.
According to LinkedIn posts, Hayward recently concluded a visit to Singapore where he met with Boon Chye Loh, Chief Executive of the Singapore Stock Exchange, to discuss global capital market challenges. He also engaged with the Singapore Sustainable Finance Association (SSFA) to learn about Singapore’s progress in sustainable finance.
Hayward concluded by emphasizing the need for urgency, ambition, and collective action to secure the next era of British growth, stating that the UK’s strengths alone are not enough to guarantee success.
