Look how we’ve responded to Russian aggression in Ukraine. We have stood firm in our support for Ukraine. We’ve convened world leaders and worked with our international allies. And we’ve boosted our defence spending – the highest sustained increase since the Cold War – not just for the lasting peace of Ukraine, because it’s vital to the security of the UK. This investment will also bring a “defence dividend” with more, better paid jobs.
We know this approach works.
That is why on tariffs, the immediate priority is to keep calm and fight for the best deal. Nobody wins from a trade war. The economic consequences, here and across the globe, could be profound. We already have a balanced trading relationship with our American allies and work continues on a new economic prosperity deal.
Nonetheless, all options remain on the table.
I will only strike a deal if it is right for British business and the security of working people. And I will continue to make the case for free and open trade, because turning our back on that now would be a grave mistake.
After all, this is our heritage as an island nation. From the car manufacturers of the West Midlands to the whisky producers of the Western Isles, free trade is a galvanising force for British export businesses. This Government will champion their voice on the international stage.
That also means strengthening our alliances and reducing barriers to trade with other economies around the world. Agile diplomacy delivers a stronger, more diverse, and secure economy here at home. As our nation has with defence and security, we must rise to the moment on trade and the economy.
Turbocharge
But we must also go further. This week we will turbocharge plans that will improve our domestic competitiveness, so we’re less exposed to these kinds of global shocks. We’re building resilience, making Britain a tapestry of thriving economies, maximising local skills, talents and opportunities. Creating wealth in every corner and delivering security for everyone, everywhere. National renewal will take the skills and talents of us all.
We stand ready to use industrial policy to help shelter British business from the storm. Some people may feel uncomfortable about this – the idea the state should intervene directly to shape the market has often been derided. But we simply cannot cling on to old sentiments when the world is turning this fast.
That refusal to accept a changing world is at the heart of Britain’s declinism over recent decades. For too long, our major institutions have simply tried to manage crises. The approach has been to muddle through, rather than deal with the fundamental cause.
It’s working people who have been hit hardest. Nurses, builders, carers – people working harder and harder for fewer pounds in their pocket. People are fed up to the back teeth with insecurity in their lives and in their community. In this new era of global instability, people look towards the future with trepidation.
But a return to the calm and stable leadership that Britain is known for all around the world has long been the beating heart of my political project. That’s what I promised in my first speech as Prime Minister. Yet I was clear – stability can only come through security for working people and national renewal.
At home and abroad, that is what drives everything we are doing as a Government. It is written through my Plan for Change. Putting more money in the pockets of working people with higher wages.
Making sure wealth is created in every community. Getting our public services back on their feet. Securing our energy independence with clean British energy.
Making work pay with stronger employment rights. Backing young people who want to work, rather than always reaching for the easy answer of overseas labour. Ripping up the stifling state bureaucracy that stops us building the homes and infrastructure of the future. Protecting our national security with the biggest defence investment since the end of the Cold War.
This week, the Government will do everything necessary to protect Britain’s national interest. Because when global economic sands are shifting, our laser focus on delivering for Britain will not. And these new times demand a new mentality. We have gone further and faster on national security, now we must do the same on economic security through strengthened alliances and reducing barriers to trade.
Working people need a new foundation of security so they have the freedom to get on with their lives. That is the national interest and the priority of this Government. Strength abroad. Security at home.
