UK politics briefing: a view from the CBIGuy Dru Drury, Chief Representative, China

25 June 2009

Overview of the current landscape

● The Labour Party is now into its 13th year of government

● The Conservatives are ahead in the polls

● The expenses scandal (ongoing since early May 2009)

● Cabinet reshuffle (5 June) and departmental reorganisation

● Election of new Speaker of the Commons (22 June)

Party popularity

Cabinet Reshuffle - ● Prime Minister, First Lord of the Treasury and Minister for the Civil Service Rt Hon Gordon Brown MP

● Leader of the House of Commons and Lord Privy Seal Rt Hon Harriet Harman QC MP

● Secretary of State for Business, Innovation and Skills, First Secretary and Lord President of the Council Rt Hon Lord Mandelson

● Chancellor of the Exchequer Rt Hon Alistair Darling MP

● Secretary of State for Foreign and Commonwealth Affairs Rt Hon David Miliband MP

● Secretary of State for Justice and Lord Chancellor Rt Hon Jack Straw MP

● Secretary of State for the Home Department Rt Hon Alan Johnson MP

● Secretary of State for Environment, Food and Rural Affairs Rt Hon Hilary Benn MP

● Secretary of State for International Development Rt Hon Douglas Alexander MP

● Secretary of State for Communities and Local Government Rt Hon John Denham MP

● Secretary of State for Children, Schools and Families Rt Hon Ed Balls MP

● Secretary of State for Energy and Climate Change Rt Hon Edward Miliband MP

● Secretary of State for Health Rt Hon Andy Burnham MP

● Secretary of State for Northern Ireland Rt Hon Shaun Woodward MP *

● Leader of the House of Lords and Chancellor of the Duchy of Lancaster Rt Hon Baroness Royall of Blaisdon

● Minister for the Cabinet Office, and for the Olympics and Paymaster General Rt Hon Tessa Jowell MP

● Secretary of State for Scotland Rt Hon Jim Murphy MP

● Secretary of State for Work and Pensions Rt Hon Yvette Cooper MP

● Chief Secretary to the Treasury Rt Hon Liam Byrne MP

● Secretary of State for Wales Rt Hon Peter Hain MP

● Secretary of State for Defence Rt Hon Bob Ainsworth MP

● Secretary of State for Transport Rt Hon Lord Adonis

● Secretary of State for Culture, Media and Sport Rt Hon Ben Bradshaw MP    

● Also attend Cabinet meetings:   Minister for Africa, Asia and the UN Rt Hon Lord Malloch-Brown KCMG Minister of State Employment & Welfare Reform Rt Hon Jim Knight MP Minister of State for Department Business, Innovations & Skills Rt Hon Pat McFadden MP Minister for Housing Rt Hon John Healey MP Minister for Science and Innovation Rt Hon Lord Drayson * Parliamentary Secretary to the Treasury and Chief Whip

Department for Business, Innovation and Skills

Recent select committee enquiries:

● Commons Treasury Select Committee and Lords Economic Affairs Committee have both published reports on the banking crisis.

● The Business and Enterprise Committee has been looking at access to finance.

● The Transport Committee is examining the future of aviation.

● The Environmental Audit Committee has examine the success of the European Union’s emissions trading scheme.

Forthcoming legislation:

● Bribery and corruption

● Carbon capture and storage

● Digital economy bill

● Finance bill

The shape of the year to come:

● Gordon Brown to reveal a ‘national plan’ for Britain at the end of the month.

● Summer recess. 22 July to 12 October 2009.

● Party conference season:

– Liberal Democrats, 19-23 September. (Bournemouth)

– Labour, 26-30 September. (Brighton)

– Conservatives, 5-8 October. (Manchester)

● Queen’s Speech. Expected at the end of November or early December.

● General Election….?

Key policy commitments:

Who to watch:

Key person profile: George Osborne MP

● Shadow Chancellor of the Exchequer since May 2005

● Close to David Cameron – ran his leadership campaign in 2005

● In addition to developing Conservative policy on public expenditure and taxation, he is general election coordinator – helping to write manifesto

● Public opinion of him not good?

Key takeaway thoughts:

● Waxing and waning of British political figures:

– Brown a lame duck

– Mandelson the biggest winner

– Darling is now deeply rooted

– Osborne a rising star behind the scenes

● Ethics issues: do they transfer/spread?

● Policy areas which the UK government is focusing on: climate change, corporate governance

Finally....

● Date of next briefing: 17 September 2009 (pre party conferences)

● Points of contact:

– Guy Dru Drury +86 10 8525 3100

– Rhian Chilcott, +1 202 530 0510

– Claire Neilson-Noble, +44 20 7395 8004

● Questions??