Will pressure from business and their own economic priorities force Starmer and Reeves to dilute promised employment reforms?

et us take them, please, at their word. All the senior figures across government tell us that their true north, their lodestar, their central purpose is economic growth. Growth brings confidence, a more relaxed social fabric, the funding for more adequate public services.

There are good arguments about whether GDP is a sensible measure, but the government that brings growth is, these days, by and large a successful government. Its society is more law-abiding, less paranoid, more tolerant.

Let us take them, please, at their word. All the senior figures across government tell us that their true north, their lodestar, their central purpose is economic growth. Growth brings confidence, a more relaxed social fabric, the funding for more adequate public services.

There are good arguments about whether GDP is a sensible measure, but the government that brings growth is, these days, by and large, a successful government. Its society is more law-abiding, less paranoid, more tolerant.

However, simply talking about growth is one thing; achieving it is another. The challenge lies in turning lofty ideals into actionable policies that can stimulate sustained economic expansion. To achieve this, the government must address key areas that either support or hinder growth. Among the central issues are infrastructure development, investment in technology and innovation, education, healthcare, and social equity. Each of these plays a vital role in shaping a society capable of adapting to an evolving economic landscape.

Infrastructure serves as the backbone of any thriving economy. Efficient transportation systems, reliable energy sources, and digital connectivity all contribute to a business environment conducive to growth. Without the necessary investment in these areas, economies stagnate, and innovation suffers. The government must commit to long-term infrastructure projects that not only create jobs in the short term but also lay the foundation for sustainable economic prosperity.

Investment in technology and innovation is equally crucial. In an age where the global economy is increasingly driven by advancements in artificial intelligence, automation, and data science, any government serious about growth must prioritize these sectors. Governments that lag behind in fostering technological progress risk falling out of sync with the global marketplace. Incentivizing research and development, supporting startups, and modernizing industries are all critical elements in ensuring growth in this area.

Education and healthcare are not just social imperatives but also economic ones. A well-educated and healthy workforce is the engine of economic growth. Without a focus on improving education systems and healthcare infrastructure, long-term economic growth becomes impossible. Education reforms aimed at equipping the workforce with the skills necessary for the digital age will be vital, and universal access to healthcare ensures that employees remain productive and able to contribute to the economy.

Moreover, growth that fails to address social equity is incomplete. Economic inequality hampers growth by creating social tension and limiting the spending power of large portions of the population. For growth to be truly meaningful and sustainable, it must be inclusive. This means ensuring that all citizens have access to the opportunities that growth provides, whether through fair wages, affordable housing, or social mobility. A society where wealth is concentrated in the hands of a few is not only morally questionable but also economically inefficient.

Finally, the government’s pursuit of growth must be aligned with the long-term sustainability of the environment. Climate change poses an existential threat to economies worldwide, and any short-term gains achieved at the cost of environmental degradation will ultimately backfire. Governments must integrate environmental considerations into their economic strategies, ensuring that growth is green and sustainable.

In conclusion, while economic growth may be the government’s stated objective, realizing it requires a holistic approach that addresses infrastructure, technology, education, healthcare, social equity, and environmental sustainability. Only by tackling these challenges head-on can a government truly achieve the growth it promises, creating a society that is prosperous, fair, and resilient for generations to come.