MARY PORTAS ON ‘WHY A PARTNERSHIP BETWEEN A FAR-SIGHTED GOVERNMENT AND RESPONSIBLE BUSINESS IS NEEDED’

Mary Portas introduces Rachel Reeves’ keynote speech

LIVERPOOL, 9TH OCTOBER 2023: Mary Portas, co-chair of the The Better Business Act (BBA) today introduced shadow chancellor Rachel Reeves’ keynote speech. Portas talked about the need for the government to start working together with businesses to propel us forward into the new future that we need, and how innovation is vital for a greener future. She also said that a partnership was required between a far-sighted government and responsible business.

Portas also addressed an audience at a fringe event at the Labour party conference this morning on the challenge of Net Zero, focussing on the impact that those companies that are putting green growth at the heart of their businesses are having. Portas said: “The change ahead is not about contraction or limitation. It’s not about putting off our Net Zero goals to supposedly help the economy get back up on its feet. These businesses that are bringing green growth to life (are doing so) in very real, very innovative, very practical and very commercial ways.” 

Portas said: “We at the Better Business Act are fighting to create a small but deeply important step in the right direction to help guide that transformation. A change in the law that would ensure a cleaner, greener, fairer future for all.

“The move towards Net Zero isn’t an economic problem. It’s an exciting chance for us to thrive, environmentally, socially and economically. The change ahead is not about contraction or limitation. It’s not about putting off our Net Zero goals to supposedly help the economy get back up on its feet. A carbon neutral economy IS the new economy. Just as Mark Carney said four years ago when he was governor of the Bank of England.”

 The Better Business Act would amend Section 172 of the Companies Act, which sets out the ‘job description’ for company directors. Passing the Better Business Act would ensure that companies are legally required to align the interests of all stakeholders, including workers, customers, communities, and the environment and their shareholders. This would empower directors to act and deliver value in the longer term and with benefit to all stakeholders.

General support for the BBA is growing, over 2,000 UK organisations have now backed the change and are helping make the case for the BBA to the government. These include Tony’s Chocolonely, Iceland, innocent and Kin + Carta. In March this year, the BBA conducted research which showed that 77% of British voters believe that businesses should have a legal responsibility to people and the planet, as well as profit and this is consistent across party divides.

Portas continued, talking about the push from larger businesses: “huge businesses are urging our government to act decisively. Voices like Ford UK chair Lisa Brankin who described the UK 2030 target as ‘a vital catalyst’. And called for three key things from our government: ambition, commitment and consistency.”

The Better Business Act is pleased to see the inclusion of a policy commitment on corporate governance from the Labour Party,  ensuring ‘frameworks embed long-termism, enable investment and ensure greater action in the interests of their workers, customers, communities and the environment’. 

Chris Turner, campaign director of the Better Business Act said: “This commitment in the form of a draft policy couldn't come at a more important time for the UK - when we need businesses and government to come together to help solve the significant problems that the UK is facing. We are pleased to see corporate governance included in the national policy framework draft manifesto and look forward to working with the Labour team on the details of how this policy could be implemented.  Businesses are calling for stability, long-term decision making and a landscape that encourages growth and investment in the UK. The Better Business Act will help to achieve this.”