The UK business secretary is taking an activist approach to boosting economic growth by "betting big" on promising companies that have the potential to scale up quickly. Peter Kyle, 55, made this statement at the World Economic Forum in Davos, where he and Chancellor Rachel Reeves highlighted Britain's prospects for success.
Kyle invoked Margaret Thatcher's phrase "picking winners," which was previously associated with a hands-off approach to industrial policy. However, Kyle sees it as an opportunity to invest in companies that have significant potential for growth. He believes that this could lead to thousands of new jobs and the creation of enormous wealth, which would benefit the economy rapidly.
Kyle's plan involves the government taking direct stakes in growing businesses through equity investments. The recent decision allows the British Business Bank to buy a £26 billion stake in companies. This move aims to expedite growth in scale-up companies, such as Octopus Energy's software spin-off Kraken, which has already employed 1,500 people.
Kyle emphasized that failure is a natural part of economic growth and should not be feared. He argued that having a healthy economy requires some level of risk-taking and the willingness to invest in promising businesses. The government's activist approach will also help attract global talent to the UK, with Kyle suggesting that he would "suck the best talent" from wherever it exists.
Kyle rejected concerns about public skepticism towards migration, arguing that wealthy entrepreneurs are not the target. He emphasized the need for a more nuanced approach and highlighted the importance of a bespoke package for attracting top talent to the UK.
Kyle invoked Margaret Thatcher's phrase "picking winners," which was previously associated with a hands-off approach to industrial policy. However, Kyle sees it as an opportunity to invest in companies that have significant potential for growth. He believes that this could lead to thousands of new jobs and the creation of enormous wealth, which would benefit the economy rapidly.
Kyle's plan involves the government taking direct stakes in growing businesses through equity investments. The recent decision allows the British Business Bank to buy a £26 billion stake in companies. This move aims to expedite growth in scale-up companies, such as Octopus Energy's software spin-off Kraken, which has already employed 1,500 people.
Kyle emphasized that failure is a natural part of economic growth and should not be feared. He argued that having a healthy economy requires some level of risk-taking and the willingness to invest in promising businesses. The government's activist approach will also help attract global talent to the UK, with Kyle suggesting that he would "suck the best talent" from wherever it exists.
Kyle rejected concerns about public skepticism towards migration, arguing that wealthy entrepreneurs are not the target. He emphasized the need for a more nuanced approach and highlighted the importance of a bespoke package for attracting top talent to the UK.
. Peter Kyle's plan to invest in promising companies through equity investments is genius, imo 
. It's all about creating jobs and wealth, which will benefit the economy rapidly 
. I mean, who doesn't want thousands of new job opportunities? 
. And, let's be real, the UK needs to attract top talent from around the world 
. The government should definitely focus on creating a bespoke package to lure in the best minds 
.
. It's amazing how that company has already created 1,500 jobs! 
. It sounds like a bunch of money being thrown at companies without really thinking about the long-term consequences 
.
. We can't just pick companies that are going to be winners without doing some proper research and analysis. And even if they do succeed, who gets the majority of the profits? The government or the company owners?
. That's easy to say when you're the one calling the shots, but what about all the people who get left behind when companies fail? We need more support for small businesses and workers, not just some high-stakes gamble 
... I mean, taking direct stakes in companies through equity investments? That's like playing a high-stakes game with other people's money 
?
!! investing in those promising companies is like, the ultimate way to boost economic growth and create THOUSANDS of new jobs 
?! it's all about taking calculated risks and putting your money where your mouth is 
and i'm high-key rooting for peter kyle to make it happen 
. What's wrong with just supporting businesses through tax breaks or something? It seems like the government is trying to play both sides here, and I worry it could all come crashing down if things don't work out 
.
?
. And who's gonna decide which "promising" companies get the cash? The government? Please, they're just as clueless as everyone else 
.
, but we gotta be careful not to take too much risk 
. We need to make the UK an attractive place for entrepreneurs and innovators to thrive 
.
, especially since they're already doing some amazing things with their software spin-off Kraken 
! And let's not forget about creating enormous wealth 
. It's all about balance, right? And what does this mean for the smaller businesses already in the UK? Are they gonna get left behind? 
️.
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. And let's be real, who doesn't want to attract global talent to the UK?