City minister: FTSE 100 record proves London’s got its spark back
The FTSE’s 10,000 point milestone is a sign of global confidence in London’s capital markets, writes City minister Lucy Rigby
This morning the FTSE 100 broke through 10,000 points for the first time in its history. That is a milestone moment for the index, for our capital markets and for the millions of savers whose futures are tied to the strength of the UK economy.
Last year, the FTSE 100 rose by around 21 per cent – its strongest year since 2009 – and outperformed the S&P 500.
You can see that new confidence in the recent listings we’ve secured. Princes Group – the owner of household names like Flora and Napolina – chose London. So did Shawbrook Bank and the Beauty Tech Group, showing the depth, sophistication and international reach of our capital markets.
London’s attractions are manifest and growing. Last summer’s overhaul of the UK listing rules made our regime more flexible and more competitive. That is why Fermi America completed the first ever dual listing – exactly the kind of innovative play we want to see.
We’ve backed those regulatory changes with targeted tax reform. Our three-year Stamp Duty relief for new IPOs is a clear signal: if you are an ambitious company looking to go public, London wants you here – and we are prepared to put our money where our mouth is. Alongside that, we are deploying British Business Bank funding to support scaling firms so that more of them can stay, list and grow in the UK rather than feeling they must look abroad.
How to keep the momentum in 2026
And we are going further. This month, changes to the Prospectus Rules are going live and later this year we are delivering PISCES, a brand-new type of stock exchange for private company share trading, setting the stage for UK businesses to thrive, grow and strengthen our economy.
The result is what we are now seeing across the market: the City’s spark is back.
But this moment is about more than transactions in the Square Mile. It is about the wider stability and confidence that underpins a healthy stock market – a climate that’s seen six interest rate cuts, £340bn of private investment into the UK and the IMF forecast that the UK will be the second-fastest growing economy in the G7 over the next two years.
This is the backdrop to today’s FTSE 100 record: a country that has started to restore stability and attract long-term investment at scale. From major financial institutions expanding in the City to the new Revolut HQ in Canary Wharf, and increased investment in Edinburgh, Leeds, Birmingham and many other cities besides, global firms are voting with their feet – and choosing Britain.
We are determined to keep this momentum going in 2026. My ambition is a City that is once again the outstanding, obvious choice for the world’s most exciting companies, to the benefit of the country as a whole. Our strong 2025 listings performance and breaking of the 10,000 mark are very positive steps in the right direction.
Lucy Rigby KC MP is economic secretary to the Treasury