Rule of law key to UK economic growth, says Attorney General
The rule of law and trust in British institutions are essential to driving economic growth and attracting global investment, the UK’s Attorney General will say.
Lord Hermer KC, Attorney General, is set to speak on Tuesday evening at an event hosted by the Sheriffs of Canada for the launch of the Legal Livery Group (LLG).
According to his statement, seen exclusively by Morning Wire, Lord Hermer will say it is “trust in our institutions, in our courts, and in the rule of law that has made Britain a safe and reliable place to do business.”
The speech marks the first time he has focused solely on the link between growth and the rule of law, exploring how it could aid the government in delivering its growth mission.
He will also address the British legal tradition, which he will say has been one of the UK’s greatest strengths. He will point out that independent judges reassure investors that their rights will be protected.
“It is why global firms settle their disputes in our courts. And it is why our markets continue to grow, to create jobs for families and apprenticeships for young people,” he will add.
Investors across the globe ‘choose London’
The UK, primarily England, dominates the world in terms of legal work, as many global business contracts are governed by English law, and the English High Court is often cited as the jurisdiction of choice for any disputes.
As Lord Hermer will point out, “It is the reason why investors from across the globe, from Singapore, New York and Nairobi choose London for their capital.”
According to a report by TheCityUK in 2023, the legal sector is a “significant contributor” to the UK economy, as it contributed £34 billion to the market in 2022, which was 1.6 percent of the UK’s gross value added (GVA).
Labour’s agenda to boost the UK’s long-term economic growth was set out in seven mission pillars, including to ‘take back our streets‘, which focuses on policing and criminal justice.
Hermer’s remarks come as the criminal justice system is under the microscope after years of underfunding. In last year’s Autumn Budget, the Chancellor announced a £2.3 billion investment in prison expansion as the government aims to “repair the justice system”.
This came after it had to release prisoners early as part of an emergency plan, known as Operation Early Dawn, to ease overcrowding in jails in England and Wales.