UK tries to resolve row threatening £1bn port expansion

Discussions about a London port expansion worth £1bn are ongoing as the government tries to resolve a row with the investor.

DP World planned to reveal the expansion of its London Gateway port, which it said would create hundreds of jobs, at the government’s investment summit next week.

However, reports suggested the plan was at risk after Transport Secretary Louise Haigh criticised P&O Ferries, which is part of DP World, for its treatment of staff.

Downing Street has distanced itself from those comments as it tries to resolve the spat.

And asked on Friday evening about Ms Haigh’s comments, the prime minister told BBC political editor Chris Mason in a Newscast interview: “That’s not the view of the government.”

The disagreement began after Ms Haigh told ITV earlier this week that P&O was a “rogue operator” after it sacked nearly 800 seafarers in 2022 and replaced them with cheaper workers.

DP World insisted the move was needed for the survival of the ferry operator and to secure thousands of jobs.

A Downing Street spokesperson told the BBC on Friday afternoon: “We welcome P&O Ferries commitment to comply with our new seafarer’s legislation, which protects against damaging fire and rehire practices”.

It said it was continuing to “work closely” with DP World, which also owns Southampton Port.

On Monday, the UK is hosting its International Investment Summit, where ministers will try to attract billions of pounds of investment.

The spokesperson said it would “bring together hundreds of global firms to show Britain is open for business.”

DP World declined to comment on the reports that the London Gateway investment was under review due to Ms Haigh’s comments.

The investment summit is due to take place ahead of the Budget, with the government signalling it will make some large investments.

Many have taken as a hint that it will relax its own self-imposed spending rules, as it looks to boost the economy.

It is keen to promote the UK as a stable and reliable investment destination for international firms after the rapid churn of prime ministers, chancellors and business secretaries since 2016.

However, this is also not the first time there has been controversy surrounding the summit.

Last month, the world’s richest person, Elon Musk, hit back after not being invited. This was due to his social media posts during the August riots, the BBC understands.