4 things business can expect from Theresa May

Theresa May will shortly become the UK’s second female Prime Minister and she faces a series of tough challenges, not least negotiating her country’s exit from the EU.

But as a long-standing Home Secretary, having held the role since the Coalition Government took power in May 2010, not a great deal is known about her economic views.

With this in mind, what exactly is she promising to do for businesses?

1. Equality

Mrs May has put inequality at the top of her agenda, stating that she wants to put the Conservatives “at the service of the working people”.

In addition, she promises to tackle “the irrational, unhealthy and growing gap” between management and staff.

Demonstrating classic One-Nation Conservatism, she used a speech earlier this week to hint at a vision of a country that “works for everyone — not just the privileged few.”

Possibly at odds with traditional Tory dogma, her rhetoric – perhaps guided by her upbringing as the daughter of a clergyman – suggests an approach guided by healing the wounds of division and implementing change to benefit all UK citizens.

“Right now, if you’re born poor, you will die on average nine years earlier than others. If you’re black, you’re treated more harshly by the criminal justice system than if you’re white. If you’re a white, working-class boy, you’re less likely than anybody else to go to university,” she said.

“If you’re at a state school, you’re less likely to reach the top professions than if you’re educated privately. If you’re a woman, you still earn less than a man. If you suffer from mental health problems, there’s too often not enough help to hand. If you’re young, you’ll find it harder than ever before to own your own home.”

2. ‘Brexit means Brexit’

Despite having supported David Cameron’s Remain campaign, Mrs May is clear there will not be a second referendum on the country’s decision to leave the EU.

“Brexit means Brexit and we’re going to make a success of it. There will be no attempts to rejoin it by the back door, and no second referendum,” she said.

With the terms of Brexit yet to be determined, the key issue is whether she will choose to prioritise access to the EU’s Single Market to minimise the impact on businesses or rank control over immigration from the EU above all else – a move which forfeit full Single Market access.

3. Shareholder rates on executive pay

With her own ideas on how business should operate, Mrs May is clear that both workers and consumers should be represented on company boards.

In what could be seen as a challenge to the power of executive boards, is the idea that shareholders should have more power over executive pay by making votes on annual pay awards binding, rather than advisory as they are now.

“We’re the Conservative Party, and yes, we’re the party of enterprise—but that does not mean we should be prepared to accept that ‘anything goes’,” she said.

4. Approach to big businesses

With a career that includes six years with the Bank of England, Mrs May is no stranger to the ways of big business.

However, securing the support of the business lobby will be key to the success of her Premiership.

Her One-Nation persuasions again to the fore, she is clear on what needs to be done.

“It’s not anti-business to suggest that big business needs to change,” she said. 

Hinting at further reforms, she adds that action against large firms abusing their roles is inevitable, as is a crackdown on corporate and personal tax avoidance.

She added: “It doesn’t matter to me whether you’re Amazon, Google or Starbucks, you have a duty to put something back, you have a debt to fellow citizens and you have a responsibility to pay your taxes.”