A £1bn investment in the UK by DP World, the Dubai-based parent company of P&O Ferries, is expected to go ahead after tensions arose following comments from UK Transport Secretary Louise Haigh. Haigh had called for a boycott of P&O Ferries, which she labelled a “rogue operator” in response to the company’s 2022 mass firing of 800 seafarers, according to Sky News.
The investment, aimed at expanding the London Gateway container port in Essex, had been cast into doubt after Haigh’s remarks, which reportedly offended DP World’s leadership. As reported by Sky News, Sultan Ahmed bin Sulayem, the company’s chairman, initially cancelled his plans to attend the UK’s International Investment Summit, raising concerns about the project’s future.
To repair relations, government ministers and diplomats worked to provide reassurances to DP World. Downing Street distanced itself from Haigh’s comments, with a spokesperson stating that her views did not represent the government’s position. According to Financial Times, DP World confirmed that it had received the “clarity” it needed from the government, and Mr bin Sulayem will now attend the summit as planned.
While the investment is still likely to proceed, insiders told the Financial Times that the formal announcement could be delayed due to ongoing internal reviews. The £1bn cash injection remains a key part of the UK’s push to attract foreign capital, following a 2021 strategic investment agreement with the UAE, which included a £10bn pledge.
This row underscores ongoing tensions within the UK government. The Labour government is advancing reforms to workers’ rights, including a ban on firing and rehiring workers, which further complicates its relationship with DP World. P&O Ferries, a subsidiary of DP World, has faced continued criticism for its treatment of employees since the 2022 dismissals, Sky News reported.
Despite the political fallout, DP World’s decision appears to be driven more by commercial considerations than government disputes. An executive close to the company told the Financial Times that the investment will proceed regardless of political tensions. As Britain aims to showcase itself as “open for business” at the summit, the outcome of this high-profile disagreement will be closely watched.