London businesses want mayor Sadiq Khan to play a role in Brexit negotiations, according to the latest CBI/CBRE London Business Survey.
Labour mayor Khan, who campaigned strongly against leaving the EU, currently has no role in the negotiations, which are being led by prime minister Theresa May and minister for Brexit David Davis.
The report also said that 81% of firms felt less optimistic about the economy.
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Khan’s to do list:
Top of the list of issues for Khan to solve was affordable housing, according to 54% of survey respondents.
The mayor playing a role in the UK’s negotiations with the EU was next highest rated, with 53% of firms wanting Khan to be involved. Delivering Transport for London’s road and rail investment plan placed third (48%).
The CBI/CBRE survey found that 67% of London businesses felt that upgrading the London Underground network was top of London transport priorities, ahead of committing to start construction of Crossrail 2 (55%) and investing in the road network (31%).
The survey also found that 69% of respondents thought high housing costs were affecting their ability to recruit and keep skilled staff.
The biggest cause of concern was uncertainty over the UK’s role in Europe (75%). Keeping the best people for the job (49%) and not enough appropriately skilled staff (44%) were also highlighted.
The survey, conducted between 28 June and 17 July, also found:
• 81% of firms felt less optimistic about the economy for the next six months, compared with the previous six months;
• 4% of firms felt more optimistic;
• 8% did not feel more or less optimistic;
• 41% of firms planned to keep their investment plans;
• 50% planned to continue to hire.
Lucy Haynes, CBI director, said: “As the implications of Brexit continue to be digested by London’s firms, it’s clear they want to see the mayor given a seat at the table in the UK’s negotiations to leave the EU.
“His influence will be critical in ensuring the capital’s companies have the best environment in which to grow, create jobs and boost prosperity throughout the city. And let’s not forget that a thriving London has the knock-on effect of driving prosperity around the country.”
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