A £1bn investment in Britain by port operator DP World will go ahead as planned, after a frantic effort by ministers and diplomats to repair relations following a row with the Dubai-owned multinational that threatened to overshadow a crucial investment summit.
On Friday, Sky News revealed that the planned investment was under review and that DP World’s chairman, Sultan Ahmed bin Sulayem, had cancelled plans to attend the summit, following criticism by ministers of P&O Ferries, a subsidiary company.
On Wednesday, Transport Secretary Louise Haigh described P&O Ferries, which summarily sacked 800 seafarers in March 2022, as a “rogue operator” and called for a consumer boycott.
Her comments caused considerable offence to DP World’s leadership as it prepared to sign-off of the £1bn investment in London Gateway container port, timed to coincide with the summit.
In an attempt to salvage the situation Sir Keir Starmer slapped down Ms Haigh, saying the government did not share her views, and officials from Downing Street and the Foreign Office are understood to have been involved in efforts to repair relations.
DP World has told Sky News that Mr bin Sulayem will attend the event in London and it is understood the investment will be confirmed as planned, before a row with ministers threw the flagship announcement into doubt.
Image: DP World chief executive Sultan Ahmed bin Sulayem. Pic: AP
A DP World spokesperson told Sky News: “Following constructive and positive discussions with the government, we have been given the clarity we need. We look forward to participating in Monday’s International Investment Summit.”
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Mr bin Sulayem is expected to meet the UK’s prime minister, perhaps as soon as Sunday, when delegates will gather for a reception in central London.
The investment in London Gateway will see the addition of two new berths taking the total to six, and a second rail terminal. Capacity, currently at almost two million containers a year, will double and the port is expected to become Britain’s largest by volume within five years.
The investment is expected to create 400 full-time jobs in addition to the 1,200 people already employed at London Gateway, and will take the total spent at the facility on the Thames Estuary in Essex, near the village of Corringham, to more than £3bn.
Image: A map showing the location in Essex of the London Gateway port
A logistics park employing 1,500 people has also been developed adjacent to the port, formerly the site of a Shell oil refinery.
DP World owns ports and logistics operations in more than 60 countries and generated global revenues of almost £14bn last year.
A government spokeswoman said: “DP World’s investment in Britain is a vote of confidence in the stability and seriousness of the government. We welcome the jobs and opportunities it will create.
“By working in partnership with businesses and investors from all over the world, this government is unlocking the UK’s potential and ambition. As our international investment summit will show, Britain is once again open for business.”
The return on Donald Trump to the G7 was always going to be unpredictable. That it is happening against the backdrop of an escalating conflict in the Middle East makes it even more so.
Expectations had already been low, with the Canadian hosts cautioning against the normal joint communique at the end of the summit, mindful that this group of leaders would struggle to find consensus.
Canadian Prime Minister Mark Carney carefully laid down an agenda that was uncontroversial in a bid to avoid any blow-ups between President Trump and allies, who of late have been divided like never before – be it over tariffs and trade, Russia and Ukraine, or, more recently Israel’s conduct in Gaza.
But discussions around critical minerals and global supply chains will undoubtedly drop down the agenda as leaders convene at a precarious moment. Keir Starmer, on his way over to Canada for a bi-lateral meeting in Ottawa with PM Carney before travelling onto the G7 summit in Kananaskis, underscored the gravity of the situation as he again spoke of de-escalation, while also confirmed that the UK was deploying more British fighter jets to the region amid threats from Tehran that it will attack UK bases if London helps defend Israel against airstrikes.
Image: Canadian PM Mark Carney is greeted by President Donald Trump at the White House in May. Pic: AP
Really this is a G7 agenda scrambled as world leaders scramble to de-escalate the worst fighting between Tel Aviv and Tehran in decades. President Trump has for months been urging Israel not to strike Iran as he worked towards a diplomatic deal to halt uranium enrichment. Further talks had been due on Sunday – but are now not expected to go ahead.
All eyes will be on Trump in the coming days, to see if the US – Israel’s closest ally – will call on Israel to rein in its assault. The US has so far not participated in any joint attacks with Tel Aviv, but is moving warships and other military assets to the Middle East.
Sir Keir, who has managed to strike the first trade deal with Trump, will want to leverage his “good relationship” with the US leader at the G7 to press for de-escalation in the Middle East, while he also hopes to use the summit to further discuss the further the interests of Ukraine with Trump and raise again the prospects of Russian sanctions.
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“We’ve got President Zelenskyy coming so that provides a good opportunity for us to discuss again as a group,” the PM told me on the flight over to Canada. “My long-standing view is, we need to get Russia to the table for an unconditional ceasefire. That’s not been really straightforward. But we do need to be clear about what we need to get to the table and that if that doesn’t happen, sanctions will undoubtedly be part of the discussion at the G7.”
Image: Prime Minister Sir Keir Starmer (R) is greeted by Mark Carney as he arrives in Ottawa ahead of the G7
But that the leaders are not planning for a joint communique – a document outlining what the leaders have agreed – tells you a lot. When they last gathered with Trump in Canada for the G7 back in 2018, the US president rather spectacularly fell out with Justin Trudeau when the former Canadian president threatened to retaliate against US tariffs and refused to sign the G7 agreement.
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Since then, Trump has spoken of his desire to turn Canada into the 51st state of the US, a suggestion that helped catapult the Liberal Party beyond their Conservative rivals and back into power in the recent Canadian elections, as Mark Carney stood on a ticket of confronting Trump’s aggression.
With so much disagreement between the US and allies, it is hard to see where progress might be made over the next couple of days. But what these leaders will agree on is the need to take down the temperature in the Middle East and for all the unpredictability around these relationships, what is certain is a sense of urgency around Iran and Israel that could find these increasingly disparate allies on common ground.