The owner of P&O Ferries has “turned a corner” since 800 staff were sacked without notice and its £1bn investment is going ahead, a minister has told Sky News.
Dubai-based company DP World, which owns P&O, had considered pulling its announcement of a £1bn investment in its London Gateway container port after strong criticism of it by members of Sir Keir Starmer’s cabinet.
Government minister Peter Kyle confirmed to Sky News the investment is going ahead and said, by engaging with DP World, Labour got the company to sign up to its new workers’ rights laws last week.
Sir Keir dismissed her comments in a bid to save the large investment, saying the government did not share her views, while Downing Street and Foreign Office officials are understood to have been trying to repair relations.
They were successful and DP World’s chairman, Sultan Ahmed bin Sulayem, confirmed he would be attending the investment summit where the announcement will be made.
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Mr Kyle told Sky News’ Breakfast with Kay Burley show: “I think the country was appalled too [when P&O sacked 800 workers], but we’ve all turned a corner since that time.
“Just last week, we introduced workers’ rights legislation, which includes maritime activity too and P&O, and its parent company, DP World, signed up to it.
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“That means we’re looking to the future. DP World are here today.
“That £1bn worth of investment is going forward. And I’m really pleased about that.”
He defended the government calling P&O Ferries a “rogue company” just a month ago in a press release, saying they have since signed up to the workers’ rights legislation.
“All you have to do is engage with these companies and take them on the journey,” he said in a dig at the former Tory government.
“Show that we are a brilliant place to invest, but we do expect high standards.”
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‘You chose to break the law?’
Several Labour MPs were highly critical of P&O Ferries boss Peter Hebblethwaite after he sacked his workers and replaced them with agency staff, as well as his decision to accept a £183,000 bonus to his £325,000 salary while some crew earned less than £5 an hour.
During an appearance before MPs earlier this year, Labour MP Liam Byrne asked if he was a “modern-day pirate” who was “robbing staff blind”.
Darren Jones, now chief secretary to the Treasury, asked Mr Hebblethwaite in the week after the redundancies if he was “in this mess because you don’t know what you’re doing, or are you just a shameless criminal?”.
Mr Hebblethwaite apologised to the staff he made redundant, but admitted he did not consult unions before he did so – a legal requirement – because “no union could accept our proposals” and the company had “otherwise no future”.
No doubt Poland’s prime minister, Donald Tusk, was trying to be friendly. After all, as Sir Keir said, they share a passion for Arsenal Football Club.
But when Mr Tusk declared at their joint news conference in Warsaw that his dream was “instead of a Brexit, we will have a Breturn”, Sir Keir visibly cringed.
Was it an ambush? Not quite. But it was certainly awkward for the UK prime minister. He stood stiffly and didn’t respond, not once uttering the word “Brexit”.
Mr Tusk, however, has form for bemoaning Brexit. He was, after all, the president of the European Council when the UK voted to leave the EU in 2016.
He might now be in his second spell as Poland’s PM, but his five years at the EU make him the ultimate Brussels insider, who’s never made any attempt to hide his feelings on Brexit.
Prior to the UK referendum, in September 2015, he said Brexit “could be the beginning of the destruction of not only the EU but also of western political civilisation in its entirety”.
Standing alongside Sir Keir, he revealed that “for obvious reasons” they discussed co-operation between the UK and the EU. He recalled that his emotional reaction to the referendum in 2016 was “I already miss you”.
He went on: “This is not just about emotions and sentiments – I am aware this is a dream of mine, that instead of a Brexit we will have a Breturn.
“Perhaps I’m labouring under an illusion. I’d rather be an optimist and harbour these dreams in my heart – sometimes they come true in politics.”
A dream? Or a calculated move? As a Brussels insider, was Mr Tusk speaking for the EU as a whole? Was he doing Brussels’ bidding?
He may have returned to lead his homeland, but he remains a key player in Brussels.
On becoming Poland’s PM in 2023, he ended a dispute with Brussels which unlocked billions of frozen EU funds for his country.
He also orchestrated the return of his centre-right ally Ursula von der Leyen as European Commission president.
And Poland has just taken over the rotating presidency of the EU, which means Mr Tusk will be hugely influential once again, chairing meetings and setting agendas.
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Poland is back in the European mainstream. It’s where Mr Tusk would like the UK to be as well.
It’s where, privately, Sir Keir would like the UK to be. It’s just that with Reform UK almost neck and neck with Labour in the polls, he daren’t say so.
Poland’s prime minister has said he hopes for the “Breturn” of the UK as a member of the European Union – as he discussed a defence treaty with Sir Keir Starmer.
Donald Tusk, who was hosting the prime minister for discussions on a UK-Polish defence pact in Warsaw, said it was his “dream” that “instead of a Brexit, we will have a Breturn”.
Standing alongside Sir Keir at a joint news conference, the Polish premier also said he had discussed greater cooperation between the UK and the EU.
Mr Tusk, who was the president of the European Council during the years that Britain left the EU, said: “For obvious reasons, we also discussed another issue, the cooperation between Great Britain and the European Union.
“I’m sure you will recall when we learned about the results of the Brexit referendum. I was head of the European Council… at that time. My first emotional reaction was to say: ‘I already miss you.’
“I remember our press briefings as if it was yesterday. I already miss you, that’s what I said.”
He added: “This is not just about emotions and sentiments – I am aware this is a dream of mine, that instead of a Brexit we will have a Breturn.
“Perhaps I’m labouring under an illusion. I’d rather be an optimist and harbour these dreams in my heart – sometimes they come true in politics.”
He has, however, said he wants to deepen post-Brexit ties with Brussels
Mr Tusk was speaking after Sir Keir travelled to Poland to discuss a defence pact with the NATO ally – which Mr Tusk said he hoped would be ratified “this year”.
The new treaty is designed to protect Europe from Russian aggression, tackle people-smuggling gangs, and combat misinformation and cyber threats.
Sir Keir was also asked whether the UK’s attendance at a defence summit in Poland earlier this week meant he was in favour of “creating an army” for Europe – to which he replied he was not.
Asked about the E5 defence ministers meeting in Warsaw and whether he supported creating a common European army, Sir Keir said: “The meeting that happened the other day is vitally important. That isn’t about creating armies.
“It’s about how we share our security concerns and build on what we’ve already got.”
As part of the defence pact, a £4bn partnership for new air defence systems in Poland has been agreed. The project will be headquartered in Bristol.
“The UK has secured £8bn of defence deals in Poland over the last three years alone, and we’re going further today, opening a new joint programme office in Bristol to deliver our £4bn partnership, to deliver the next generation of air defence systems to Poland,” he said.
He added: “We share an unbreakable commitment to NATO and an unbreakable commitment to Ukraine.”
During his visit to Poland, Sir Keir also made his first visit to Auschwitz, which he described as “utterly harrowing”.
The prime minister visited the former Nazi concentration camp, where he laid a wreath ahead of the 80th anniversary of its liberation.
After he and his wife Victoria, who is Jewish, visited the site, Sir Keir said: “Nothing could prepare me for the sheer horror of what I have seen in this place. It is utterly harrowing.
“The mounds of hair, the shoes, the suitcases, the names and details, everything that was so meticulously kept, except for human life.”
His visit to Poland came following a surprise trip to Kyiv on Thursday, where he reiterated his support for Ukraine and suggested that British troops could be deployed to the country as part of peacekeeping efforts.
In an exclusive interview with Sky News’ political editor Beth Rigby, Sir Keir said the UK would play its “full part” in any peace negotiations – including by deploying British troops for peacekeeping – though added that he did not want “to get ahead of ourselves”.
During his visit, Sir Keir also met Polish businesses, including the firm InPost which has announced it will invest a further £600m into the UK in the next five years to grow its operations.
It is thought that the overall £1bn investment by the firm, which operates parcel lockers, could support up to 12,000 new jobs.