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Rachel Reeves has said she “wouldn’t have any problems” getting on a P&O ferry following the fire-and-rehire scandal.

The chancellor was asked to clarify her position after criticism by her colleagues almost derailed a planned investment announcement from the travel operator’s owner ahead of a crucial summit.

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P&O Ferries caused a huge controversy in 2022 when it suddenly sacked 800 seafarers and replaced them with cheaper foreign agency workers.

It emerged on Friday that its Dubai-based owner, DP World, considered pulling £1bn in funding to its London Gateway container port after Transport Secretary Louise Haigh branded P&O, its subsidiary company, a “rogue operator” and called for a boycott.

In an interview with Sky News, Ms Reeves distanced herself from Ms Haigh’s remarks, saying: “I wouldn’t have any problems with getting on a P&O ferry.”

She said the £1bn investment, which was ultimately saved after a weekend of frantic negotiations, was “really important” as it will “bring good jobs, pay decent wages… and expand our capabilities to import and export around the world”.

In a tweet in March 2022, Ms Reeves hit out at the P&O lay-offs, calling it “disgraceful behaviour” and saying it should be illegal.

Asked if she does not care where investment comes from, the chancellor said her government has introduced laws to protect seafarers from future mass sackings.

“Under the Conservatives, it was possible to fire and rehire workers. It was possible to have exploitative zero hour contracts. We’re ending that,” she said in reference to the Employment Rights Bill.

Pressed on whether Labour’s workers’ rights agenda can chime with the need for private investment, Ms Reeves said governments can be “both pro-worker and pro-business”.

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£1bn investment in UK to go ahead

“I don’t think you can be pro working people unless you’re creating the environment to get businesses to invest in Britain,” she said.

“And similarly, you can’t be pro business unless you’re pro skilling-up working people to ensure that they’ve got the skills to do the jobs that are available in the economy. So the two things go hand in hand.”

Ms Reeves is the latest senior figure to distance themselves from the transport secretary’s comments. Prime Minister Sir Keir Starmer said he did not share Ms Haigh’s views, while Science Secretary Peter Kyle said the company had “turned a corner” and DP World had signed up to the government’s new workers’ rights laws last week.

Had the funding been shelved, it would have been a huge blow to the government’s International Investment Summit on Monday, in which Sir Keir rolled out the red carpet for chief executives in the hope of securing billions worth of deals.

DP World confirmed over the weekend that it would still attend the event after “constructive and positive discussions with the government” gave it “the clarity we need”.

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The company owns ports and logistics operations in more than 60 countries and generated global revenues of almost £14bn last year.

Confirming the investment plan on Monday, it said it would expand London Gateway to become Britain’s largest container port within five years, creating a further 400 permanent new jobs.

Sultan Ahmed bin Sulayem, group chairman and chief executive of DP World, said: “DP World London Gateway will help make Britain’s trade flow in the future by connecting domestic exporters with global markets and delivering vital supply chain resilience for the whole economy.

“I am proud of this major investment which underlines DP World’s long-term commitment to the UK.”

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Vietnam legalizes crypto under new digital technology law

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Vietnam legalizes crypto under new digital technology law

Vietnam legalizes crypto under new digital technology law

Vietnam has passed a sweeping digital technology law that legalizes crypto assets and outlines incentives for AI, semiconductors, and infrastructure.

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Brazil ends crypto tax exemption, imposes 17.5% flat rate on gains

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Brazil ends crypto tax exemption, imposes 17.5% flat rate on gains

Brazil ends crypto tax exemption, imposes 17.5% flat rate on gains

Brazil scraps crypto tax exemption for small traders, enforces flat 17.5% rate across all gains, including self-custody and offshore holdings.

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A scrambled G7 agenda as world leaders scramble to de-escalate the Israel-Iran conflict

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A scrambled G7 agenda as world leaders scramble to de-escalate the Israel-Iran conflict

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.

Canadian Prime Minister Mark Carney is greeted by President Donald Trump as he arrives at the West Wing of the White House, Tuesday, May 6, 2025, in Washington. (AP Photo/Mark Schiefelbein)
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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.”

Prime Minister Sir Keir Starmer (right) is greeted by Prime Minister of Canada Mark Carney as he arrives at Rideau Cottage in Ottawa
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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.

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