Theresa May declares UK ‘open for business’ despite Brexit as she addresses global financial chiefs and political leaders at Davos
THERESA May has declared the UK “open for business” despite Brexit as she addressed global financial chiefs and political leaders at the World Economic Forum.
But the Prime Minister used her speech in Davos to warn about those "left behind" by globalisation.
She insisted the historic vote to leave the EU did not mean the UK turning its back on the world - but instead seeking out new trading partners and allies around the globe while maintaining its friendship with European neighbours.
Voters who opted for Brexit in last year's referendum were choosing to "leave the EU and embrace the world", and Britain would as a result become "even more globalised and internationalist in action and in spirit", she said.
Mrs May was speaking at the exclusive event at the Alpine ski resort n the wake of her announcement on Tuesday she will take the country out of the European single market.
She also said she wanted to set out a “manifesto for change” and urged global elites to tackle the backlash against globalisation, liberalism, and free trade.
Mrs May also echoed the words she used when entering No10 last summer, when she spoke of governing for the many rather than a ";privileged few".
She said: “This is an organisation that is committed to improving the state of the world.
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“Those of us who meet here are optimists, who believe in the power of public and private collaboration to make the world tomorrow better than today.
“Free trade, partnership and globalisation. But outside this hall, those forces for good which we take for granted are being called into question.
“Forces that have had such a positive impact, lifting millions out of poverty, broken down barriers and raised living standards, are now being undermined.
“As we meet here, across Europe parties of the far left and far right are trying to profit from a keenly felt sense, especially among those on modest incomes, that these forces are not working for them.
“These people feel that mainstream political and business leaders have failed to appreciate their legitimate concerns for too long.”
She told delegates: "Talk of greater globalisation can make people fearful. For many it means their jobs outsourced and their wages undercut.”
And she said her mission for the British government "is to build something that I've called the shared society" and help correct "the injustice and unfairness that divides us wherever it is found".
She also quoted Edmund Burke, who once said: “A state without the means for some change is without the means for its preservation.”
And Mrs May finished by saying that "change in order to conserve is more important than ever in today's geo-political environment", adding that "it's the principle that guides me" as she leads Britain through "this period of change".
She also used the speech to drum up support for trade and investment as Britain gears up to do a new set of deals after we leave the UK.
She said that Brexit “was a vote to take control, and make decisions ourselves”, as she told the audience the UK is open to new trade deals.
“Britain’s history and culture is profoundly international”, she says.
“We have always looked beyond Europe to the wider world. We are, by instinct, a great global trading nation.
“And we want to strike trade deals with old friends and new allies around the world.”
Mrs May welcomed the preliminary talks already underway with several countries including New Zealand and Australia.
“We are going to be a confident country that is in control of its destiny once again,” she added.
What is globalisation and what are its effects?
The Prime Minister made reference to its impact in her speech and warned of those feeling “undermined” and left behind, so her we explain what she means:
Globalisation is where countries and businesses across the world work increasingly closer together.
It see countries integrate rather than remaining isolated, and signals a greater economical and political cooperation worldwide as more ideas are shared.
The term describes a world with a freer transfer of capital, goods and services across borders.
While affected largely by business dealings globalisation also sees the sharing of popular culture between nations.
This has been made a greater reality by technological advances in recent years.
It has been suggested by some economists globalisation could hurt smaller or more fragile economies.
What is the effect of globalisation?
Mrs May touched on the effects of globalisation in her speech at Davos on January 19, as she said Britain is ready to trade with the world.
She said: “Those of us who meet here are optimists, who believe in the power of public and private collaboration to make the world tomorrow better than today.
“Free trade, partnership and globalisation. But outside this hall, those forces for good which we take for granted are being called into question.
“Forces that have had such a positive impact, lifting millions out of poverty, broken down barriers and raised living standards, are now being undermined.”
She warned of the negative impacts of greater globalisation, which can mean jobs are outsourced and people’s wages are undercut.
Globalisation can bring benefits to culture, economy and trade for a country but can also be damaging if countries are unable to keep up.
What are the pros and cons of an integrated global economy?
The pros of globalisation include free trading, a benefit to consumer and economy, competition between countries driving prices down, other nations given more opportunities and the free movement of labour.
The cons can see smaller countries suffering and developing countries left behind, it can cause a strain in the job markets, an inability to recoup investment, a loss of cultural identity and a negative impact on the environment.
One of the biggest successes of globalisation can be seen within military forces and environmental protection advances around the world.
The Strategic Arms Reduction Treaty and NATO's Partnership for Peace are just some of the examples of nations working together.
Some people are very against the idea of globalisation - the majority of these opponents are in developed countries, usually middle-class and college-educated.
But others see globalisation as a positive movement for the world as a whole as nations share resources and skills.