London leaders say the capital is delivering growth, jobs and regeneration – but warn that businesses need stronger government backing to keep momentum going.
The Mayor of London and borough leaders have marked the first anniversary of the London Growth Plan by highlighting major progress across the capital – while urging ministers to step in with further support for struggling businesses.
Sadiq Khan, alongside London Councils Chair Cllr Claire Holland, said the past 12 months have shown what can be achieved when City Hall, boroughs and partners work together on a shared mission to grow London’s economy.
Since its launch last February, the London Growth Plan has brought together City Hall, boroughs, businesses, universities and trade unions, with the ambition of creating 150,000 new jobs by 2028 and adding £107bn to London’s economy by 2035. Key priorities include revitalising high streets, investing in infrastructure, boosting innovation and ensuring Londoners have the skills needed for a rapidly changing jobs market.
Central to this approach has been closer collaboration. For the first time, London’s growth agenda is being driven by a dedicated Growth Mission Board, bringing together representatives from local government, business sectors, universities and unions to align efforts across the capital.
Skills, jobs and inclusive growth
One of the standout achievements has been the launch of the Inclusive Talent Strategy, aimed at tackling skills shortages while opening up good jobs to under-represented Londoners, including disabled people, ethnic minorities and older workers. Backed by £147.2m from the Mayor, the programme is designed to strengthen skills in high-growth sectors such as artificial intelligence and green technology.
The Mayor has also set up a Future of Work Taskforce to identify the skills employers will need in the years ahead. Its recommendations will be supported by a new £20m funding pot, including plans to roll out free AI training for all Londoners later this year.
At a local level, at least half of London’s boroughs – along with two sub-regions – have launched or refreshed their own growth plans, embedding the ambitions of the city-wide strategy. Much of this work focuses on supporting small and medium-sized enterprises (SMEs) and helping residents access new employment and training opportunities.
Backing entrepreneurs and high streets
Since the Growth Plan’s launch, London & Partners has significantly expanded its Grow London Local programme. More than 37,000 entrepreneurs have now been reached, with over 5,000 businesses supported in just the final quarter of 2025.
Boroughs are also accelerating efforts to breathe new life into local high streets. From surplus-food cafés in Islington to traffic-free cultural festivals in Richmond upon Thames, UK Shared Prosperity Fund investments are helping to create safer, more vibrant town centres while boosting local trade.
Seven boroughs will each receive £1.5m through the Pride in Place Impact Fund over the next two years to improve public spaces and revitalise high streets. Longer-term regeneration is also planned, with up to £20m committed by government for Harold Hill East in Havering and New Addington North in Croydon over the coming decade.
These initiatives are being reinforced by the Mayor’s £20m High Street Support Fund, which is already delivering upgrades in areas such as Hoxton, Neasden, Lewisham, Ilford and Croydon, alongside targeted support to help boroughs bring empty shop units back into use.
Safety, infrastructure and long-term investment
City Hall has also stepped up action to support businesses through improved safety. A record £1.16bn investment has doubled police numbers in the West End and increased officer presence in retail hotspots, contributing to a sharp rise in solved shoplifting cases. In Croydon, new partnerships with police and business groups are testing technology and joint patrols to deter repeat offenders.
On infrastructure, progress continues on major projects, including securing government backing to extend the Docklands Light Railway to Thamesmead – a move expected to unlock thousands of jobs, new homes and long-term regeneration.
Call for action on business rates
Despite the progress, London leaders warn that many firms are still under intense pressure from rising costs. The Mayor is again calling on ministers to review business rates thresholds, arguing that the current system fails to reflect higher rents and operating costs in central and inner London.
SMEs account for around 20 per cent of London’s businesses and provide 40 per cent of its jobs, yet only a small proportion qualify for small business rates relief. City Hall believes reform is needed to ensure support is better targeted and remains fit for purpose.
As London marks a year of delivery under the Growth Plan, the message from City Hall and boroughs is clear: the capital is pulling together to drive growth – but sustained success will depend on stronger backing from central government. Photo by Tiia Monto, Wikimedia commons.