Sir Rocco Forte, the luxury hotelier behind Rocco Forte Hotels, has criticised the current government’s “anti-growth” policies, warning that they are pushing Britain back to the economic challenges of the 1970s.
Forte, whose business includes the Balmoral Hotel in Edinburgh and Brown’s in London, claimed that policies “based on socialism” are driving away investment and threatening the country’s economic growth.
“We’re going back to the ’70s, effectively,” he said. “We’ve come full circle, which is very irritating, and all the good work that Thatcher put in has been disfigured over the last 20 years by both the Blair-Brown governments and Conservative governments. Now we’ve got a Labour Government, which is doing a lot based on socialism, but not a lot on common sense.”
Forte expressed concerns about the potential for anti-business legislation, including tax increases and strengthened workers’ rights, which critics argue could deter hiring. He noted that speculation about a wealth tax has already begun to unsettle people in the financial sector, sparking fears of an exodus of wealthy individuals and a brain drain.
Referencing Sir Keir Starmer’s recent comments that “the broadest shoulders should bear the heavier burden,” Forte said, “We’re going to support the working man, whatever that means. No party today is supporting the working man. Freeing up unions and giving them more power isn’t going to help the working man; it’s going to help the unions and damage the country.”
He warned that Britain risks returning to the economic stagnation of the 1970s, characterised by high inflation, widespread strikes, and energy crises. London in the 1970s was “dead,” Forte recalled, cautioning that the country could face similar bleakness if current policies continue.
Forte also criticised the government’s plans to increase a windfall tax on North Sea oil and gas producers, arguing that the higher tax rates could cost the economy £12 billion in lost receipts and threaten 35,000 jobs. He described the policy as “crazy” and emblematic of a broader anti-growth agenda.
Sir Rocco, who created Rocco Forte Hotels with his sister Olga Polizzi, has expanded the business to include 15 luxury venues, with five more under development. The group reported revenues of £312 million and a profit of £15.8 million for the year ending in April.
Forte recently sold a 49% stake in the company to Saudi Arabia’s Public Investment Fund (PIF), valuing the business at around £1.4 billion. Despite criticism of PIF due to Saudi Arabia’s human rights record, Forte defended the partnership, citing the kingdom’s modernisation under Crown Prince Mohammed bin Salman as a positive influence in the Middle East.
With PIF’s backing, Rocco Forte Hotels plans to double its investment in hotel refurbishments and is exploring new ventures in Saudi Arabia, Marrakesh, and the United States. Around 45% of the group’s business already comes from the US, and Forte is keen to expand further with potential sites in New York, Palm Beach, Miami Beach, and Los Angeles.
Looking ahead, Sir Rocco expressed a need for visionary leadership in Britain, noting his disappointment with the Conservative Party’s direction since supporting Boris Johnson’s 2019 election win. He singled out Kemi Badenoch as the only Tory leadership candidate who understands the depth of the challenges facing the country, praising her calls for reclaiming powers from unaccountable organisations.
Forte, who spends most of his time in Rome and less in the UK, remains cautious about future investments in Britain, particularly given the uncertainty surrounding the upcoming Budget. He is contemplating succession plans for his company, with his children already involved in the business, but has no immediate plans to retire, stating: “At the moment, I have the energy and I have ambition.”
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Labour risks taking Britain back to the 1970s, warns Sir Rocco Forte