Chancellor Attends G20 Summit to Reinforce Commitment to Ukraine

• The Chancellor has arrived in India for G20 meetings, marking a year since Putin’s unlawful invasion of Ukraine.
• He will participate in discussions with G20 Finance Ministers and Central Bank Governors, alongside Bank of England Governor Andrew Bailey, emphasizing a united approach to global economic challenges. Additionally, he will attend a G7 meeting on Thursday.
• The Chancellor plans to engage with the Indian Finance Minister and various senior Indian business leaders to bolster relationships and assist in the UK’s ambition to become the next Silicon Valley.

This meeting takes place a year after Russia’s full-scale invasion of Ukraine, during which the Chancellor will reaffirm the UK’s steadfast support for Ukraine and explore with other G20 nations solutions to issues like rising global inflation and the volatility in energy and food prices linked to the conflict.

This engagement follows recent actions by the G7, the European Union, and Australia, who collectively established price caps on seaborne Russian oil products effective from 5 February 2023. High-value Russian exports, such as diesel and gasoline, are capped at $100, while lower-value products like fuel oil are capped at $45. The UK eliminated imports of Russian oil and oil products last year.

The Chancellor is at the G20 with the Bank of England’s Governor Andrew Bailey, both concentrating on addressing inflationary pressures in the UK. Tackling inflation is the foremost of the Prime Minister’s five priorities, who aims to halve inflation this year as part of the path back to target.

The Chancellor and the Bank of England Governor are also scheduled to participate in a G7 Finance Ministers meeting on Thursday.

Chancellor of the Exchequer Jeremy Hunt stated:

“The UK remains resolute in our support for Ukraine, providing substantial military and humanitarian aid. The sooner we achieve lasting peace in Ukraine and end this devastating war, the quicker we can tackle the resultant global economic consequences – thereby diminishing Putin’s control over the UK and our allies.”

This visit also aims to enhance the already thriving UK-India economic relationship, deepening ties to spur new investments and bring jobs to the UK. With India’s strong reputation in the tech sector, the Chancellor will meet with Indian tech CEOs and founders in Bengaluru to discuss investment opportunities and how partnerships with India can position the UK as the world’s next Silicon Valley, building on our existing $1 trillion (£827 billion) tech sector.

The Chancellor further noted:

“I aspire for the UK to become the world’s next Silicon Valley – a goal well within reach due to our status as a global financial hub and home to premier universities and research institutions.

“While we already possess a $1 trillion tech industry, our ambition extends further to create jobs and wealth across the UK. To achieve this, we must strengthen investment connections with allied nations globally – starting with our Indian partners, who are rapidly emerging as an economic powerhouse themselves.”

India is expected to become the world’s third-largest economy by 2050, boasting a tech industry that generated US$227 billion (£188 billion) in revenue for FY2022. It is already a key economic ally for the UK, and the Chancellor aims to foster enhanced collaboration between the two nations.

The Chancellor’s involvement at the G20 will also support the government’s objectives to reduce inflation this year to alleviate the cost of living and provide financial stability; stimulate economic growth and create better-paying jobs across the country; and ensure national debt is decreasing to secure the future of public services.