DP World's UK Gateway Port Investment Going Ahead: Minister

Port and logistics firm DP World is proceeding with a £1 billion ($1.3 billion) investment in its London Gateway port, Britain's government said after reports last week that the company had paused the project in protest, William James reported for Reuters.

The investment will be going ahead following talks between the UK government and the Dubai-based company. I Photo: DP World

In what had been an embarrassment for the government before a major investor conference, Sky News reported on Friday that DP World had put the planned investment on hold after two ministers criticized practices at its subsidiary P&O Ferries.

Business minister Jonathan Reynolds said the investment was going ahead after talks with the Dubai-based company.

"We had to have a conversation following some of the press reports," he told Sky News, adding: "The investment’s going ahead, DP World are attending the summit."

In 2022, P&O Ferries made 800 staff redundant with immediate effect, prompting backlash from politicians and unions who criticized plans to hire cheaper agency workers instead.

P&O Ferries said at the time it had to make swift and significant changes to make the business sustainable.

Last week, Deputy Prime Minister Angela Rayner and Transport Minister Louise Haigh were again critical of P&O Ferries over the incident.

A Bloomberg report published on Saturday said DP World’s chairman would stick with the original plan to be part of the event and quoted a DP World statement formally announcing the investment.