Business Secretary wants UK to replicate Israeli innovation as he hails Jewish entrepreneurs

Business Secretary Jonathan Reynolds has said he wants to see the UK replicate the innovation coming out of Israel as he hailed the contribution of Jewish entrepreneurs to some of Britain’s best-known brands.

Speaking to Jewish News at the landmark Lancaster House Conference on antisemitism, Reynolds described Israel as “renowned for its innovation and the strength of its own tech sector”.

He said: “There are lots of times I’ve been with start-ups or scale-ups in the UK and, either through the people working for them or through the talent or the collaborations they’ve got, there is that UK–Israel relationship.

“I think Israel is admired in the UK for its tech sector. There’s a lot of synergy between the British and Israeli economies in that regard.”

He added that some of the businesses and innovation he admired or had seen coming out of Israel were something he “would like to see replicated to a great degree in the UK.”

The Lancaster House Conference brought together senior leaders, community figures and policymakers to discuss strengthening Jewish life and tackling antisemitism across the UK.

It was hosted by Lord Mann, the government’s independent adviser on antisemitism, and his office, and jointly sponsored by the Ministry of Housing, Communities and Local Government and the Foreign, Commonwealth and Development Office.

Angela Rayner, Secretary of State for Housing, Communities and Local Government, and Lisa Nandy, Secretary of State for Digital, Culture, Media and Sport, were also among the speakers.

During his keynote speech, Reynolds paid tribute to the contribution of Jewish entrepreneurs and business leaders to the British economy.

He said some of the nation’s most iconic business names had connections to Jewish families, citing Tesco, Shell, River Island and Marks & Spencer.

Asked by Jewish News what he would say to the next generation of Jewish businesspeople questioning whether they had a future in Britain because of the hostility they faced, Reynolds said he understood how distressing their experiences were.

“We’re absolutely determined to show people who feel that way that there is a future for them here,” he said.

He acknowledged that their concerns went beyond the business environment to the wider question of “where is our society, and what does it represent?

“I do understand just how distressing things are for people. But I want people to know there’s a huge amount of allies and people who are determined… whatever they’re interest in politics or business, they want Britain to be a society where everyone has value and respect.”

During his keynote speech, Reynolds acknowledged that people did not want words alone, but practical steps and action that he said the business department would take to tackle antisemitism.

He also spoke of the Labour Party’s commitment to confronting antisemitism and said the Prime Minister and government would “not shy away” from the “generational challenge”. He promised his “steadfast support” to do “anything necessary to make a meaningful action on improving this situation.”

Reynolds welcomed the newly-released Board of Deputies of British Jews’ updated Employer’s Guide to Jews and Judaism, as a practical resource to help businesses support Jewish employees. The guide is designed to help employers better understand Jewish practices, culture and law, and support Jewish employees who may feel uncertain about sharing their identity in the workplace.

Reynolds said: “This practical advice will be invaluable to employers and organisations who are discussing it with their employees. It will help create workplaces where Jewish colleagues feel safe, valued and supported, and where antisemitism is recognised and challenged.”

Speaking to Jewish News, Reynolds also addressed the UK’s economic relationship with Israel, saying the government’s disagreements with the Israeli government over the West Bank and settlements were “distinct from the bilateral relationship we want with Israel itself where there are a great many economic and trade linkages between our two countries.

He said.“I know it is a sensitive area in maintaining that distinction … I’m not saying it’s not without its challenges.”

He reiterated the government’s support for a two-state solution, saying: “Fundamentally, what this UK government wants is a secure future for Israel. We believe that requires a two-state solution.”

His ideal, he added, would be “an incredibly strong economic relationship between the UK and Israel and a Palestinian state and the UK, which I do believe is possible.”

The UK suspended negotiations on an upgraded trade agreement with Israel in May 2025 over Israel’s conduct in Gaza and the West Bank, although the existing trade agreement remains in place. The following month, Britain imposed sanctions on Israeli ministers Itamar Ben-Gvir and Bezalel Smotrich, citing their incitement of violence against Palestinian communities in the West Bank.

The government has since announced plans to ban imports of goods from Israeli settlements in the occupied territories and to prohibit the advertising of settlements in the UK, while saying it wants to protect wider trade with Israel.

Asked how the government could ensure its measures did not deter legitimate trade, Reynolds acknowledged that it was “not an easy situation”, including because there was no customs boundary between Israel itself and the occupied territories. “We have put forward a way to do this which gives us time to get it right and there will be some difficulties.

“But I do believe it is possible to do that. I think it is an important message for the British government to draw that distinction,” he said.

He stressed the value of the beneficial economic relationships between the two countries, saying the government’s position was not to seek anything “that would be akin to the BDS movement against Israel itself and it’s important to draw that distinction.”

Reynolds returned as Business Secretary in July, having previously held the role from July 2024 to September 2025. He served as chief whip in between.