The UK government faces warnings about potentially losing Unilever’s substantial £15bn ice cream listing to the Netherlands due to the absence of an investment minister.
- Gerry Grimstone, a former investment minister, has urged the UK government to fill this critical role to boost domestic investment.
- The Minister of Economic Affairs from the Netherlands has already had discussions with Unilever’s CEO about listing on the Euronext exchange.
- Unilever plans to separate its ice cream division, affecting brands like Magnum and Ben & Jerry’s, aiming for increased accountability and performance.
- The Netherlands is currently considered a strong contender for hosting this new ice cream business division.
The UK government has been cautioned about the imminent risk of losing Unilever’s £15bn ice cream listing to the Netherlands, attributed to the vacant position of an investment minister. This concern highlights the need for urgent action from the administration to retain major business operations within the country.
Gerry Grimstone, who previously served as the UK’s investment minister from 2020 to 2022, made an appeal for the government to appoint a competent individual to this pivotal role. Grimstone emphasised the necessity for someone experienced with Whitehall’s intricacies and investor relations to foster substantial internal investment.
Recently, the Minister of Economic Affairs in the Netherlands, Dirk Beljaarts, engaged in discussions with Unilever’s CEO, Hein Schumacher. This meeting reportedly underscored the advantages of listing on the Euronext exchange, a move that could potentially draw Unilever’s lucrative ice cream business away from the UK.
Unilever has put forward plans to spin off its ice cream sector, a part of its strategy for becoming a more streamlined and accountable entity. This restructuring would include prominent brands such as Magnum, Ben & Jerry’s, Wall’s, and Cornetto. Unilever envisions that these changes will forge a world-leading business, enhancing overall performance.
Furthermore, Hein Schumacher conveyed that the Netherlands might possess a ‘good chance’ of hosting the new ice cream division, given that the current operations already run from there. He discussed the likelihood of this division acquiring a separate stock exchange listing and headquarters in the Netherlands, indicating a strategic preference for this location.
The UK must address the appointment of an investment minister immediately to secure its economic interests and prevent the loss of Unilever’s ice cream division.
