Reeves blamed for lowest investment level in the G7

Figures showing Britain has the worst investment levels in the G7 should “ring alarm bells” in No 10, critics have said.

- KATE DEVLIN WHITEHALL EDITOR

The UK was at the bottom of the table behind the US, France, Germany, Italy, Japan and Canada, with public and private investment just 18.6 per cent of GDP in the three months to September, latest figures show.

Business groups warned the situation was also likely to get worse after April, when a series of changes announced in Rachel Reeves's Budget, including changes to business rates and a rise in the living wage, come into effect.

In response, one Labour MP accused the chancellor of driving down business investment with “broken commitments”.

Across the G7, Japan had the highest investment levels at 27 per cent, Italy and Canada were on 23 per cent, France 22 per cent, the US 21 per cent and Germany 20 per cent, according to the Office for National Statistics (ONS), which cited figures from the Organisation for Economic Co-operation and Development (OECD).