Under-fire Rachel Reeves’ trip to China ‘is ruse to secure £50bn London listing for controversial fashion giant Shein’
THE Chancellor’s trip to China is a ruse to secure a £50billion London listing for a controversial fast fashion firm, City sources claim.
Online retailer Shein has made more than £1.5billion selling cheap clothes online to young Brits.
The company is gearing up for a stock market listing in London.
Meanwhile, Rachel Reeves has spoken of her desire to lure international firms to the UK.
City sources said her decision to visit China with London Stock Exchange boss David Schwimmer and Nikhil Rathi, chief of the financial regulator, was an “obvious” attempt to smooth the deal.
The Financial Conduct Authority and regulators in China have to approve the listing.
Last week, MPs blasted Shein’s lawyer Yinan Zhu over human rights.
She was quizzed on claims the company uses cotton from forced labour camps but refused to answer questions.
Shein, founded in China but based in Singapore, relies on 6,000 Chinese factories.
On Friday, the Business and Trade Committee chairman Liam Byrne wrote to the LSE and FCA asking what checks are in place to vet firms.
It is understood Ms Reeves was not due to directly meet with Shein on her trip.