Invest in United Kingdom

The United Kingdom is one of the most strategic and important destinations in terms of investment in the European Union. The statistics only confirm this fact as it is the sixth largest economy in the world and the third largest in the European Union only after France and Germany. Its commitment towards free trade and the sophisticated technology has made it one of the best destinations worth investing in the entire world. Its capital city, London is one of the financial hubs of the world. In addition, the government of the United Kingdom is also all dedicated towards attracting more foreign investment into it and hence has been long managing its economy on the basis of liberalization of markets, low regulation and taxation policies thereby making it a safe haven for investors.

Some interesting facts about the investor-friendly United Kingdom:

Recently, the United Kingdom ranked first in the entire Europe in attracting foreign investment with larger number of investments coming in northwest of England. All this has happened even when the world economy was gripped by the financial crisis. Current UK Prime Minister, David Cameroon called all the investors around the world to set up businesses. This really shows the government dedication towards promoting development by increasing foreign investment. The UK government has also decided to dismiss the permanent cap on UK immigration which will ease overseas hiring in the country.

Current Trends in the United Kingdom:

After the global financial meltdown, the United Kingdom recovered quite speedily and has again started to show an upward trend. This can be corroborated from the fact that the economy of the United Kingdom grew more briskly than predicted in the third quarter of 2010. Speaking about the future, it is predicted that UK is going to have a strong business environment than any other country in the European Union until 2012. This is mainly because it is considered to be one of the easiest places to establish and run a business in the entire Europe.

Growth figures and FDI figures:

The GDP of the UK grew by a well 3.2% in the third quarter and marked a 0.8% increase than the last quarter rebuffing the economists’ prediction of a growth rate of 0.4%. As far as FDI is concerned the United Kingdom has been the second largest recipient of Foreign Direct Investment (FDI) only after France. It holds as many as 15.1% of FDI in stock alone in the European Union whereas 6.3% worldwide

Key industries sector to invest in United Kingdom:

The United Kingdom is the largest country attracting maximum foreign investment in the European Union. This has mostly been possible due to the wide variety of sectors that remain unexplored in the United Kingdom.

The key industries that offer huge benefits to foreign investors in the United Kingdom are low carbon market, the automotive sector, energy, healthcare, agriculture, environment and renewable energy, finance and banking and others. Apart from these, the creative sector in the UK is also providing loads of opportunities for investment than any other member states in the European Union. These creative industries contains as many as 13 various sectors such as advertising, crafts, design, leisure software, television and radio, film and antiques and many others.

FDI/ Investment policy:

The government of the United Kingdom understands the role of investments in the long term growth and development of the UK. For this, the UK government has set up a Department for Business Innovation and Skills (BIS) who is all set to come up with an investment policy that will ensure global security and prosperity for investors. It will also ensure a good amount of openness through fair and open markets. The investment policy of the UK guarantees more open functioning and eradication of barriers that hinder trade.

Incentives provided by government of UK to promote investment:

The best way through which a country can increase its global competitiveness is by keeping the tariffs and tax rates as minimum as possible so that more and more businesses come to invest. In short remove the trade barriers and encourage foreign investment. The United Kingdom is doing exactly this, the government of the United Kingdom is of strong belief that reducing the tax rates would work in its favor as it is under the impression that it would improve incentives and would create wealth in the economy and would also enhance the long-term growth. The UK tax system is one of the best in the entire world as it works towards making the working of the markets better rather than deter them.


The UK government has established a UK trade and Investment agency (UKTI) which assists the overseas companies to set up and expand their business in the United Kingdom. It also focuses on increasing the UK’s leading business and industrial sectors to the potential investors, these sectors mostly include low carbon technology, creative industries, aerospace, high technology engineering and so on. This government established agency helps as many as hundreds of firms, every year to set up a business in the UK and provides them with all the necessary assistance that is needed to become a global industry leader.

With so many global competitive advantages plus an investor friendly government, United Kingdom is surely the best destination for investment not only in the entire European Union but in the entire world.

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