#1Dec 20th, 2005
The UK recorded its highest ever number of inward investment projects at 1,066, creating more than 39,000 jobs in the 2004-2005 period.
As a proportion of total US investment in the European Union, the UK hosts as much as Germany, France, the Netherlands and Ireland COMBINED,” said Alastair Newton, Director Investment of UK Trade & Investment USA.
By contrast, estimated inward investment flows DROPPED sharply in other OECD countries including France, Germany and Spain.
UK IS THE BEST PLACE TO INVEST IN EUROPE
US foreign direct investment into the United Kingdom jumps 47%
New York, NY - June 29, 2005 The UK recorded its highest ever number of inward investment projects at 1,066, creating more than 39,000 jobs in the 2004-2005 period*, according to data released today by UK Trade & Investment, the UK government’s international business development agency. The figure represents a 31% increase over the 2003-2004 period.
The US comprised the lion’s share of investment with 466 projects – a 47% increase year-on-year, making it the largest investor in the UK.
“As a proportion of total US investment in the European Union, the UK hosts as much as Germany, France, the Netherlands and Ireland combined,” said Alastair Newton, Director Investment of UK Trade & Investment USA, noting there are about 14,000 American investors in the UK.
UK Secretary of State for Trade and Industry Alan Johnson said: “These figures published today show that the UK is still viewed globally as one of the best places in the world to do business – thanks to our unrivalled economic performance, emphasis on research and technology and skilled, flexible workforce.”
2004-2005 Investment highlights include:
Total projects increased to 1,066 from 811 projects.
New jobs increased to 39,592 from 25,463.
Research and development projects increased 22% to 101 projects.
Pharmaceutical and biotechnology projects rose 38% to 80 projects.
IT and software projects jumped 61% to 240 projects.
UK Foreign Secretary Jack Straw said: “We are ambitious for Britain and are determined to seize the opportunities of the new global economy. Inward investors recognise we’ve taken a lead in deregulating and opening up markets to international competition.
Our openness to investment and commitment to free trade are essential for our continuing prosperity.”
The news is consistent with recent data from the Organization of Economic Co-operation and Development showing a sharp increase in foreign direct investment (FDI) into the UK which almost QUADRUPLED in 2004 to an estimated $78.5 billion from $20.4 billion a year earlier. The OECD attributes the recovery to activity in large-scale mergers and acquisitions, including cross-border M&As. By contrast, estimated inward investment flows dropped sharply in other OECD countries including France, Germany and Spain.
For additional information about UK Trade & Investment and its resources and services, please visit www.uktradeinvestusa.com (external - login to view)
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