Irwin Mitchell has released a report on the impact of Brexit on FDI in the UK.
14 November 2018.
The level of foreign direct investment (FDI) into the UK has remained high since the UK’s decision to leave the EU with London being the biggest beneficiary.
According to a report by the Centre for Economics & Business Research (Cebr), the level of FDI in 2017 into the UK was £50.8 billion, compared to £199 billion in 2016.
Despite the fall, the analysis says that excluding 2016, 2017’s figure is the highest since 2008.
The US remains by far the most important source of FDI in terms of job creation, followed by Germany and India.
In October, the Department for International Trade launched £2 billion worth of property investment opportunities, in a bid to attract global investors. Further support was also shown by the Chancellor who announced in the October Budget an increase in the annual investment allowance in 2019 and 2020 from £200,000 to £1 million.
The report adds that a recent survey by IP Global found that international appetite for investing in the UK property market remains solid – supported by a weak pound and the stability of the UK compared to some other markets.
Expert Opinion, Bryan Bletso,Partner :
“The UK continues to be a highly attractive place in which to invest and it is clear that despite the uncertainty of Brexit, the economy has been very resilient and there are some recent examples of investment, such as Boeing’s £40m capital injection into a manufacturing site in Sheffield."
“There is currently some nervousness from amongst foreign businesses which have previously invested in the UK, however with negotiations in relation to Brexit now moving forward, I’m confident that this will provide a boost to investment levels here in the future.”
The full report is available to download from here.
This article is an extract from the Irwin Mitchell's official website.