Catalysing UK economic growth

Catalysing UK economic growth through financial services foreign direct investment: a call to action

Our new report shows that supporting the establishment of UK offices by foreign sovereign investors - public pension funds and sovereign wealth funds - could bring in up to £7.7bn by 2030, boosting jobs and economic growth, and increasing funding for public services across the UK.

Our analysis focuses on the UK investment uplift that occurs after an initial Foreign Direct Investment (FDI) in the form of an office opening.

• In the past decade, sovereign investors who have opened a UK office, have more than doubled their UK investments compared to the five years after establishing a UK presence with the five years preceding.
• This uplift alone was worth £13.4bn with investments made in infrastructure, tech, and renewable energy. 
• These benefits are UK wide with 92 investments across 36 different cities and towns outside of London.

Our flagship report, Vision for Economic Growth, outlines a roadmap to strengthen UK-based financial and professional services (FPS) as a key driver of jobs and prosperity. Building on this roadmap, we recommend that the UK further capitalise on the insights from the Harrington Review of Foreign Direct Investment to develop a long term FPS strategy. Overseen by an FPS council, this strategy will boost the sector, driving growth across the UK economy.