UK remains top location in Europe for financial services investment
A report from EY has shown that the UK continues to be the leading destination in Europe for financial services investment.
The Big Four accountancy firm’s UK Attractiveness Report showed that while there has been a decline in investment projects since last year as a result of Brexit, the UK still brought in a higher number of foreign direct investment (FDI) projects than any other country in Europe, with 78 projects being registered.
Financial services investors revealed the key factors that they believe make the UK attractive, with more than 90% citing quality of life, diversity, culture and language. This was followed by education, which was cited by 88% of respondents; technology and telecommunication infrastructure (83%); local labour skills (83%); social climate stability (75%); and European market access (75%).
Despite investors being concerned about the UK’s future prospects, more than 65% of global financial services investors will not be changing their investment plans following the Brexit vote, while 75% are not planning to move their operations out of the UK.
London also continues to be the leading UK city for foreign financial services investment, with the city registering 47 projects over the past 12 months.
More than 50% of financial services investors also believe that the banking, insurance, and wealth and asset management sectors are the key drivers of UK growth.
Commenting on the UK’s position as a leading destination for financial services investment, EY’s UK Financial Services Leader Omar Ali said: “The UK remains the top country in Europe for financial services investment, with London far outstripping its continental cousins as the most attractive city. It is clear that investors are concerned over the outcome of the Brexit negotiations, which means it is increasingly important that the UK Government does all it can to ensure a future deal includes Financial Services.”