Jessica Fino 5 Dec 2018 04:37pm

Foreign investment in UK at record level

The UK remains a top destination for foreign investment, according to the Office for National Statistics (ONS), with investment increasing by 12.6% last year

The value of the UK’s foreign direct investment (FDI) rose by £149bn to £1.3bn in 2017.

The Department of International Trade said this was the highest level of inward stock since records began. The department welcomed the news that the greatest growth from any country came from Indian investors, rising 321% to £8bn. Stocks from Asia totalled £128bn, with investment from Japan increasing 71% to £78bn.

But this was still a small proportion compared with the amount of investment coming from the US, which increased by 19.5% to £351bn.

And while the US was the UK’s largest investor, according to the ONS statistics, investment coming from Europe totalled £744bn, with £573bn coming from countries in the EU.

Within the EU, Luxemburg and the Netherlands were the biggest investors, bringing in £116bn and £228bn respectively.

The financial services sector attracted more FDI than any other industry, attracting £385bn into the UK. This is an increase of 19.5% from the previous year.

Financial services account for 28.8% of total inward investment, the government said.

International trade secretary Liam Fox said, “As we prepare to leave the EU, foreign investors from around the globe are as confident as ever investing in the UK.

“The significant rise in the amount of investment from Asia is evidence that the growing economies are important partners for the UK, relationships which I am committed to developing and deepening.

“FDI has an overwhelmingly positive and transformative effect on the UK economy, bringing jobs, prosperity and growth. My international economic department is focused on ensuring that the effects are felt in every part of the country.”