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Foreign Investment in UK

Asked by Callum AndersonLabourDepartment for Business and TradeTabled Answered 6 November 2024UIN 11747

The question

To ask the Secretary of State for Business and Trade, how the Office for Investment will assess the potential impact of foreign direct investment on domestic businesses in key sectors.

Answered by Sarah Jones

Investment is at the heart of the government’s growth mission, increasing the number of good, well-skilled jobs and improving productivity across the country. Foreign direct investment is one part of this and can support domestic businesses directly through supply chains and indirectly through spillover benefits. The new Office for Investment will work closely with all businesses to increase facilitation of investment from UK and overseas businesses.

Previous research in 2021 by DBT found that on average a £1 million FDI project into Great Britain leads to a net increase in national levels of GVA of around £98,000 and a net increase in employment.

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