Investing climate in the UK

1. INVESTING IN THE UNITED
KINGDOM
Agnese Lubka u28937
Oleksandra Soroka u28939

2. Content
2
1. UK business climate
2. Why invest in the UK?
3. Successful example – Bosch
4. Discussion
5. Sources

3. UK Business climate3

4. 4
"With world markets — and especially Europe —
affected by economic uncertainty, the ongoing
strong flow of *FDI continues to have a
transformational impact on the UK, helping to
create and sustain a globally attractive, highly
competitive and truly international economy."
Lord Green, Minister of State for Trade and Investment,
UK Trade & Investment
*FDI - Foreign direct investment

5. Economy
5
 Third largest economy in EU
 Sixth largest economy in the world
 High developed agriculture
 Producing about 60% of food needs
 The UK is set to grow faster than any other
Western economy

6. 6

7. 7

8. 8
Source: CIA World
Factbook
Import and
export

9. Why invest in the UK?9

10. Why invest in the UK?
 Stable and democratic political system
 UK Government is “open for business” and
supportive of entrepreneurial and small to
medium size businesses
 Strong and respected system of law
 Competitive tax rates
10

11. Why invest in the UK?
 High quality of life, cosmopolitan society and
attractive lifestyle opportunities
 British Pound considered by many to be a
“safe haven” currency
 Well located between America and Europe
with five international airports in London and
high speed connections to mainland Europe
11

12. Why invest in the UK?
12
 Citizenship available after only 5 years of
residence
 Tax system favorable to resident foreigners
 Internationally renowned schools and
universities
 Free market economy which is the 6th biggest
in the world and 3rd largest in Europe

13. Labour costs
According to the Institute of the German Economy in Cologne labour costs per
working hour in manufacturing industry are today*
In the U.K.
 £15.30 (€18,51); £10.58 (€12,80) of which is
direct pay and £4,72 (€5,71) benefits.
In Germany West
 £20.28 (€24,53); £11.34 (€13,72) of which is direct
pay and £8.94 (€10,81) benefits.
In Germany East
 £12.64 (€15,29); £7.45 (€9,01) of which is direct
pay and £5.18 (€6,26) benefits.
13

14. Successful example – Bosch14

15. Bosch history in the UK
 Robert Bosch enters the UK
market 1898
 1914 company became very
successful
15

16. Facts and figures 2012

Year of foundation:
UK: established since 1898
Worldwide: 1886

Employees:
UK: 4,406
Worldwide: 305,877

Locations:
UK: 40

Sales:
UK: 2.4 billion euros
Worldwide: 52.5 billion euros

Research and development cost:
Worldwide: 4.8 billion euros

Bosch is one of the major companies in the UK today
16

17. 17

18. Factsheet 2012 -report
18

19. Discussion
 Read the document
 Think about the questions below :
What are the obstacles for investing in the
UK?
Do you think that UK currency in an issue
for German investors? Why?
19

20. QUESTIONS ?

21. THANK YOU FOR YOUR
ATTENTION!

22. Sources
 http://www.investuk.com
 http://www.bosch.co.uk
 http://www.ukti.gov.uk
 http://www.gi-uk.co.uk
 http://www.bbc.co.uk/news/business-
24799507
22