British American Business 2007 | Practical Advice | UK Trade & Investment

The UK’s vibrant, diversified and solid economy is the ideal location to realise your global business potential. It is a true economic powerhouse, with a winning combination of success, confidence, ambition, know-how and innovation.

The center of British finance

In 2005/06, over 1,200 foreign companies chose to invest in the UK, more than the record level set the previous year. Over 40% of these projects were new investments, more than a quarter were expansions of earlier investments, and the remainder were mainly mergers and acquisitions. The US remained by far the UK’s largest investing country in 2005/06, with 446 projects.

Unlike most of its competitors, however, the UK isn’t just an investment destination. It is rather an investment multiplier, a springboard to international growth that upgrades the value of a company’s investment. Companies don’t do business in the UK just because they’re interested in the UK market. They also come here to take advantage of a prosperous economy and to become global.

The best environment for business

The UK offers a solid framework in which US companies can prosper. It is a politically and economically stable country with a well-established legal framework and a flexible labor force. The UK economy’s strength is underpinned by large investments in public services and infrastructure, including education, health and transportation. This, combined with the global scale of resources on offer to companies, makes the UK the best-possible environment in which to conduct business.

Did you know?

• By 2016, the UK will be home to the world’s highest concentration of US$1m households
• The UK boasts four of the six largest legal services firms in the world and 200 foreign legal services companies
• Eight of the world’s top ten largest management consulting firms – based on fee income – are from the UK
• The UK dominates the international financial markets, with London the location for 70% of the secondary market in international bonds; over 40% of the over-the-counter derivatives markets, more than 30% of the world’s foreign exchange business; and over 40% of cross-border equities trading.

World-class creativity and innovation

Renowned for its rich history and traditions, the UK is also increasingly acclaimed as an innovator, with a unique spirit, eccentricity and all-round creative energy. It is embracing a technology revolution, with a constant appetite to challenge, invent, question and create. The country is now a recognised leader in creativity and innovation and acts as a magnet that attracts the best of global creative talent.

Did you know?

• The UK is the most popular location in Europe for investment in pharmaceuticals and biotechnology R&D and for staging clinical trials
• The UK has been awarded over 70 Nobel Prizes in scientific disciplines and has the top four universities in Europe
• The UK is ranked as the best performer in the G8 leading economies per unit of R&D spend
• The UK automotive design sector is widely acknowledged as a leader in product development. Seven Formula 1 teams have their headquarters in the UK for that reason.

Gateway of international connections

For companies to grow they need outstanding support networks and the UK has already formed clusters of business services that are truly world class. As well as boasting a large market and quality suppliers, the UK also offers global business leaders the opportunity to interact with the very best of their international peers. In short, it is a global business culture that plugs companies into a vital international network of connections.

Did you know?

• Over 500 foreign companies are listed on the London Stock Exchange
• The UK has the highest number of leading MBA courses in Europe
• The UK’s accessible time zone allows companies to communicate across the globe in the same working day
• More than 25% of London’s population is made up of different ethnic groups, creating a diverse work force with an abundance of employees speaking hundreds of languages.

How UK Trade & Investment can help

The UK government is fully committed to assisting US companies to set up or expand in the UK. The lead organisation that can help you do this is UK Trade & Investment, a specialist government inward investment agency with teams of commercial experts worldwide, including ten locations across the US.

UK Trade & Investment can assist US investors at all stages of the business planning cycle, from inception to completion, helping you assess whether investing in the UK or accessing UK business networks could form part of your global strategy. If these findings are positive, UK Trade & Investment will advise on suitable business locations as well as on governmental and suitable independent business partners to address issues like tax, human capital and visas.

Its fully-comprehensive range of services includes:

• Tailored client account management
• In-depth information provision
• Support from a new cadre of technology specialists
• Support with exporting from the UK.

Looking ahead

Just like the most successful global businesses, UK Trade & Investment is constantly looking at ways to improve its offering. In 2006, it launched a new five-year strategy, Prosperity in a Changing World, which aims to ensure that the UK will continue to attract the best investors from overseas. To this end, the organisation is committed to building on the strengths of its overseas network and improving its services to customers. A key part of the strategy is the introduction of a £9m programme of intensive support for R&D.

All this will help to ensure that the UK – and the overseas companies that invest there – stay ahead of the game.

For further information, please visit the UK Trade & Investment website at
www.ukinvest.gov.uk

Case studies

Delta Air Lines

Support and in-depth information from UK Trade & Investment was a key factor behind the recent decision of US carrier Delta Air Lines to expand its European headquarters in London rather than Paris.

Along with partner organizations such as Think London, UK Trade & Investment introduced Delta, which has had a European base in London since the early 1990s, to useful contacts, provided information on different areas of the capital and helped to find suitable office locations. It also helped to identify foreignlanguage speakers in the city and suggested alternatives to Delta’s recruitment processes.

Delta UK’s Managing Director Loren Neuenschwander says: “We used a great amount of UK Trade & Investment’s resources in this relocation. It was invaluable. Once we’d zeroed in on the area we wanted, they then brought more than 40 properties into view that we hadn’t even considered.”

He continues: “When it comes down to why we keep our headquarters here, London sells itself. But the help from UK Trade & Investment is wonderful. They make things a lot easier for us.”

For more information, visit: www.delta.com

Penn Services Group

In 2005, Pennsylvania-based firm Penn Services Group, which helps companies provide a healthy workplace through employee assistance programmes, opened a subsidiary in the English city of Leicester to work more closely with existing partners and establish joint ventures.

UK Trade & Investment played a major role in helping it set up the business – called Curo Aeger – introducing it to solicitors, banks and accountants, and providing general guidance on UK business regulations. Company Vice President Doug Blaine says: “UK Trade & Investment has been a huge help, supporting us every step of the way. It really took the time to understand our needs and what we wanted to achieve in the UK.

“The contacts it provided made the process less stressful. For example, when we opened a bank account, it provided paperwork to show we were a legitimate business. This meant we weren’t going round in circles trying to find the right people to speak with.” He concludes: “We see the UK market for our consultancy services growing robustly over the next few years. Eventually, I want to use the UK office to expand into European markets and then further afield to Australia.”

For more information, visit: www.pennservices.com

CoVi Technologies

Recognizing the potential of the rapidly-growing CCTV market in the UK, Austin video surveillance technology firm CoVi decided to open up an office in the small Oxfordshire town of Henley-on-Thames after receiving advice from the UK Trade & Investment team at the British Consulate-General in Houston.

Scott Jones, Managing Director of CoVi Europe, says: “We built a great relationship with UK Trade & Investment, which was always willing to help us with our requests. “It provided us with detailed information on various regions and put us in contact with the regional development agencies (RDAs), who gave us more on-the-ground support and advice. “It felt like UK Trade & Investment was on our side and it produced great research on a variety of issues from regional economies to business law and HR matters. The advice it provided was awesome, including amazing knowledge of where we could locate and available offices that would suit our needs. It also put us in touch with banks, lawyers and accountants.”

He concludes: “The UK is a great market, which is why we’ve chosen to have our European HQ here and use it to expand further into the continent.”

For more information, visit: www.covitechnologies.com

All pages are copyright © of Roxby Media Ltd. British American Business is a Roxby Media publication - Disclaimer