As the UK goes through the process of withdrawing from the EU, it may have been sensible to expect foreign investment levels to drop while buyers took a 'wait and see' approach. In reality, the opposite has occurred, with Brexit failing to deter external investment.

This obviously bodes well for the future of the country's economy, and will hopefully ensure that Britain retains its favoured investment status, regardless of the final Brexit agreement.

In this article, we analyse why foreign investors still see a wealth of opportunity in the UK.

Growing Demand

In 2016, buyers from the Far and Middle East continued to plough money into commercial property- investment levels increased in both London and other areas of the UK. In fact, regional investment actually doubled to 1.9 billion pounds (one third of all regional property investment).

Edinburgh in particular saw a massive surge in interest, with 80% of its commercial property purchases coming from foreign buyers. Manchester, Cardiff, and Birmingham also drew increased attention, largely because of the higher rental yields and economic resurgence in these cities.

In London, Qatar now owns more property than the Queen and the Mayor of London, with no signof their thirst for commercial space slowing down.

Brand Britain

Part of the reason for the investment is undoubtedly the devaluation of the pound, making UK property more affordable. However, there are also a number of other factors at play in Britain's continued appeal.

A primary consideration is our language. English is universally spoken and doing business in a country where communication is easy proves attractive when investing large amounts of money. Our culture is also a driving force, with a large multi-cultural population and good facilities for people of all ethnicities and religions.

In addition, the UK remains a respected base for research, science, and even our industrial capabilities. The 'Made in Britain' label is still synonymous with quality, and as such, Britain retains a certain allure and prestige.

Business Infrastructure

Security of investment is obviously a priority for any individual or organisation looking to spend huge sums of cash. This is an area where the UK truly excels - our political and financial infrastructure is second to none. Put simply, Britain is a straight-forward place to do business, with no nasty surprises. Our stringent regulatory bodies and system of law ensure that investors assets are safe and people get treated in a fair manner if a legal issue arises.

There are also multiple business benefits.

According to the World Bank, it takes just 13 days to establish a business in the UK (the fastest timein Europe), while our corporate tax of 28% is the lowest of the G7 group of nations. Registering aproperty here is also a quicker and simpler process than in some other European countries.

— Pall Mall Estates have a wide range of low cost commercial properties across the UK.

Take a look at our available spaces here or get in touch with our experienced team here.

—