India’s investments in the UK zoomed nearly 65 per cent in 2015, establishing it as the third largest source of foreign direct investment (FDI) into Britain after the US and France.
A new report released here also found that the number of Indian companies in the UK, growing at more than 10 per cent, has nearly doubled from 36 to 62 firms in a year.
‘India meets Britain 2016: Tracking the UK’s top Indian companies’, published by Grant Thornton UK LLP in association with the Confederation of Indian Industry (CII), said the combined turnover of these businesses has increased by 4 billion pounds last year, up from 22 billion pounds in 2014 to 26 billion pounds in 2015.
Anuj Chande, head of the South Asia Group at Grant Thornton UK LLP, said: “The India Tracker shows that the level of investment in the UK by Indian companies remains high. In 2015, investments from India rose by 65 per cent, making it the third-largest source of FDI in the UK.”
The top five Indian firms operating inhe UK include Bharti Airtel, HCL Technologies, Emcure Pharma, Apollo Tyres and Wockhardt.
In reference to the upcoming referendum which will decide the future of the UK’s membership of the European Union (EU), the report cautioned: “At least for the time being, Indian companies invest more in the UK than they do in the rest of the EU combined. What remains to be seen is how attractive the UK will be to these businesses in light of the upcoming EU referendum and possible ‘Brexit’.”
Of the 62 firms in the tracker, 30 are Small and medium-sized enterprise’s with a turnover between 5 million pounds and 25 million pounds, 27 are mid-sized (turnover between 25 million pounds and 250 million pounds) and five are large corporate (turnover of above 250 million pounds).
The research also shows that Indian-owned companies pay combined UK corporate tax of almost 650 million pounds, up from 500 million pounds last year.