UK second to France for attracting foreign investment

France has again beaten the United Kingdom to the title of Europe’s most popular investment destination for foreigners, amid a mix of factors brought on by Brexit and the COVID-19 crisis.

In a report published by accounting firm EY, in 2020, France took the lead with a record of 985 investments, while the United Kingdom recorded 975 direct investment projects.

Prior to 2020, the United Kingdom had led the ranking of Europe’s Foreign Direct Investments for close to two decades of the survey, which is released yearly. This trend first started changing when economic uncertainty increased in Britain and the prospects of a Brexit trade deal with the European Union began to fade.

Eventually, a last-minute deal was agreed upon on the Eve of Christmas the same year, only one week before the UK departed from the cluster.

Turning the attention of foreign investors to a “global Britain” is a major goal of the Conservatives-led government. In fact, one of their key arguments was that Brexit would provide more attractive and enabling condition in the country for foreign investment. To this end, the office has established an Office for Investment to attract investment.