Indian firms second-biggest employers in UK
LONDON: Nearly 800 Indian companies based in the UK have a combined revenue of £47.5 billion, are the second-largest employers, and 55 of the fastest growing companies achieved an average annual growth rate of 31%, a new analysis released Wednesday said.
The analysis, titled ‘India Meets Britain Tracker 2017: The Latest Trends on Indian Investment in the UK’ by Londonbased consultants Grant Thornton and CII revealed the scale of contribution of Indian companies to the British economy.
Anuj Chande, head of South Asia at Grant Thornton, said at the release: “The UK remains a highly attractive destination for Indian investors. The Modi government’s pro-business agenda is creating the right environment for Indian businesses to pursue and realise growth at home and overseas.”
The report monitors Indian businesses here with an annual revenue growth of 10% or more. Of the 55 that made the list of fastest growing companies, 23 are new entrants while 32 featured in last year’s list.
According to the report, just under half of the companies included in this year’s tracker recorded a 25% growth rate or above.
Datamatics Infotech Ltd topped this year’s list with a growth rate of 103%.
Companies from the technology and telecoms, and pharmaceuticals and chemicals sectors make up 31% and 24% of the list respectively. These are sectors where businesses are continuing to find growth opportunities by diversifying into new spheres of activity.
The business services sector entered the top three for the first time with an 11% growth rate, up from 6% in 2016 and just 3% in 2015.
London continues to strengthen its dominance as the leading destination for Indian investment in the UK. Of the fastest-growing Indian companies, 44% are now based in the capital, up from 39% last year and 25% in 2015, the report said.
The UK has long been the preferred European destination for FDI from India. Out of the 845 FDI projects made by Indian companies in 16 European countries since 2003, over 45% have been in the UK.
Shuchita Sonalika, head of CII UK, said: “The report identifies £4.25 billion of new investment last year by Indian companies, and further jobs being created as part of their continued investment programmes.