UK financial services Europe’s top location

The UK remains Europe’s leading financial services location for foreign direct investment (FDI), but sentiment is mixed, a new report says today.

UK financial services attracted 99 FDI projects in 2016 – the highest level for more than a decade and up 5 per cent on 2015, says business advisory giant EY’S latest survey of financial services’ attractiveness.

But the lead over other countries is narrowing, with Germany recording a year-on-year rise of 18 per cent and France 25 per cent.

“Investor sentiment is mixed and there are concerns over Brexit and levels of corporation tax – they want clarity on the approach towards skills, market access and future trading arrangements,” the report says.

Omar Ali, EY’S UK financial services leader, said the survey showed the UK financial sector’s continuing attractiveness, but he added realism was needed about concern over Brexit and “shaken” investor confidence about “recent political events”.