Breeze Strategy

Inward Investment and Place Marketing Consultancy

Investors Charter – Words v Deeds

At the Global Investment Summit held in London this week, Gordon Brown spoke of “words and deeds” to encourage new inward investment and support existing investors. However, beyond the well orchestrated and slick presentation, the resulting proclamation of a new “Investors Charter” has been slammed by business leaders.


If the government genuinely wants to support inward investment, the immediate deeds should include scrapping the impending rises in personal and corporate taxation that will further erode the UK’s competitive advantage.


According to UKTI, the two most important reasons to invest in the UK are “the easiest place to set up and run a business in Europe” and “internationally competitive tax environment for foreign investors”. Presumably the UKTI webmaster will be up-dating these claims in April when the next tax hikes kick in.


It's great that politicians recognise the importance of inward investment but they must realise that they are in a position to directly influence the UK's competitive position through fiscal policies that will entice wealth-creators to locate here and stay here.

Posted on 25 February 2010 at 12:26 PM | Permalink

Transformational Inward Investment Projects

Counting projects can be a spurious way of showing the value of inward investment activities, with far too many non-projects (M&As or JVs) and one-person sales offices included. So it’s refreshing to be able to shout about six inward investments announced in the first few weeks of 2010, that are truly transformational and will each make a significant difference to the lives of people in each area.

When we seek inward investment, it’s these kinds of wins that we’re looking for:

- Manchester – After a highly competitive site selection process, Trafford Park has been chosen as the location for Europe’s largest data scanning centre, creating 1,300 new jobs.

- Wales - Swansea has been chosen by Toyoda Gosei for the biggest Japanese investment in Wales for nearly 20 years. The automotive components firm is to create 600 jobs.

- Grimsby - The Daniels Group, who produce chilled foods like New Covent Garden Soup, has announced an £8.5 million investment and the creation of 200 new jobs in 'Europe's Food Town'.

- Wales - 200 new jobs are to be created at the former L'Oreal factory in South Wales. French company Fillcare, which took over the plant last summer, is investing £7m at the site.

- Scotland - Credit and debt recovery firm, Mackenzie Hall, has said it is to double its workforce at its Kilmarnock call centre with the creation of 100 new jobs.

- Blackburn - Gosselin, the French manufacturer of laboratory consumables, will establish a base in Blackburn, Lancashire creating 37 new jobs. It will look to use the UK to extend its market share in Northern Europe.

Let’s hope that these are the first of many transformational projects this year.

Posted on 18 February 2010 at 02:06 PM | Permalink

Cadbury sale is a UKTI "success"

I presume that all the hand-wringing by politicians over the loss of Cadbury to foreign-ownership will be forgotten in a few months when UK Trade & Investment announce their latest annual inward investment results. Just like Rolls-Royce Motors, P&O, Man Utd and around 500 other acquisitions each year, the Cadbury deal is counted by the UK government as a “success” – irrespective of the impact on jobs.

 

A quarter of UKTI’s annual successes are accounted for by mergers and acquisitions over which government agencies have no control or influence. This is a misleading practice which artificially distorts the true picture of inward investment and exaggerates the performance of national and regional quangos.

Posted on 20 January 2010 at 10:20 AM | Permalink

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  • Investors Charter – Words v Deeds
  • Transformational Inward Investment Projects
  • Cadbury sale is a UKTI "success"
  • Crackers and Turkeys
  • Tax them and they'll come?
  • Ireland's New Inward Investment Campaign
  • How to 'Do More For Less' and Still Win Inward Investment
  • Councils seek return of quango powers
  • Yet Another "record" Year for UKTI
  • Place Marketing by the Seaside
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