Recent changes to the British tax system have made the UK more attractive to international business, according to a recent statement from KPMG.
The Big Four firm is now working with almost 100 businesses that are considering moving their operations to the UK. This is evidence of a “change in sentiment towards the UK’s tax system”, according to Jane McCormick, head of tax and pensions at KPMG in the UK.
“It’s only four years ago that UK listed companies were announcing they were quitting the UK. Today, overseas businesses are lining up to come here.”
Many more companies are using the UK as a centre for business and international operations. In addition, several businesses also say they are working with the firm to move their headquarters to the UK or are planning to move here as part of a wider acquisition plan.
Of the businesses currently working with KPMG, the most common are pharmaceuticals, consumer markets, diversified industrials, manufacturing, automotive oil and gas and the financial sector.
This is good news for local economies outside of London, as much of this planned activity will be located in sectors such as manufacturing, consumer goods and diversified industrials outside the capital.
Britain’s manufacturing sector is at a five month high and with this further international investment, it is expected the sector will continue to grow, providing contractors with more jobs and bringing production back to the UK.
The KPMG statement also follows the bi-annual study of business competitiveness, published by the firm in March, which stated the UK is now among the most attractive places for international firms to do business.
Photo by Rob Boudon