How UK big businesses are planning to increase investment Bookmark has been added
How UK big businesses are planning to increase investment
Economic recovery has finally arrived in the UK. A well balanced recovery requires a significant rise in corporate investment, to re-orientate the economy away from consumer-led growth. The recent Budget made many changes to encourage this shift in our economy.
To get the full picture this report provides a granular understanding of the volume and values of investment decisions by UK big businesses between 2014 and 2015, while providing an overview of where these investments will take place.
“The government is building a stronger economy and fairer society through our long term plan. But the job isn’t done and it’s vital that UK businesses play their part to cement the recovery.” – Rt Hon Danny Alexander MP
- Deloitte estimates that businesses based in the UK with a turnover of more than £1 billion will invest around £200 billion by the end of 2015, providing a UK base for international expansion.
- The planned investments could generate £486 billion of new revenue from foreign markets by 2017.
- Major companies in the UK intend to maintain the cash cushions built up mainly since the financial crisis. Only a third plan to use this cash to finance investment strategies.
- Both the Government and businesses should act to maintain this investment momentum. With an election due in 2015, the Government must address the corporate need for macro-stability and sector-specific support. A key priority for business is to re-establish trust with the public by illustrating its significant contribution to domestic wealth creation.