How competitive is London?December 11, 2012
Our review of London’s competitiveness 2012 identifies London as a leading international business centre and the leading international financial centre. It shows that despite increased competition, particularly from emerging markets, London continues to perform well. However, despite a recent improvement in London’s position in some key indices, and a strong performance in FDI, London’s position remains vulnerable, especially in certain key business sectors, such as financial services.
London consistently outperforms the UK average in terms of productivity and growth and acts as a gateway to the rest of the UK for investment and tourism. Securing a strong and successful London should be the priority for a Government determined to secure the UK’s economic recovery. However, government policy often does not support London’s competitiveness: instability in the tax regime; immigration policy that potentially deters top business people and students; restricted capacity for expanding connections to the emerging markets; and an increasingly burdensome regulatory framework for financial services combine to put London’s global standing under threat. Read the report here.