As Chinese investment into London and the UK at large continues to grow, Neil Brigden, Director of FDI at London & Partners, tells Tom Pattinson how Chinese investment in the city has changed over the past 10 years and which sectors are attracting the most attention from investors.
Are there any sectors that L&P is specifically targeting from China?
London & Partners is focusing on supporting Chinese investment into areas where London is really strong or is looking to develop its global reputation in new tech of the future. This includes technology which London has traditionally been strong in, like FinTech, AI and green finance. Financial services and real estate are still big areas of interest, too. There’s also growing attention on creative industries, healthcare, and green energy as Chinese investors look for diverse opportunities in London.
What kind of London businesses has China traditionally invested in?
Chinese investors have traditionally put their money into real estate and financial services in London. But over time, we have seen this shift into technology, especially AI and FinTech, as well as renewable energy. This shift shows how Chinese companies are looking to get into new and innovative industries that fit with their global goals.
How has investment from China changed over the last decade?
Over the last ten years, Chinese investment in London has changed a lot. It started with a focus on real estate and infrastructure, but now Chinese companies are investing more in technology, healthcare and creative industries. There are more Chinese-led projects in London now (over 200 since 2013), that are creating jobs (more than 16,000 since 2013) and bringing in money (over £7.5 billion since 2013), which shows how Chinese investors are looking for new markets and advanced technologies.
What are the biggest opportunities for Chinese businesses investing in London?
London offers many opportunities for Chinese businesses, especially in technology, where it’s a world leader in FinTech and AI. There are opportunities for London and China to collaborate around technologies that are addressing some of the major challenges we both face – these are global challenges and need global solutions. London is good at that. Financial services are also a big draw because London is a major financial hub. London’s lively cultural scene offers unique chances in creative industries, and the city’s focus on sustainability makes it a great place for investments in green technology and energy.
How much does cultural influence and the UK’s soft power attract Chinese investors?
The UK’s cultural appeal plays a big role in attracting Chinese investors. London’s rich history, top universities and global arts scene make it a very attractive place for Chinese businesses. These factors, along with London’s reputation as an international hub, help bring in Chinese companies that want to build their global presence.
Are there any good examples of Chinese companies launching (or investing in) London in recent years?
Yes, several big Chinese companies are investing in London. For example, we have seen major commitments from Chinese electric vehicle manufacturers in the UK and London specifically. BYD, the world’s largest maker of electric vehicles, has set up its UK office in London and has delivered over 1,000 electric buses to the city. Chinese real estate developers are also buying and building properties in London. Plus, Chinese banks have opened offices in London, highlighting how important the city is for global finance. Overall, London is the second largest destination city for Chinese foreign direct investment (FDI), behind only Singapore.
How important is the tech business to London investment, and how does the UK compare with other major European markets when it comes to being regarded as a tech capital?
Technology is really important to why investors choose London. London is Europe’s leading and largest tech hub, especially in FinTech, AI and cybersecurity. It has grown in size over the last decade from $70 billion to over $620 billion, with more growth capital and unicorns than anywhere else in Europe. This strong tech scene attracts many Chinese investors, who find London’s mix of tech, financial services, and academic excellence particularly appealing.
2025 will see the first SXSW London – can you tell us more about how this came about and the reasons it is coming to London?
SXSW coming to London in 2025 is really exciting. London’s lively arts scene and strong focus on tech and creativity make it an ideal place for such an event. This decision shows that London is a leading city for fresh ideas and creative thinking.
