The UK has overtaken Germany, China and India to become the most attractive country for investment behind the US for the first time in PwC’s annual UK CEO survey.
The poll showed the UK moved up from the fourth most important destination for investment in 2024, with senior executives also seeing a brighter economic outlook ahead for Britain in 2025.
The PwC survey found that 14 per cent of chief executives from around the world believe the UK will draw the greatest proportion of international investment, behind only the US, with 30 per cent.
They are followed by Germany with 12 per cent, China with 9 per cent and India with 7 per cent in the top five.
PwC described the findings as a “vote of confidence in the UK”, with almost two thirds (61 per cent) of British chief executives optimistic about the country's economic growth prospects in the next 12 months, up from 39 per cent in 2023.
It comes after Chancellor of the Exchequer Rachel Reeves faced mounting questions over flagging UK growth, the impact of her recent Budget measures and rising UK debt levels, with concerns about the pound slumping and government borrowing costs spike sharply this month.
Last week’s weaker-than-expected growth figures, showing a meagre 0.1 per cent expansion in November, heightened fears of a stalling economy.
The recent sell-off in UK government bonds – also known as gilts – has calmed, but experts worry the rout could resume on further disappointing data or unfavourable trade policies from new US President Donald Trump.
“Our CEO survey findings are a vote of confidence in the UK as a place for business and investment,” Marco Amitrano, senior partner of PwC UK, said.
“The UK’s relative stability at a time of instability should not be underestimated, nor should its strength in key sectors including technology.
“However, there is no room for complacency. Reasserting Britain’s place on the global stage requires a tangible path to growth and a consistent government approach to business and investment.”
Ms Reeves, who is this week attending the Word Economic Forum gathering of business and political leaders in Davos, Switzerland, said: “These latest results show global CEOs are backing Britain and the UK is one of the most attractive destinations for international investment.
“And it’s this investment that will help drive economic growth and improve living standards across the UK.”
Despite fears that her Budget measures to increase wage costs for businesses will hit hiring, the survey showed that over half (53 per cent) of UK chief executives plan to increase their workforces this year, up from 48 per cent in 2023.
But longer-term confidence of bosses in their own businesses has been knocked back, with 57 per cent of UK chief executives feeling very positive about their organisation’s prospects over three years, compared with 61 per cent in last year’s survey.
British business leaders are also leading the way in using artificial intelligence (AI) in their firms, with 93 per cent of chief executives saying their firms have now adopted the technology in some way – more than double the 42 per cent in 2023 and higher than the 83 per cent global adoption rate.
But just 36 per cent of UK bosses anticipate AI boosting their profits over the next year, compared with 49 per cent globally, while only 14 per cent of UK chief executives said they saw profit improvements from AI over the past 12 months.
“UK business has begun to move beyond the initial hype of GenAI to the reality of making it work – but that shouldn’t detract from its huge unrealised potential,” Mr Amitrano said.
The survey also revealed that 98 per cent of UK business bosses are planning to make material changes to their business models to stay competitive.
PwC surveyed 4,701 chief executives across 109 countries and territories from October 1 through to November 8, 2024.
The Sand Castle
Director: Matty Brown
Stars: Nadine Labaki, Ziad Bakri, Zain Al Rafeea, Riman Al Rafeea
Rating: 2.5/5
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UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
Sole survivors
- Cecelia Crocker was on board Northwest Airlines Flight 255 in 1987 when it crashed in Detroit, killing 154 people, including her parents and brother. The plane had hit a light pole on take off
- George Lamson Jr, from Minnesota, was on a Galaxy Airlines flight that crashed in Reno in 1985, killing 68 people. His entire seat was launched out of the plane
- Bahia Bakari, then 12, survived when a Yemenia Airways flight crashed near the Comoros in 2009, killing 152. She was found clinging to wreckage after floating in the ocean for 13 hours.
- Jim Polehinke was the co-pilot and sole survivor of a 2006 Comair flight that crashed in Lexington, Kentucky, killing 49.
F1 The Movie
Starring: Brad Pitt, Damson Idris, Kerry Condon, Javier Bardem
Director: Joseph Kosinski
Rating: 4/5
What can victims do?
Always use only regulated platforms
Stop all transactions and communication on suspicion
Save all evidence (screenshots, chat logs, transaction IDs)
Report to local authorities
Warn others to prevent further harm
Courtesy: Crystal Intelligence
The specs
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Torque: 859Nm
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Price: From Dh825,900
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UAE v Zimbabwe A
Results
Match 1 – UAE won by 4 wickets
Match 2 – UAE won by 5 wickets
Match 3 – UAE won by 25 runs
Match 4 – UAE won by 77 runs
Fixture
Match 5, Saturday, 9.30am start, ICC Academy, Dubai
How to keep control of your emotions
If your investment decisions are being dictated by emotions such as fear, greed, hope, frustration and boredom, it is time for a rethink, Chris Beauchamp, chief market analyst at online trading platform IG, says.
Greed
Greedy investors trade beyond their means, open more positions than usual or hold on to positions too long to chase an even greater gain. “All too often, they incur a heavy loss and may even wipe out the profit already made.
Tip: Ignore the short-term hype, noise and froth and invest for the long-term plan, based on sound fundamentals.
Fear
The risk of making a loss can cloud decision-making. “This can cause you to close out a position too early, or miss out on a profit by being too afraid to open a trade,” he says.
Tip: Start with a plan, and stick to it. For added security, consider placing stops to reduce any losses and limits to lock in profits.
Hope
While all traders need hope to start trading, excessive optimism can backfire. Too many traders hold on to a losing trade because they believe that it will reverse its trend and become profitable.
Tip: Set realistic goals. Be happy with what you have earned, rather than frustrated by what you could have earned.
Frustration
Traders can get annoyed when the markets have behaved in unexpected ways and generates losses or fails to deliver anticipated gains.
Tip: Accept in advance that asset price movements are completely unpredictable and you will suffer losses at some point. These can be managed, say, by attaching stops and limits to your trades.
Boredom
Too many investors buy and sell because they want something to do. They are trading as entertainment, rather than in the hope of making money. As well as making bad decisions, the extra dealing charges eat into returns.
Tip: Open an online demo account and get your thrills without risking real money.
Who has been sanctioned?
Daniella Weiss and Nachala
Described as 'the grandmother of the settler movement', she has encouraged the expansion of settlements for decades. The 79 year old leads radical settler movement Nachala, whose aim is for Israel to annex Gaza and the occupied West Bank, where it helps settlers built outposts.
Harel Libi & Libi Construction and Infrastructure
Libi has been involved in threatening and perpetuating acts of aggression and violence against Palestinians. His firm has provided logistical and financial support for the establishment of illegal outposts.
Zohar Sabah
Runs a settler outpost named Zohar’s Farm and has previously faced charges of violence against Palestinians. He was indicted by Israel’s State Attorney’s Office in September for allegedly participating in a violent attack against Palestinians and activists in the West Bank village of Muarrajat.
Coco’s Farm and Neria’s Farm
These are illegal outposts in the West Bank, which are at the vanguard of the settler movement. According to the UK, they are associated with people who have been involved in enabling, inciting, promoting or providing support for activities that amount to “serious abuse”.
