UK continues to attract foreign investment, as Qatari government declares it will invest “£5bn in the UK” over next 5 years.

The UK continues to attract foreign Investment; Qatar’s Finance Minister pledging 5 billion pounds ($6.3 billion) of investment in Britain over the next three to fiver years. Therefore signalling a significant show of support and confidence for the world’s fifth-largest economy. The statement came just two days before Prime Minister Theresa May triggers formal Brexit talks. The wealthy Gulf state, Qatar already has over 35 billion pounds of investment in the UK; including known London landmarks like the Shard, which is the tallest building in London, Harrods department store, The Savoy hotel and a stake in the Canary Wharf financial district.

Brexit Has Not Affected Investor Confidence

The UK’s vote to leave the European Union, has not impacted investor confidence in the UK property market; as interest from investors in the GCC and beyond remains strong. Britain still is the top pick for many international buyers, despite Brexit and recently raised stamp duty. Victoria Garrett, Partner at Knight Frank Middle East said. “We are still seeing strong demand for London from the GCC, and also into the outer areas for GCC investors driven by a search for higher yields,”. Therefore buyers are investing in regional cities suc as Manchester and Birmingham for higher yields.

Supporting a Brexit Britain

Qatar’s top financial players used an investment conference in London to pledge support for Brexit Britain; following the shock vote to leave the EU in June last year. The head of the $335 billion Qatar Investment Authority (QIA) sovereign wealth fund said he saw opportunities in Britain.  “I am still looking, even after Brexit there will be opportunities QIA can really hunt for,”. QIA Chief Executive Sheikh Abdullah bin Mohammed bin Saud al-Thani told the conference. “Whenever the (British) government would like the QIA to step in we are ready.” The sentiment was echoed by Sheikh Abdullah bin Nasser bin Khalifa Al Thani, the Qatari Prime Minister declared; “Qatar has great confidence in the UK; and this confidence will be demonstrated in the additional investments we will make over the next decade.” Both sovereign and private investors from Qatar, Saudi Arabia, Kuwait and United Arab Emirates have been prolific buyers of British assets in recent years; investing billions into the UK property market, and the UK continues to attract foreign investment over the next 10 years. Over the next decade,  UK-based ultra high-net-worth individuals, (who have a net worth above $30m (£24.2m) in assets) are predicted to increase to 12,310; a net rise of 30%. Liam Bailey, Knight Frank’s head of research, said;London would remain “the city of choice” for the super-rich from the Asia and the Middle East despite concerns over Brexit. Click to read on the long term outlook for the UK property Market: UK House Prices Set To Rise For The Next 50 Years If you are interested in investing in UK property from the GCC, our Dubai office can help