Date
23 October 2017
Chinese investments in UK infrastructure include a 10 percent stake in Thames Water, Britain’s largest water utility. Photo: Bloomberg
Chinese investments in UK infrastructure include a 10 percent stake in Thames Water, Britain’s largest water utility. Photo: Bloomberg

China expected to step up investment in UK infrastructure

China is likely to invest 105 billion pounds (US$169 billion) in British infrastructure by 2025, with energy and transport segments getting the major share, Financial Times reported Monday, citing a research report.

The Asian powerhouse, which has already invested 11.7 billion pounds in Britain between 2005 and 2013, is expected to enhance its focus on the UK in the coming years as it seeks a safe haven for outbound investment, the London-based Centre for Economics and Business Research and law firm Pinsent Masons were quoted as saying in a report.

China’s previous investments in UK infrastructure included a 10 percent stake in Thames Water, Britain’s biggest water utility.

Richard Laudy, a partner at Pinsent Masons, described the prospect of greater Chinese investment as a “game changer” for the UK, adding: “We expect this to be the beginning of a major trend as a trickle of Chinese investment turns into a wave over the coming decade.”

The report expects the UK to rank third out of 144 countries for attractiveness to foreign investment from China, behind the US and Japan.

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RC

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