A study published at the end of 2009 by the Engineering Employers’ Federation and BDO Stoy Hayward, reported that one in seven companies has repatriated at least some of their production to the UK in the last two years. The main reasons for the change of heart were found to be higher than expected costs and problems in achieving expected levels of quality.
Most relocators have returned from China and Central and Eastern Europe, but currency shifts have also resulted in manufacturing returning from the U.S and Western Europe.
If your company is thinking about relocating back to the U.K, talk to us at Trilogie – we will help you find a suitable site for your production facility and procure and fit out the new building.
For more information:
Keith Martindale
Trilogie Corporate Real Estate
T. 01628 811277
F. 01628 528109
M. 07768 924924
E. km@trilogiecre.com
There has been some speculation that changes to the corporate tax regime, both those measures already announced and those anticipated by business, may lead to a steady exodus of UK corporate HQs to more favourable and “business friendly” locations in Europe, particulary Luxembourg, Switzerland, Ireland and the Netherlands. Whilst there is business relocation traffic out of UK, a recent report by UKTI (Inward Investment at Heart of Recovery Plans – 14th July 2010) suggests that the inflow of US, Indian and Japanese companies is seeing a significant up-swing compared to levels in 2008/09. China is now the UK’s sixth largest inward investor.
From a property perspective it appears that the emphasis is on office and laboratory facilities, with requirements from ICT, life sciences, financial institutions, and arts and media companies. Headquarter buildings are also in demand with a 10% rise in corporates relocating headquarters to the UK.
Richard Cooper
Trilogie CRE Ltd