The UK can be described as an unparalleled success story, a multi-cultural, multi-national, multi-ethnic state. A NHS which guarantees care for every citizen; charities and voluntary groups. Regardless of the successes, there are some shortcomings within the UK economy which can be addressed. The driving force behind this proposed change is a Government scheme labelled ‘Levelling Up’. The phrase, ‘Levelling Up’ refers to the UK Government’s ambition to reduce regional disparities in terms of economy by targeting regions which lack government funding.

Source: BBC – The Levelling Up Fund awarded £1.7 billion to projects in October 2021 (Round 1) and another £2.1 billion in January 2023 (Round 2). Image source: Department for Levelling up

Levelling Up requires the Government to reduce the geographical inequality which is a striking feature of the UK. The proposed results from this investment scheme will help to; improve productivity, boost economic growth, encourage innovation, and improve education and skills.

One of the benefits from the inflow of Government investment into less-economically developed regions of the United Kingdom is that there are opportunities created for domestic and foreign investors. New investors can benefit from not only the agglomeration effect of new infrastructure that is developed but also a larger pool of skilled workers with diverse skill sets. An example of this can be seen in the development of the UK’s Freeports.

  • The creation and development of eight Innovative Freeports is bringing jobs, investment and prosperity across England with a commitment to deliver more Freeports in each of Scotland, Wales and Northern Ireland. One institution making use of the Government funding can be seen in the North-West of England with the Liverpool City Region Freeport’s Freeport Skills Academy. The Academy aims to help unemployed people and care-leavers secure jobs within the industry whilst receiving the necessary training and education.
The majority of UK maritime ports and airports have an international outlook and global presence and this becomes even more important in the case of Freeports.UK Freeports have the opportunity to build a strong global position by building on the UK’s key relevant characteristics:

attractive investment ground;

a global reputation as a good place to do business;

a robust platform for innovation; and

ease of access to import and export markets.

Productivity in Communities
  • On the 13th of July 2023, the Government announced an Investment of £3.8bn into ‘Skills for Jobs’ planned by 2024-25 and a lifetime skills guarantee in England enabling 11 million adults to gain an A-Level or equivalent qualification for free. Government investment in education is key since the best step forward towards prosperity and productivity in the UK is ensuring our workforce has access to a diverse range of skills. The approach of the ‘Skills for Jobs’ scheme is to place employers at the heart of the system so that education and training lead to jobs that can improve productivity and fill skills gaps.

As the UK Government continues to progress with their long-term goals, the benefits to the UK economy and the growth that will be created through these schemes will serve to make the UK more attractive to foreign investors. Opportunity for inward investment has never been more ripe as the United Kingdom begins to look more inward and focus on bolstering its own nation.

InvestUK is not regulated by the Financial Conduct Authority and the Financial Services Compensation Scheme established for the protection of investors does not apply.


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