News: London attracts Indian investors

(BBC 06/12/2006) London - India is the second biggest foreign investor in London, and will contribute over £33m to the capital's economy in 2006/7, according to a new estimate.

Inward investment agency Think London said India accounted for 18% of foreign investment this year, behind the US.

It has helped 36 Indian firms set up in the capital since mid 2005, creating 840 jobs.

London was voted the top European city to locate a business this year, for the seventeenth time in a row.

In the annual location survey from European Cities Monitor, London came top in seven categories: easy access to markets, qualified staff, external transport links, telecommunications, availability of office space, languages spoken and internal transport.

"London attracts over half of all Indian investment into Europe and provides Indian businesses with a gateway to the continent," said Think London chief executive Michael Charlton.

Think London calculated its £33m figure by measuring the number of jobs created and their contribution to the London economy.

Other reports measuring foreign investment into the UK are usually much higher because they measure the total capital inflow into the country - and include takeovers of giant British companies like O2, P&O and Abbey National.