London has introduced a growth plan expected to generate £27 billion for public services, with India identified as the leading source for foreign direct investment. The strategy focuses on increasing productivity and supports educational and economic growth areas. Key initiatives include enhancing workforce skills and expanding housing and infrastructure projects.
London has launched an ambitious new growth plan, projected to generate approximately £27 billion in additional tax revenue to support essential public services nationally. The plan, introduced by Mayor Sadiq Khan alongside growth agency London & Partners, aims to increase productivity growth to an average of 2% annually over the next decade. This initiative is anticipated to enhance the London economy by £107 billion by 2035.
India has been identified as the primary source market for foreign direct investment (FDI) in London, surpassing the United States in this regard for the fiscal year 2022-2023 and maintaining this position in the current year. According to Laura Citron, CEO of London & Partners, “Foreign direct investment from India has been the fastest growing and has been our number one market for the last two years.” She noted that Indian tech firms are establishing operations in London, contributing significantly to the local economy.
Furthermore, India’s influence is also evident in education and tourism, with Indian students emerging as the second-largest group of international students in London, following China. Official statistics revealed that in 2023-2024, 38,625 Indian students were enrolled in London universities. Mark Hertlien, Head of Global Engagement at City St George’s University, remarked, “It is positive that London’s quantity of Indian students has increased in the past decade… They become lifelong ambassadors of our capital city.”
The London growth initiative, developed in collaboration with various stakeholders, includes strategies to enhance the city’s productivity that has stagnated since the 2008 financial crisis. The focus will be on cultivating exceptional talent, fostering business innovation, and improving housing and infrastructure. Mayor Khan stated, “This growth plan provides a golden opportunity to turbocharge growth and unlock London’s full potential.”
Ultimately, the goal of the plan is to increase household weekly income for the lowest earning 20% of Londoners by 20%, benefiting over a million households with an average additional £50 per week after housing costs. This comprehensive strategy aims to position London as a global leader in various sectors, including AI, life sciences, and creative industries.
In conclusion, London’s new growth plan positions India as a vital partner in stimulating the local economy through foreign direct investment, education, and tourism. The initiative is designed to enhance productivity and create significant economic benefits for London and the broader UK. With ambitious targets aimed at improving living standards and fostering innovation, the plan reflects London’s commitment to becoming a global hub for talent and business.
Original Source: www.ndtv.com
