UK Government Tries to Assure Foreign Investors that Emigration Cap Will Not Hurt Businesses

It now appears that the UK Government is trying to assure foreign investors that the new proposed emigration caps for economic emigrants will not hurt companies seeking to do business in the UK. They went on to say that any changes to the takeover laws will not single out foreign investors by any means.

The secretary of state, Vince Cable, said that the policy will be managed to make sure that all foreign investors' interests are not harmed. He went on to say that the new government was expected to demonstrate that it was managing emigration. They are aware that foreign investors need to bring in high level managers, skills and inner company transfers.

The coalition government is committed to cut non-European Union economic emigration to thousands instead of hundreds of thousands. Despite this, a mechanism to implement this policy to get emigration down has yet to be fully worked out. The UK's takeover laws are currently being tightened after widespread criticism of the Kraft Cabdbury takeover, which ended up in massive job losses in the UK.

During the time when national unemployment figures dropped to a 4-month low, UK Trade and Investment, which is the UK's trade body, announced that, in 2009-2010, jobs created by foreign investors in the UK rose by 20 percent to 94,000. This number came in despite a fall in the number of projects to 1,619. India, which was actually the second highest inbound investor country in 2009-2010, dropped to 4th place creating 5,889 jobs. This is down from nearly 8,000. Right now Japan has regained its position as the biggest inward investor from Asia.