London Growth Plan—India to play key role in boosting economy
What's the story
London has unveiled an ambitious 'Growth Plan,' which is expected to generate an additional £27 billion in tax revenue to enhance public services across the UK.
Led by Mayor Sadiq Khan and growth agency London & Partners, the initiative aims to restore productivity growth to an average of 2% each year over the next decade, potentially expanding London's economy by £107 billion by 2035.
FDI growth
India recognized as top foreign direct investment source
A major highlight of the Growth Plan is India's recognition as London's top source of foreign direct investment (FDI).
For the last two years, India has overtaken the US in terms of FDI for London.
"Foreign direct investment from India has been the fastest-growing and has been our number one market for the last two years," Laura Citron, CEO of London & Partners, said.
Student influx
Indian students and tech companies shape London's landscape
Citron also highlighted India's rapid growth as a student market post-Brexit, now London's second-largest source market after China.
Official data for 2023-24 shows that London hosted 38,625 Indian students, a significant increase over the last decade.
Mark Hertlien from City St George's University acknowledged this rise and said they play a role in building strong ties between nations.
Strategic focus
London Growth Plan: A blueprint for future development
The Growth Plan seeks to revive London's economy, which has flatlined since the 2008 financial crisis.
Among its key priorities are investing in skills and talent to prepare Londoners for productive careers, supporting business innovation with new investments in technology, taking a bolder approach to housing and infrastructure, and reinvigorating high streets to boost local economies.
Khan called the plan a "golden opportunity" to unlock London's full potential.