If you’re looking to start or expand your company in another country, the UK is an ideal place. Reasons for this include:
– the UK has one of the lowest corporation tax rates in the G20
– you can register a company within 48 hours
– the labour force is the second largest in the Europe
– the UK government offers support to start-ups and entrepreneurs
More companies locate their businesses in the UK than anywhere else in Europe. International companies locate to the UK because they want to:
– access new or existing customers
– develop new products
– find new suppliers and partners
– do more business in other countries across Europe
Here are some of the reasons why you should start your business in the UK:
Companies based in the UK can reach more than 500 million consumers across Europe and throughout the globe. You don’t pay any duties when importing or exporting within the European Union (EU). The UK also has free or preferential trade agreements with many non-EU countries. It’s also easier to do business in the UK than any other major European economy1.
The current rate of Corporation Tax is 20%. This is the joint lowest in the G20 – the world’s largest 20 economies. The UK has double taxation agreements through treaties with other countries. Most UK based companies will not pay Corporation Tax on foreign dividends. Value Added Tax (VAT) is payable on most goods and services supplied in the UK. The current VAT rate is 20%. Goods imported or purchased may also have VAT. A company has to charge VAT when its taxable turnover is above a certain threshold.
Research and Development (R&D) tax credits
Tax credits are available for companies involved in R&D. These companies pay a lower rate of Corporation Tax. Companies may get a 100% deduction of Corporation Tax on work related to R&D. Large companies can get a further deduction from their taxable income which is 30% of their current spending on qualifying R&D. SMEs can get a further deduction from their taxable income of 125% of their current spending on qualifying R&D.
Companies can apply a lower rate of Corporation Tax of 10% on profits earned after 1 April 2013 from patented inventions and certain innovations. You can only benefit from the Patent Box if your company pays Corporation Tax and makes a profit from exploiting patented inventions. Your company must also
– own or exclusively license-in the patents
– have undertaken qualifying development on them
UK is home to various thriving industries. Find out about the opportunities for investment in specific sectors including:
– civil nuclear power
– creative industries
– electronics and IT hardware
– energy networks
– financial services
– food and drink
– Information Communications Technology
– life sciences
– offshore wind
– oil and gas
– marine energy
– rail industry
– regeneration (infrastructure)
– space technology
– waste management
The UK has a workforce of over 30 million people. This is the 2nd largest in the EU. UK is one of a few European countries expected to have labour supply growth in the next 15 years2.
The UK has:
– a workforce with strong skills
– a flexible labour market
– regulations designed to protect employees
In the UK you can rent or purchase commercial and industrial premises in most areas of the UK. Some business activities require specific planning approval and can be restricted to allocated areas. If you need to build or extend premises, the planning process is simple. The World Bank say the process for obtaining construction permits and planning permission in the UK is one of the easiest in the EU and better than Switzerland, the Netherlands, France and Ireland7.
Enterprise zones are locations across the UK that offer companies incentives to locate their businesses in those areas. Incentives include:
– reduced taxes
– simpler planning rules
– financial benefits
Many Enterprise Zones have employment clusters, where businesses from the same sector are located in the same areas.
StartUp Britain is a UK Enterprise Consultant Program to attract international entrepreneurs to expand or relocate their business in the UK.
If you are interested in our Start Up Britain Program please contact us using our Contact Us page, alternatively email us at email@example.com. For additional information on our management consulting services, industry expertise and investments, please visit the appropriate page on our site.