Daijiworld Media Network – New Delhi
New Delhi, Mar 9: India has emerged as the largest investor in London’s ambitious new growth plan, which aims to revitalize the city’s economy and generate an additional £27 billion in tax revenue to support essential public services across the UK.
The plan, launched by London Mayor Sadiq Khan and growth agency London & Partners, sets a target of increasing productivity by 2% annually over the next decade. If successful, London’s economy could grow by an estimated £107 billion by 2035.
Over the past three years, India has deepened its economic footprint in London. In 2022-23, it overtook the United States as the city’s largest foreign direct investment (FDI) contributor, a trend that continued into 2023-24.
Laura Citron, CEO of London & Partners, noted that Indian technology firms are expanding rapidly in London, reinforcing the city's status as a global business hub.
Beyond business, Indian students and tourists are playing a growing role in London’s international community. Official data for 2023-24 reveals that 38,625 Indian students were enrolled in London universities—marking a significant increase over the last decade. Their share of the international student population in London has surged from less than 5% to over 20%.
Mark Hertlien, Chair of the International Network at London Higher, welcomed this trend, emphasizing that Indian students contribute to stronger cultural and professional ties between India and the UK.
Indian businesses are also making strategic investments in London’s innovation ecosystem.
Ashish Devalekar, a senior executive at Indian IT giant Mphasis, highlighted London’s role as a global center for technology and research. He revealed that Mphasis is expanding its operations in the city and plans to double its workforce through its newly launched London Innovation Hub, focusing on cutting-edge fields such as artificial intelligence and quantum computing.
The London Growth Plan has been developed in collaboration with businesses, trade unions, and local communities. It aims to reverse London’s stagnant productivity levels since the 2008 global financial crisis by prioritizing skilled workforce development, business innovation and investment, housing and infrastructure improvements, and strengthening local high streets and retail hubs.
With India taking the lead in investment, London’s economic revival is set to benefit from deepening financial and technological collaborations between the two global powerhouses.