Indian companies in the UK created 110,793 jobs this year, over 6,000 more than 2019, and paid 462 million pounds in corporation tax to the country's economy, according to the latest analysis of 842 firms operating in Britain.
The India Meets Britain Tracker 2020', collated annually by Grant Thornton and the Confederation of Indian Industry (CII) to weigh up the contribution of Indian businesses to the UK economy, found that these firms generated 110,793 jobs in Britain up from 104,783 in 2019.
The total turnover of these companies added up to GBP 41.2 billion, with corporation tax payments of GBP 462 million over the past year.
The report showcases the continued strength of UK-India trade and the importance of India as one of our most critical bilateral investors and job creators, supporting over 110,000 jobs, with half of them outside London, said Lord Gerry Grimstone, UK Minister for Investment, at a virtual online launch of the report.
More trade is essential if the UK is to overcome the unprecedented economic challenge posed by coronavirus. Investment will be key to ensuring a strong economy in the years to come, boosting productivity and creating jobs, and it is our strong trade relationships with partners like India that will support this, he said.
While the total number of Indian companies operating in the UK remained similar to last year's Tracker at 842, new companies did enter the scene in the seventh edition of the publication this year while others restructured.
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The technology and telecom sector remains at the forefront of Indian interests in the country, followed by pharmaceuticals and chemicals, and engineering and manufacturing.
These are unprecedented times for us as Indian industry, globally. As we navigate through the challenges posed by this sudden disruption caused by the pandemic, it is a useful reminder to note and underscore the valuable contribution of the Indian industry in the economy, especially as we launch the India Meets Britain Tracker 2020' mapping fastest growing Indian investments in the UK, said CII Director General Chandrajit Banerjee.
Anuj Chande, Partner and Head of South Asia Group at Grant Thornton UK LLP, added: As we rebuild the UK economy in the months to come, Indian owned businesses already operating here will continue to play an important role.
We anticipate new Indian investments as both the UK and Indian economies start to re-emerge from the shadow of this pandemic. The most successful Indian businesses look at their UK investments from a long-term perspective and not for short-term gains.
The report also provides a tracker of the fastest growing Indian companies on the list, as measured by those with turnover of more than GBP 5 million, year-on-year revenue growth of at least 10 per cent and a minimum two-year track-record in the UK.
This year, 72 companies met the qualifying criteria and feature in the 2020 Tracker, achieving an average growth rate of 40 per cent, compared with 36.83 per cent in 2019.
An annual award ceremony to mark this growth story was also shifted to an online webinar setting due to the coronavirus pandemic lockdown, with a green energy sector firm grabbing the dual awards of New Market Entrant and Fastest Growing Company of the Year. EESL EnergyPro Assets Ltd, a joint venture founded by India's Energy Efficiency Services Ltd (EESL), won the two awards as a result of several acquisitions in 2019 giving it a growth rate of 715 per cent.
Route Mobile UK came in at No. 2 with 202 per cent growth, with Dhoot Transmission UK Ltd (186 per cent), Evolutionary Systems Company Ltd (142 per cent) and BB (UK) Ltd (120 per cent) completing the top five for the year.
Lakshmi Kaul, Head & Representative UK, Confederation of Indian Industry (CII), said: The India Meets Britain Tracker' is a reminder of the value that Indian companies add locally, not just in investment terms but more importantly in jobs terms.
In the recent weeks, one has seen how India has stepped in and stepped up, beyond its usual business remit to support on ground in dealing with the pandemic. Whilst the urgent need has now become to address the pandemic, Indian industry will continue to be the UK's ally in navigating its way past Brexit.
London remained the dominant base for Indian companies in 2020, a position the UK capital has held since 2015. However, the north of the UK also improved its showing in 2020 compared to the previous year.