British companies lose taste of US investment, Deloitte Research Show
Andy Bruce
(Reuters) – The appeal of the US as an investment destination is now in the eyes of UK business executives who are seeing opportunities close to their homes, according to a study.
A Deloitte survey of chief financial officers of UK major companies showed that the net balance of +2% of respondents saw the US as an attractive place to invest just before President Donald Trump took office, starting from +59% in the second half of 2024.
The report tallied with official US data last month, showing a sharp decline in foreign direct investment in early 2025.
In contrast, Deloitte said executives from the UK company warmed to their markets, and the UK balance rose to +13% from the top with India due to the attractiveness of investment.
The US remains more attractive than the developed Europe and other parts of China, both of which had negative readings in Deloitte’s investigation.
“We are pleased to announce that we are committed to providing a range of services to our customers,” said Richard Houston, senior partner and CEO of Deloitte UK.
“This new confidence, coupled with an increased risk appetite, highlights the significant investment potential the UK offers.”
In 2023, the UK was the fourth largest direct investor by the ultimate beneficial owner, and was a direct investor to the US, with a position of $636 billion, according to official US data.
Deloitte’s survey showed that UK executives reported increased business trust compared to previous surveys published in April. Although still under control, the optimism index reached a maximum of -11% from -14% in the last quarter to -11%.
UK business research generally points to weak economic growth. This is the issue of Finance Minister Rachel Reeves, who is likely to raise taxes again in the next budget, according to market expectations.
Deloitte voted 66 Chief Financial Officers and executives between June 16th and June 29th. This includes 37 listed companies, totaling £386 billion.
(Reporting by Andy Bruce, Editing by Sharon Singleton)