Inward Investment Results 2015/16

Thames Valley Chamber of Commerce Inward Investment Results 2015/16 Oxfordshire Buckinghamshire Berkshire London

Welcome to the Thames Valley s first Inward Investment report It gives us great pleasure to report that 2015/16 was another record year for inward investment for the Thames Valley. We have recorded the highest number of Foreign Direct Investment (FDI) projects since recent records began, and once again, have established ourselves as one of the most successful regions for attracting FDI in the United Kingdom. Known as the Silicon Valley of Europe the Thames Valley is a great success story. Viewed as one of the most economically vibrant and well connected communities in the UK it is home to some of the world s most successful global brands, innovative small businesses, disruptive start-ups and new generation entrepreneurs. It is regularly placed in Europe s Top-10 most economically prosperous regions and is home to some of the UK s most dynamic, commercially focused academic institutions including the University of Oxford, which now ranks Number 1 in the latest Times Higher Education World University Rankings. The Thames Valley is the UK s true dynamo-region contributing significantly to sustained levels of economic growth and development and has become the preferred destination for many new inward investors. We are proud to be part of an international community that welcomes both established and aspiring businesses into the region. Paul Britton CEO, Thames Valley Chamber of Commerce

Types of foreign direct investment (FDI) United Kingdom Types of investment 2011/12 2012/13 2013/14 2014/15 2015/16 Increase % New investments 752 777 820 1,058 1,130 7% Expansions 506 577 677 740 821 11% Mergers and Acquisitions (including Joint Ventures) 148 205 276 190 262 38% Total projects 1,406 1,559 1,773 1,988 2,213 11% New projects and jobs UK Region Number of FDI projects Number of New Jobs East Midlands 85 3,678 East of England 116 3,280 London 889 24,191 North East 77 2,991 North West 151 7,715 Northern Ireland 33 2,068 Scotland 108 4,178 South East 253 5,507 South West 89 2,434 1 Wales 97 5,443 West Midlands 168 11,119 Yorkshire and the Humber 104 2,992 1 Scotland 4 108 Projects 4,178 New jobs 2 2 England (excl London) 4 Northern Ireland 33 Projects 2,068 New jobs 5 1,043 Projects 39,716 New jobs 3 3 London 889 Projects 24,191 New jobs 5 Wales 97 Projects 5,443 New jobs 2

Types of foreign direct investment (FDI) Thames Valley Types of investment 2011/12 2012/13 2013/14 2014/15 2015/16 Increase % New investments 39 24 28 36 53 47% Expansions 33 58 48 38 38 0% Mergers and Acquisitions (including Joint Ventures) 0 0 0 13 28 115% Total projects 72 82 76 87 119 37% FDI projects by investment type Thames Valley - 2015/16 1 Berkshire 2 3 Buckinghamshire Oxfordshire New projects and jobs 2015/16 Thames Valley Counties Number of FDI projects Number of New Jobs 1. Berkshire 67 1,794 2. Buckinghamshire 17 211 3. Oxfordshire 35 490 Total 119 2,495 3 2 1 Greater London 3

Total new and safeguarded jobs by industry Thames Valley - 2015/16 395 371 357 198 182 61 48 Industries Software and Computer Services Creative Industries & ICT Projects by industry Thames Valley - 2015/16 27 Life Sciences & Healthcare Electronics & Telecommunications 371 Financial & Professional Services Business and Consumer Services 11 16 17 4 6 6 Advanced Engineering (Aerospace & Automotive) Projects and jobs * created in the Thames Valley 2011-2016 2015/16 119 projects 2,495 jobs 2014/15 87 projects 1,704 jobs 2013/14 76 projects 887 jobs 2012/13 2011/12 82 projects 72 projects 1,807 jobs 1,672 jobs * total new and safeguarded jobs 4

FDI Projects by Value Thames Valley - 2015/16 Value Number of Projects % of Total Higher Value 40 33% Good Value 24 21% Standard Value 55 46% Total 119 100% Standard Value 46% 33% Higher Value 21% Good Value FDI Projects by Value Thames Valley - 2015/16-2013/14 55 40 40 34 24 23 24 40 20 2015/16 Number of Projects 2014/15 Number of Projects 2013/14 Number of Projects Higher Value Good Value Standard Value 5

Top Source Markets for FDI projects Thames Valley - 2015/16 Ireland 3 Projects 3 New jobs Netherlands 3 Projects 250 New jobs France 6 - Projects 24 - New jobs 0 - Safeguarded jobs Canada 5 Projects 43 New jobs United States 31 Projects 792 New jobs 136 Safeguarded jobs Spain 3 Projects 39 New jobs Switzerland 4 Projects 215 New jobs Italy 4 Projects 46 New jobs 5 Safeguarded jobs Rest of Americas 2 Projects 6 New jobs Rest of Europe, Middle East & Africa 12 Projects 104 New jobs Rest of Asia Pacific 2 Projects 25 New jobs 6

Top Source Markets for FDI projects Thames Valley - 2015/16 Germany 6 Projects 312 New jobs Finland 4 Projects 13 New jobs Japan 4 Projects 56 New jobs China 12 Projects 110 New jobs Taiwan 3 Projects 11 New jobs South Africa 2 Projects 202 New jobs India 9 Projects 131 New jobs 7 Safeguarded jobs Australia 4 Projects 113 New jobs Projects 119 Total jobs 2,495 Safeguarded jobs 148 7

Case studies Kayser Space joins space cluster at Harwell Kayser Italia, a privately owned independent aerospace system engineering company, initially established operations in 1986. Since its launch the company has participated in more than 50 space missions and 80 payloads - all of which have been completed with full scientific, technical, economic and programmatic success. The payloads developed by Kayser Italia have been flown on Russian capsules, the Shuttle Transportation System (STS), the Japanese HTV module and the Chinese Shenzhou-8 as well as the European ATV module and the International Space Station (ISS). The opportunity to work with the European Space Agency, the strong cluster of space-related industries and a chance to exploit deep sector know-how to build growth ensured that Harwell, the gateway to the UK s space industry in the heart of Oxfordshire, was the preferred site for its new offices. Fully supported by the Department for International Trade (DIT) team, along with the Oxfordshire LEP and service partners at Harwell, Kayser was given extensive intelligence and information to make an informed decision taking into account sector-based intelligence; information on technical skills; introductions to commercial services; business networks and property viewings. Kayser Space (UK) Limited, which was set-up at the end of 2015, has since signed two major projects with ESA targeting experiments and facilities. In addition, the company has established agreements with major universities and is in the process of developing joint projects. The support and services were received from the DIT, LEP and the service partners at Harwell, at a crucial time in our investment journey, was great. They not only saved us time and money but also helped direct our thinking. Our mission is to develop integrated applications in space building on the expertise acquired over the years by Kayser Italia within its life sciences space systems. The unique cluster and dynamic brings cross-cutting sectors together and we believe that Harwell is the best location for us to do this and be successful in the UK. David Zolesi, Managing Director of Kayser Space 8

Case studies It is a pleasure to open the Seqirus office here in Maidenhead. They join a significant cluster of Life Sciences and Healthcare businesses that have chosen the town as their base, drawn here by a highly skilled workforce and specialist talent pool, connectivity to London Heathrow, proximity to the world s leading research institutions (University of Oxford) and some of the country s best quality of living. It is an endorsement too of the collective efforts of DIT and local partners in supporting the business in its decision to invest in Maidenhead, the Thames Valley and the UK. Attending the formal office opening, Prime Minister (Home Secretary at the time) and Member of Parliament for Maidenhead, Mrs Theresa May MP Seqirus opens new corporate office in the Thames Valley Seqirus, part of the CSL Group and the second largest influenza vaccine provider in the world, chose to establish its new corporate offices in Maidenhead, creating more than 100 managerial and highly skilled jobs. It has a workforce of over 2,000 employees, significant manufacturing capacity and a commercial presence in 20 countries. Paul Britton, Chief Executive of Thames Valley Chamber of Commerce, attended the formal opening. Thames Valley Chamber was delighted to work with the Department for International Trade to support CSL in making the decision to base Seqirus operational hub in the UK, and we will continue to work with the company as they settle in and grow as a business. More here... ARANZ Geo s global expansion continues into the UK s Thames Valley with EMEA-HQ office ARANZ Geo is the world leader in the interpretation and visualisation of geological data for the mining, environmental, renewable energy and other geologically dependent industries. Supporting its plans for growth into the EMEA region, DIT is now helping Graham and Leapfrog with more specific information requests and business intelligence concerning expansion across other parts of the EMEA market place and how they can use the UK as a springboard. More here... 9 Like many businesses at early stage of market entry, we were time-poor and needed informed, insightful market research and intelligence to inform our investment decisions quickly. The DIT team helped us navigate the complexities of setting-up a business in the UK, including visas, banking, HR and legal requirements and crucially linking us into local networks. Graham Grant, Director of Leapfrog UK

Case studies RVJ Agribusiness Academy moves into the Thames Valley The RVJ Agribusiness Academy launched its HQ operation in Reading from The Netherlands. The Academy, led by co-founder Dr. Vijayender Nalla, is a food & agribusiness entrepreneur with a personal mission to contribute to a secure and sustainable food system. Since landing DIT and the Chamber has continued to support the Academy as they expand and build their business in the Thames Valley. DIT s Global Entrepreneurs Programme has supported Vijayender providing him access to a wider range of Government information and guidance. DIT has also facilitated introductions to overseas markets, including Nigeria, to support business growth and export orientated business and enabled the business to meet visiting overseas delegation. More here... From the outset we were impressed with the speed, professionalism, knowledge and support we received from the UKTI (now DIT) and Chamber team. Our request to engage a technical specialist was met 100%. I d commend the DIT and the local Chamber team to any business looking to invest in the Thames Valley. Dr. Vijayender Nalla Life Sciences Company Bayer commits to the Thames Valley Bayer s decision to re-invest in the Thames Valley comes as the area has experienced a growing number of new investments and expansions from life science and healthcare companies Paul Britton CEO - Thames Valley Chamber of Commerce The life sciences company, Bayer, has committed its long term future and expansion plans by relocating its UK headquarters to Green Park, Reading, Berkshire, taking 80,000sqft of space in 400 South Oak Way on a 15-year lease. Currently the company employs around 550 office based staff at its Newbury site where it was based since 1983. One of the innovations at Bayer s new Green Park headquarters will be BayLab, a laboratory for schoolchildren of different ages, which will enable primary and secondary school children to undertake experiments in a way that time pressures sometimes do not allow for in a school lab. An Inspiration Space will also provide interactive ways of finding out about Science. More here... 10

Case studies Boehringer Ingelheim s continued expansion plans Bracknell based pharmaceutical supplier, Boehringer Ingelheim (BI) UK Ltd has underlined its commitment to the UK and Thames Valley with the refurbishment and expansion with a 6m+ redevelopment plan for its offices. DIT maintained contact with UK management as the plans evolved and liaised with respective local authority and delivery partners. Its local delivery partner, Thames Valley Chamber, supported Boehringer Ingelheim s application and helped engage with senior officials and the economic development team within the local authority throughout the entire process. More here... This is a significant milestone for Boehringer Ingelheim. We aim to create the best possible working environment for our staff and are always looking at ways to improve on the service and commitment levels we deliver to our patients. We are looking forward to having the team all under one roof. Professor Klaus Dugi Boehringer Ingelheim UK & Ireland Managing Director US Giant 3D Systems acquires CRDM Ongoing investment in Buckinghamshire based industry leader Back in 2013, US-owned 3D Systems, the inventors of 3D printing, were looking to set up an on demand 3D print service in the UK. Rather than set up from scratch, they looked for an acquisition of one of the UK s top companies in the sector and chose High Wycombe based CRDM, who had a track record of 3D printing since 1994. The company, Thames Valley Chamber members, now employs over 40 people at High Wycombe and is looking to move into new and existing sectors. This is where the DIT and the Chamber are helping establish relationships and making introductions to UK supply chains primary networks and profile raising. More here... In the past three years, 3D Systems has seen the purchase and investment of the very latest technology faster and larger machines along with new materials. As well as 20 in-house machines and access to over 80 through four plants in Europe, the company is able to offer five different 3D printing platforms and almost 100 different materials the best possible offering for new and existing customers. 11

Pitmans new Kickstart International Initiative bespoke service for inward investment Pitmans LLP, one of the region s leading legal practices, has launched a bespoke inward investment package for entrepreneurs, inward investing enterprise and foreign-owned companies looking to locate or expand in the Thames Valley. Kickstart International offers a bespoke package of ongoing support for businesses in their first few years (1-3) of operation in the UK. Kickstart International is designed to deal with all the legal support issues enabling businesses to focus on concept development and growing the business, whilst ensuring compliance with UK laws are met. Kickstart removes the challenges, obstacles and pressures at a time when companies are often time poor. Experience has shaped the Kickstart International programme and Pitmans fully understands and appreciates the concerns a business may face at the start of a venture in the UK. The programme helps businesses navigate through the process and develop the foundations from which it can succeed in the UK. Kickstart International provides a full range of legal support, including contracts and documents, a company secretarial service, telephone advice, document review service and a directors toolkit containing fact sheets and guides. The Kickstart International team can also offer a legal health assessment and a cloud based storage service. The package is provided on a retainer basis enabling the business to budget their annual legal spend; providing access to the team and develop a long-term, sustainable business relationship in which the Kickstart International team can act as an extension of the company s own team. The Kickstart platform also provides FAQs, fact sheets, news items, guides and mentoring. Our clients tell us, more than anything, they appreciate that Kickstart International gives them seamless business help and support, now and for the future Angela Shields, Kickstart Client Partner 12

Thames Valley Chamber of Commerce Working, supporting and helping investors The Thames Valley Chamber of Commerce (TVCC) works with businesses across Berkshire, Buckinghamshire, Oxfordshire and Swindon to help companies achieve their full business potential. It is the fifth largest Chamber accredited by the British Chambers of Commerce in the UK. TVCC provides businesses with inward investment support and services to both existing and new UK and Foreign Owned Companies (FOCs) looking to invest in the Thames Valley. As the only region-wide inward investment service it has established itself as a proven centre for excellence. It continually supports businesses and works in partnership with the Department for International Trade (DIT) and three Local Economic Partnerships (LEPs) offering a comprehensive range of commercial partners and resident business community links. For further information on the TVCC and its inward investment service or to register for the TVCC inward investment e-newsletter, email: info@thamesvalley.co.uk To visit Thames Valley UK, the premier region-wide inward investment portal click here Japan Desk the future of inward investment To encourage inward investment between Osaka/Kansai and the TVCC, a Japan Desk was set up to strengthen trade and build closer working relationships with Japanese companies already established in the region. Support provided by the Japan Desk extends to new entrants to the Thames Valley and Osaka, local government, businesses and industry-government-academia collaborations. Please send any enquiries to the Japan Desk at Thames Valley Chamber: masakoeguchi@tvchamber.co.uk In the next year, we would like to engage with more Japanese companies based in the Thames Valley, as well as local and multinational companies, who wish to deal with Japan. This is a great opportunity for the UK to enhance its relationship with Japan and I hope the TVCC Japan Desk can be a part of it. Masako Eguchi-Bacon 13

Markets As this year s highly positive statistics show, the region attracts investment from across the globe including India, China, Japan and several European countries. Certain sectors tend to attract investment from particular markets because of the strengths of the region and having globally unique centres of excellence. For example, the European Space Agency, has attracted a growing number of companies from across Europe. The North American market has attracted the most levels of inward investment activity. Selected as the favourite location for many North American Corporates for their European HQ s the Thames Valley provides a familiar business culture with no language barriers. The ability to work with a networked business community can help grow organisations in an established market place. Sector strength and truly global assets As a proven inward investment destination, the Thames Valley region excels across a number of business sectors. These include: Space and space related technology: Harwell in Oxfordshire is the UK s gateway to the space industry and a global centre of excellence for research and development. It is home to the UK s Diamond Synchrotron and the European Space Agency (ESA). Life Sciences and Healthcare: The region is at the heart of the Golden Triangle one of the most mature clusters in Europe and home to some of the globe s industry bio-technology and pharmaceutical leads. High-Performance Technology: Silverstone in Buckinghamshire, is the hub to the world s most unique high-performance technology cluster Motorsport Valley. A significant majority of F1 teams are based in the Thames Valley and the sector is driven by an impressive array of established and innovative companies providing a unique supply chain and supplier network to serve the automotive and advanced engineering industry. Information Technology and Electronic Communications: Berkshire s M4 corridor is a preferred location for many of the world s most famous and innovative ITEC brand names including Canon, Cisco, Computer Associates, Dell, Huawei, Microsoft, Telefonica and Vodafone. Along with these established brands, the region is home to a growing number of young, innovative, disruptive technology firms, including Redwood Technologies, Bullitt Group, Reaction Engines, 3D Systems and Raw Talent. More specifically, Slough is now an established mega-cluster and one of Europe s premier locations for Datacentres with around 22 clustered on SEGRO s industrial estate. Creative industries: The Thames Valley is part of a global centre of excellence for the creative industries. Its famous Pinewood Film Studios in Buckinghamshire brings together a world class creative talent base. The region has a growing reputation for digital gaming and media. Britain s Thames Valley is a centre for film and television production. It has a long tradition of filmmaking with world class studios such as Pinewood, together with beautiful and varied locations all within easy access of London and Heathrow airport. A large number of crew and facilities are based in the region, contributing to the overall strength of the creative sector, a significant employer in the south east of England. Gareth Neame, Executive Producer, Downton Abbey Managing Director, Carnival Films 14

Connectivity is King The Thames Valley can truly describe itself as one of the UK s, and Europe s, best connected locations for business. London Heathrow Airport serves the needs of a truly international business location which is the first choice, outside of London, for businesses establishing a UK office. Over 73m passengers a year pass through London Heathrow, travelling to 185 destinations in 84 countries (2014) serving 22 destinations in North America via 65,000 flights. There are excellent in-region and capital road & rail connections. Over 16 billion worth of investment has and is being made into the Thames Valley region s infrastructure network. This includes: Crossrail Europe s largest infrastructure project connecting Reading and Heathrow to London and the City. Journey times to Canary Wharf will be less than an hour from Maidenhead Western Rail Access to Heathrow is a proposed rail link between Reading and Heathrow reducing journey times between Slough and Heathrow to just six minutes M4 READING Smart M4 Highways England proposes a 580m+ scheme to improve the M4 by making it a smart motorway between junctions 3 and 12 The South East s rail hub Reading Station has been the subject of a now completed 895m re-investment, enabling fast, efficient connections to all corners of the UK and into London Paddington and London Waterloo. Connections into London Marylebone are also available from locations across Buckinghamshire and Oxfordshire 15

Proximity to world class Universities The Thames Valley is home to a network of world renowned global institutions, including the University of Oxford, University of Reading and Imperial College (UCL). In 2016 the University of Oxford was ranked Number 1 in the latest Times Higher Education (THE) World University Rankings. Oxford becomes the first British university ever to occupy top position in the global table, which judges the performance of 980 universities across 79 countries. Oxford s top ranking reflects its all-round strength in contemporary research and teaching. Renowned as the oldest University in the English speaking world, modern Oxford is at the forefront of the full range of academic disciplines, including medical sciences, science and engineering, humanities and social sciences. Knowledge transfer and the development of new technologies are among its key priorities. This wonderful news recognises the extraordinary talent and dedication of all who work and study at Oxford. We are delighted with this affirmation of our global success and will be working hard to maintain our position. Higher education is a real strength for the UK, reflected not just by Oxford s first place, but also the very high rankings of many other leading UK institutions. Professor Louise Richardson Oxford s Vice-Chancellor Furthermore, the Thames Valley is home to Henley Business School, the oldest business school to be established in the UK. The school is consistently ranked among the world s top 50 business schools by the Financial Times and the Economist. In 2016 the University of Oxford was ranked Number 1 in the latest Times Higher Education (THE) World University Rankings. Oxford becomes the first British university ever to occupy top position in the global table 16

Supported by Published October 2016 Source: Department for International Trade www.thamesvalley.co.uk