Published on : Oct 28, 2014
As per industry reports, it is expected that in the year 2015, the UK infrastructure will derive benefits from 105 billion pounds of Chinese money. This will involve a host of Chinese machinery suppliers, contractors, and materials producers. The UK government will be spending about half of 225 billion pounds on its own infrastructure.
The investors from China will be investing approximately 44 billion pounds in the energy sector of the UK. Within the forthcoming ten years, the real estate sector will receive about 36 billion pounds and the transport sector will receive close to 20 billion pounds.
According to the report, China will be targeting UK’s energy sector and will be investing significantly in projects pertaining to photovoltaic power generation, nuclear energy, and wind power generation.
For the real estate projects, and the development of UK infrastructure, it is expected that China will make good use of its capacity to export equipment, and its manufacturing capability.
Such a step will change the very landscape of the infrastructure industry in the UK phenomenally over the next ten years.
Industry experts have also expressed that the inflow of Chinese funds into the UK infrastructure industry will give a significant boost to UK’s construction industry and eventually the entire UK economy. By the year 2025, China will become a very crucial investor for the infrastructure industry of the UK. As a result, the UK-China partnership will witness growth over the forthcoming decade.
This level of investment will bring about a significant change in the infrastructure industry of the UK. China’s role as an investor over the years has evolved from being a sovereign wealth funds investor of indirect investments to becoming co-contractors, co-funders, and co-developers of prime infrastructure projects of the UK.
China’s entry into the UK market will create several lucrative opportunities in various sectors.