The East Midlands has experienced a decline in Foreign Direct Investment (FDI), as reported in the latest EY UK Attractiveness Survey. In 2023, the region saw 31 projects, marking a 35% decrease from the previous year. This decline represents the second-lowest total of FDI projects for the East Midlands in the past decade, leading to a decrease in its share to 3.1% of all UK projects. The region ranked as the tenth best performing in the UK for attracting investment.
Despite recording a similar number of jobs associated with FDI projects in 2022 and 2023, the East Midlands saw a total of 2,848 jobs in 2023, ranking it eighth out of twelve UK regions for FDI-related employment. The region’s FDI performance was driven by sectors such as Transportation Manufacturers and Suppliers, Agri-food, Machinery and Equipment, and Software and IT services.
In contrast, the West Midlands attracted 127 FDI projects in 2023, its highest total in the last decade. Simon O’Neill, Office Managing Partner for EY in the Midlands, highlighted the West Midlands’ success, attributing it to the region’s strong economic potential and growing appeal to international investors.
O’Neill emphasized the importance of understanding and addressing the challenges faced by the East Midlands to regain momentum in attracting global investment. He underscored that the West Midlands’ success not only benefits the region but also contributes significantly to the UK’s positioning as a top destination for foreign investment.
